EU Inc is a proposed EU company form for businesses that incorporate in one country, raise money in another and face a new set of company rules as they expand.
Status checked on 17 August 2026: The European Commission presented the proposal on 18 March 2026. The European Parliament’s procedure file still lists it as awaiting committee decision. EU Inc is not operating, and founders cannot register one today.
The proposal sets out three headline figures: online formation within 48 hours, a registration cost capped at €100 when the standard EU process is used, and no minimum share capital. Those figures belong to the proposed framework. Founders cannot use them now.
The proposed 28th regime would harmonise parts of company law and related procedures. National tax, employment and other rules would continue to govern matters that the final EU text does not replace. Founders planning a Spanish operation still need to make decisions before negotiations finish.
What is EU Inc and why is it called the 28th regime?
EU Inc would be a new limited-liability company form available across the European Union. It would sit alongside the company forms that already exist in the 27 Member States. It would not abolish or replace a Spanish Sociedad Limitada, a French SARL or a German GmbH.
The name refers to the “28th regime”: one optional framework in addition to the 27 national systems. The European Commission describes EU Inc as being designed particularly for innovative companies and startups, while remaining available to any founder who considers the form suitable.
A company would still be registered in a Member State. The common EU rules would govern much of its corporate structure and lifecycle, while national law would continue to fill the areas the regulation or the company’s articles do not cover.
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What the Commission has proposed
The draft covers more than registration. It aims to standardise important corporate procedures from incorporation through financing, governance, share transfers and, in certain cases, winding up.
| Proposed feature | What it could mean in practice |
|---|---|
| Formation within 48 hours | A fast-track procedure through a central EU interface, using the harmonised application and standard articles. |
| Maximum registration cost of €100 | The ceiling would cover the registration and preventive administrative, judicial or notarial control in the standard fast-track case. It is not a promise that every legal, banking or advisory cost will be €100. |
| No minimum share capital | Founders would not need to pay a statutory minimum capital amount at incorporation. Creditor safeguards and solvency rules would still matter. |
| Digital company lifecycle | Corporate filings, shareholder and board procedures, capital operations and share transfers would generally be capable of being handled online. |
| Once-only data submission | The business register would transmit relevant company information to tax, VAT, social security and beneficial ownership authorities instead of asking the founder to submit the same core data repeatedly. |
| More flexible financing | The proposal accommodates different classes of shares and modern early-stage instruments, including SAFEs, as well as digital capital increases and transfers. |
| EU employee stock option scheme | A common optional scheme would defer the taxation point for qualifying employee options, subject to the final text. |
The draft regulation on EUR-Lex defines the limits behind those headlines. For example, the 48-hour and €100 route is tied to the harmonised application and EU templates. A founder who wants bespoke articles would not necessarily be in the same fast-track case.
Can you register an EU Inc now?
No. There is currently no official EU Inc register where a founder can reserve a name, file articles or pay a formation fee.
The Commission submitted its proposal in March 2026. The ordinary EU legislative process requires the European Parliament and the Council, representing the Member States, to negotiate and adopt a final text. The institutions have indicated that they hope to agree on the legislation by the end of 2026, but that is an objective rather than a guaranteed start date.
Availability would still lag behind political agreement. The Commission’s draft says the regulation would apply 12 months after it enters into force. Member States, business registers and the central interface would need time to prepare. Even a fast legislative agreement would therefore not make EU Inc immediately available.
Be cautious with commercial websites that appear to offer EU Inc name reservations or pre-registration. A private mailing list, expression of interest or paid advisory service is not an incorporation in an official business register.
EU Inc would simplify company law, not erase national compliance
The most common misunderstanding is that one European company would produce one complete set of rules for tax, employment, immigration and regulated activity. That is not what the proposal does.
Corporate and accounting rules
The regulation would harmonise many corporate matters. However, matters outside the regulation or the articles would still be governed by the national law linked to the company’s registered office. The draft also leaves accounting requirements to the applicable law of that Member State.
Tax and VAT
EU Inc would make it easier for registers to exchange data needed for tax and VAT identification. That administrative shortcut should not be confused with a single EU corporate tax rate.
A business operating from Spain may still have Spanish corporate tax, VAT, payroll and permanent-establishment questions. Where the directors make decisions, where staff work, where contracts are performed and where the business has real substance remain relevant. Incorporating in one Member State does not automatically move the economic activity out of another.
