EU Commission Proposes EU Inc. for Streamlined Firm Setup

The European Commission unveiled a proposal on Wednesday for a new corporate framework called EU Inc., or the 28th regime, designed to streamline company formation across the 27 EU member states by allowing fully online registration in under 48 hours for less than 100 euros.

The initiative, announced by Commission President Ursula von der Leyen, introduces an optional set of harmonized rules that would enable entrepreneurs to establish a company once and have it automatically recognized throughout the bloc, without needing to navigate separate national procedures or create subsidiaries in each country. Key features include no minimum capital requirement, digital-by-default processes with electronic identification, and automated data exchange between administrations to apply the once-only principle, where companies submit information just once. The framework covers basic corporate rules such as incorporation, governance, and simplified liquidation, while leaving taxation, labor law, and social security governed by the country of operation.

Von der Leyen emphasized the proposal's role in addressing long-standing barriers. "With EU Inc., we are making it drastically easier to start...