A Price Tag That Changes Everything
When the European Commission unveiled the EU Inc proposal, one number stood out above all others: under €100. That's the maximum cost to register a new company that will be recognized across all 27 EU member states. For a continent where company formation costs routinely run into the thousands, this is nothing short of revolutionary.
To put this in perspective, forming a traditional company in Europe today can cost anywhere from €300 in Estonia to over €3,000 in Italy, once you factor in notary fees, legal counsel, and administrative charges. The EU Inc doesn't just lower the barrier — it practically eliminates it.
What's Included in the Sub-€100 Fee
The EU Inc registration fee covers everything a founder needs to get started:
- Digital identity verification through the eIDAS framework- Company name reservation with EU-wide uniqueness checking- Articles of association using standardized, pre-approved templates- Registration in the national business registry of the chosen member state- Automatic BRIS registration for cross-border recognition- Digital certificate of incorporation valid across the EU- Legal Entity Identifier (LEI) for international transactions
Notably absent from this list: notary fees, legal consultation costs, and physical document processing charges. These traditional cost centers, which account for the bulk of company formation expenses in most EU countries, are simply not part of the EU Inc equation.
Country-by-Country Cost Comparison
To understand just how disruptive this pricing is, let's compare the EU Inc's sub-€100 fee with what entrepreneurs currently pay across Europe:
High-Cost Countries
- Italy (SRL): €1,500–€3,000+ (notary fees alone can exceed €1,500, plus €309 registration tax, stamp duties, and commercial register fees)- Germany (GmbH): €800–€1,500 (notary fees of €300–€800, plus €150 commercial register, plus €25,000 minimum capital)- France (SAS): €500–€1,200 (legal fees, publication in a legal journal at ~€200, plus various administrative costs)- Spain (SL): €600–€1,500 (notary €150–€300, registry €100–€200, plus €3,000 minimum capital) ### Medium-Cost Countries
- Netherlands (BV): €400–€900 (notary mandatory, approximately €400–€700 for standard formation)- Belgium (BV/SRL): €500–€1,000 (notary and publication costs)- Poland (sp. z o.o.): €200–€500 (if done online €200, traditional route with notary €400+) ### Low-Cost Countries
- Estonia (OÜ): €190–€300 (the gold standard for digital company formation in Europe)- Ireland (LTD): €100–€300 (online registration available)- Bulgaria (OOD): €100–€250 (one of the cheapest in the EU)
Even compared to Europe's cheapest options, the EU Inc comes in lower — and with the massive added benefit of automatic recognition in all 27 member states.
The Hidden Costs That Disappear
The raw registration fee only tells part of the story. The EU Inc eliminates several hidden costs that plague traditional company formation:
No Notary Fees
In countries like Germany, Italy, the Netherlands, and Spain, notary involvement is mandatory for company formation. These fees typically range from €300 to €1,500 and constitute the single largest cost component. The EU Inc's digital-by-default approach makes notaries unnecessary.
No Legal Template Costs
The standardized articles of association provided by the EU Inc platform are free and pre-approved. Entrepreneurs don't need to hire a lawyer to draft founding documents — unless they want custom provisions that go beyond the standard template.
No Translation Costs
Since the EU Inc is a unified form recognized across all member states, there's no need to translate corporate documents when operating in different countries. This alone can save hundreds of euros per market expansion.
No Cross-Border Registration Fees
A traditional company wanting to operate in another EU country typically needs to register a branch or subsidiary, with costs of €500–€2,000 per country. An EU Inc operates everywhere from day one at no additional cost.
Why Is It So Cheap?
The sub-€100 price point is possible because of three key factors:
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Digitization eliminates manual processing: Automated systems handle identity verification, compliance checks, and registration, reducing the need for expensive human intervention- Standardization reduces complexity: Pre-approved templates and unified procedures mean less bureaucratic overhead- Scale economics: A single system serving 27 countries can operate at far lower per-unit costs than 27 separate national systems
The Impact on European Entrepreneurship
Cost has always been a significant barrier to entrepreneurship, particularly for young founders, solo entrepreneurs, and teams in lower-income EU member states. When starting a company costs more than a month's salary — as it does in several EU countries — many potential businesses never get off the ground.
"Reducing the cost of company formation to under €100 isn't just about saving money. It's about sending a message that Europe welcomes entrepreneurs, regardless of their starting point," stated a European Commission spokesperson.
The EU Inc levels the playing field. A student in Romania has the same access to affordable company formation as an executive in Luxembourg. A freelancer in Portugal can formalize their business for less than the cost of a dinner for two.What About Ongoing Costs?
The sub-€100 fee covers initial registration. Ongoing costs for maintaining an EU Inc are similarly designed to be minimal:
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Annual filing: Simplified digital reporting with no mandatory audit for small companies- Address requirements: A registered agent service is permitted, eliminating the need for physical office space- Tax compliance: Handled through the member state where the company is registered, using existing national tax systems
The Bottom Line
At under €100, the EU Inc doesn't just compete with Europe's cheapest company formation options — it redefines what's possible. For the first time, cost will no longer be a factor in deciding where or whether to start a business in Europe. And that is precisely the point.
Originally published on EU Inc News
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