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How to Set Up a Company in Malta: A Practical Guide for International Entrepreneurs

Updated: Jun 25

Maltese flag in building

Malta has become one of the most attractive jurisdictions in Europe for company formation, offering a unique combination of tax efficiency, legal stability, and access to the European single market system. Whether you are an entrepreneur seeking international expansion or a company looking to optimise operations or tax benefits, understanding the process of setting up a business in Malta is key.

In this article, we outline the key steps and requirements for forming a company in Malta - and how a corporate services provider like Ancilia can support you every step of the way.





Why Choose Malta?

  • EU Member State with full access to the single market;

  • Transparent and business-friendly regulatory framework;

  • Attractive corporate tax system with refund mechanisms:

    • No capital gains tax;

    • No tax on dividends for holding vehicles;

    • No tax on royalties for registered patents (rules apply);

    • Down to 5% net tax rate (with refund) for trading entities;

  • High level of English proficiency and professional infrastructure.


Types of Companies in Malta

The most common legal entity used by foreign investors is the Private Limited Liability Company (Ltd). Other types include:

  • Public Limited Company (Plc);

  • Partnerships (General and Limited);

  • Sole Traders (for individuals);

  • Branches of foreign companies.


Step-by-Step: How to Register a Company in Malta

1. Choose a Company Name

The name must be unique and approved by the Malta Business Registry (MBR). An availability search can be done beforehand.


2. Draft the Memorandum and Articles of Association

These documents define the company’s structure, object, and internal governance rules. They must comply with the Companies Act (Cap. 386).


3. Determine Share Capital

  • Minimum authorised share capital: 1.200,00€;

  • Minimum issued share capital: 20% must be paid upfront (approx. 240€);

  • Contributions can be in cash or in kind.


4. Appoint Directors and Shareholders

  • A private company must have at least one director and one shareholder (can be the same person or entity);

  • Company secretary is also required by law;

  • Both Maltese residents and foreigners can hold these positions.


5. Registered Office in Malta

Every company must have a local registered address where official correspondence can be sent.


6. Submit Application to the Malta Business Registry

Documents needed:

  • Memorandum & Articles of Association;

  • Identification of directors, shareholders, and secretary;

  • Proof of paid-up share capital;

  • Application form.

Once approved, the company will be assigned a registration number and a Certificate of Incorporation is issued.


7. Register for Tax and VAT (if applicable)

Following incorporation, the company must register with the Commissioner for Revenue and apply for:

  • A Tax Identification Number (TIN);

  • VAT number, if business activities require it.


Timeframe & Costs

  • Incorporation timeframe: 2 to 5 business days (if all documents are in order);

  • Total Package cost for Incorporation and First year of operation for full compliance with local requirements: Start at 4800€ (depending on share capital and number of Beneficial Owners);

  • Depending on the number of transactions your business is intended to make, costs may vary due to bookkeeping and audit requirements.


Ongoing Compliance

Malta-based companies are required to:

  • Submit annual returns and financial statements;

  • Maintain proper accounting records;

  • Undergo annual audits (for most company types);

  • Comply with anti-money laundering (AML) and know your customer (KYC) regulations.


How Ancilia Can Help

At Ancilia, we offer full support with:

  • Company formation and documentation;

  • Local directorship, secretary and registered office services;

  • Tax, VAT, and compliance registrations;

  • Ongoing corporate administration and accounting;

  • Advisory on the best corporate structure for tax efficiency.


Our team ensures you meet all legal obligations while benefiting from Malta’s strategic advantages.


Ready to Incorporate in Malta?

Malta offers a compelling environment for business growth, but navigating its legal and administrative framework requires local expertise. If you're considering setting up a company in Malta, Ancilia is your strategic ally.


Get in touch to learn how we can support your expansion.

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