Deferred Payment Of Minimum Share Capital For SARLs

Bill of law 8669 was submitted to Parliament yesterday to authorise the deferral of payment of the minimum share capital for private limited companies (SARLs) for up to 12 months after the date of incorporation.

The proposed reform represents an additional step forward in modernising Luxembourg's company law framework and enhancing the competitiveness of its financial centre. By allowing company founders to defer payment of the minimum share capital for up to 12 months after incorporation, the bill of law addresses a practical barrier that has long hindered the swift establishment of SARLs in Luxembourg.

Why this reform?

Currently, incorporating a Luxembourg SARL (société à responsabilité limitée) requires a minimum share capital of EUR 12,000, which must be fully paid up at the time of incorporation.