Setting up a Ltd Company in Malta
The private limited liability company (Ltd) is Malta's most popular business structure for both local and foreign entrepreneurs. With its favorable tax regime, English-speaking business environment and full EU membership, Malta has become an increasingly attractive jurisdiction for company formation.
Why choose Malta for your Ltd
Malta offers a unique combination of advantages: a corporate tax rate that can be effectively reduced to 5% through the imputation system, English as an official language, a robust regulatory framework, and access to the EU single market. The Malta Business Registry (MBR) provides efficient registration processes, and the country's compact size means that government agencies are accessible and responsive.
Requirements for formation
- Share capital: Minimum EUR 1,165 with at least 20% paid up at formation (EUR 233)
- Shareholders: Minimum one shareholder (can be an individual or corporate entity)
- Directors: At least one director required
- Company Secretary: Mandatory appointment of a company secretary
- Registered office: Must have a registered address in Malta
Formation process step by step
Step 1 – Name reservation: Submit your preferred company name to the MBR for approval. The name must be unique and not misleading. This typically takes 1-2 business days.
Step 2 – Prepare Memorandum and Articles of Association: These founding documents define the company's purpose, share structure, management rules and shareholder rights. They must be prepared in English or Maltese.
Step 3 – Capital deposit: Open a bank account with a Maltese bank (such as BOV, HSBC Malta or APS Bank) and deposit the paid-up share capital.
Step 4 – Registration with MBR: Submit the Memorandum and Articles, along with identification documents for all directors and shareholders, to the Malta Business Registry. Filing can be done electronically through the MBR online portal.
Step 5 – Tax registration: Register for VAT with the Malta VAT Department and obtain your tax identification number from the Inland Revenue Department.
Malta Enterprise support for new companies
Newly formed companies can benefit from Malta Enterprise incentive schemes. The MicroInvest programme offers tax credits of up to EUR 50,000 for qualifying investments, while the Smart & Start initiative provides additional support for technology-driven ventures. These programmes can significantly reduce the effective cost of setting up operations in Malta.
Costs and timeline
Total formation costs typically range from EUR 1,500 to EUR 3,000, including registration fees (approximately EUR 245), legal drafting fees and bank account opening charges. The entire process usually takes 5 to 10 business days from start to finish, making Malta one of the faster jurisdictions in the EU for company formation. Annual compliance costs include auditor fees, annual return filing with the MBR and registered office maintenance.
Zunapro guides international entrepreneurs through every step of Ltd formation in Malta, handling the paperwork so you can focus on building your business.