Investors often chose the Luxembourg “SOPARFI” (“société de participations financières”) to hold cross-border investments. A SOPARFI is a company which holds investments but which may also engage in normal commercial or industrial activities. A SOPARFI benefits from the Luxembourg double tax treaty network, as well as the EU parent-subsidiary directive.
The incorporation of a company typically takes 1 – 2 weeks, and requires a meeting before a public notary.
Some of the features of a SOPARFI are:
public limited liability company (société anonyme) (SA), or
private limited liability company (société à responsabilité limitée) (S.à r.l.)
- minimum one
- nominees and foreign shareholders are permitted
- minimum one – may use corporate director
- Luxembourg residence not required
- SA: EUR 31,000, of which at least 25 % must be paid in
- S.à r.l.: EUR 12,500 fully paid
- Share classes with different rights are permitted
Annual accounts should be filed annually at the Register of Commerce, which renders them public.