If Spain will be the operational base, it is worth mapping the position before choosing a registered office. Our overview of corporate tax in Spain explains the local compliance side.
Employment and social security
The proposal expressly says it does not displace EU or national employment law. Employee participation rules connected with the Member State of the registered office would also continue to apply. A digital company form would not let an employer ignore Spanish labour or social security rules for a team working in Spain.
Immigration, licensing and regulated work
Company incorporation does not itself grant a founder the right to live or work in Spain. A non-EU founder may still need the appropriate immigration route, and a regulated business may still need local licences or professional authorisations. The Spanish entrepreneur visa is a separate legal process with its own eligibility test.
Who could benefit most if EU Inc becomes law?
The clearest use case is a company expecting cross-border activity from the start, such as investors in several Member States, a distributed European team, planned subsidiaries or repeated financing rounds.
Digital share transfers, online governance and more familiar investment instruments could reduce friction for those businesses. A common EU-wide label may also help investors understand the basic corporate structure without relearning a different national form for each deal.
The benefit is less obvious for a local business whose customers, employees, management and assets are all in Spain. That company would still face Spanish tax, employment, accounting and sector rules. For it, the familiar Spanish SL may remain the more practical choice even after EU Inc becomes available.
What founders planning a Spanish operation can do now
Founders may need to act before the legislation is ready. A business may need to sign a lease, employ staff, invoice customers, open a bank account or close an investment round before the EU legislative process finishes.
- Decide whether the business needs a company now. If contracts or financing are already moving, organise around a legal form that exists today.
- Map the real operating footprint. Record where management decisions will be made, where people will work, where intellectual property is held and where clients are served.
- Choose governance for the next financing round. Founder vesting, reserved matters, transfer restrictions and investor rights deserve attention whether the company is an SL or a future EU Inc.
- Prepare founder documentation early. Foreign founders of a Spanish company often need an NIE and banks will ask for ownership, activity and source-of-funds evidence. Our guide to forming a Spanish company without an NIE explains where delays tend to arise.
- Keep the structure adaptable. If EU Inc later offers a clear advantage, the final regulation may allow domestic or cross-border conversions. The conditions will depend on the law that is ultimately adopted.
For founders who need an operating company now, a Spanish Sociedad Limitada is available and legally understood. It can be incorporated with minimum share capital of €1, although special creditor-protection rules apply while capital and legal reserves remain below €3,000.
Plan around the business, not the proposal
EU Inc remains a proposal. Its value will depend on the final wording, the quality of the central registration interface and the way national authorities apply the boundaries between harmonised company law and local obligations.
Founders should follow the negotiations, especially if the business is designed for several EU markets. They should not put a viable 2026 launch on hold solely because an attractive company form may become available later.
The eventual form is useful only if it solves a material governance, financing or cross-border problem for the company.
Frequently asked questions
Is EU Inc already a legal company form?
No. As of 18 July 2026, EU Inc is a Commission proposal under negotiation. No founder can register one yet.
When will EU Inc be available?
There is no confirmed availability date. Parliament and the Member States hope to agree on a final text by the end of 2026. The current draft would then apply 12 months after entry into force.
Will EU Inc cost only €100?
The proposal caps the standard fast-track registration procedure at €100. That does not include every possible cost for advice, banking, tax compliance, licensing, translations or bespoke documents.
Would an EU Inc pay one EU tax rate?
No single EU corporate tax rate is created by the proposal. Tax residence, permanent establishment, VAT and payroll obligations would still need to be analysed under the applicable EU and national rules.
Can a non-EU founder use EU Inc?
The proposal is open to natural and legal persons, including third-country investors, but the company must have its registered office and its central administration or principal place of business in the EU. At least one director would need to be resident in the EU under the proposed text. The final rules may change during negotiations.
Should I wait for EU Inc or form a Spanish SL?
If the business needs to operate now, the Spanish SL is an available route. Waiting may make sense when there is no immediate commercial need and EU-wide governance is central to the plan. The choice depends on timing, tax footprint, investors and where the team will work.
Planning a company in Spain or a cross-border EU structure? We can compare the available route with the proposed EU Inc framework and identify the tax, immigration and banking issues around your launch. Contact Legal Fournier for advice on your situation.
This article provides general information and reflects the proposal and legislative status reviewed on 17 August 2026. It is not a substitute for advice on a specific structure.
