The Maltese Companies - An Overview (Revised Version)

Although the smallest member of the European Union (EU), Malta is a leading European financial centre and is one of the most cost-effective onshore jurisdictions in Europe to form a company. Malta is fully OECD and FATF compliant, has a robust regulatory and legal system and boasts one of the lowest effective corporate tax rates in Europe. In Malta, business entities are typically structured either by forming a limited liability company or as a partnership.

TYPES OF COMPANY: THE PRIVATE LIMITED AND THE PUBLIC COMPANY

A company may be established as a private company or a public company. In both cases the shareholders liability will be limited to the amount they contribute to the formation of the company. The Companies Act, 1995, sets out the governing law and all companies are formed by being registered with the Malta Business Registry.