1. Apply for your business permit
All businesses established in Luxembourg must acquire the necessary governmental permits. Commercial, skilled craft and industrial activities as well as certain liberal professions are subject to a business permit.
Setting up a business in Luxembourg
There are several steps you will need to take to set up a company in Luxembourg : acquiring necessary permits, choosing the suitable legal form, dealing with residence permits, visas and social security affiliations etc.. We have put together a practical guide to walk you through the different steps.
2. Define your company’s legal form
Whatever the size and nature of their business, it is crucial for entrepreneurs to choose a legal form that suits their activity (sole proprietorship or company).
3. Handle immigration issues
Any third-country national (a person who is not an EEA national – i.e. from an EU Member State, Iceland, Norway and Liechtenstein – or a Swiss Confederation national) planning to stay in Luxembourg for a period exceeding three months (90 days) must apply for a residence permit before entering the territory.
4. Explore financing and support measures
Companies that establish a sustainable presence in Luxembourg can draw on several financing and support measures that help them expand their activities, develop innovative concepts and products and strengthen their competitiveness.
5. Learn about taxation
Companies in Luxembourg are subject to corporate tax and have to apply value added tax (VAT) to their products and services. Individuals are taxed based on their personal situation.
6. Affiliate to the social security system
All companies need to fill in an operating declaration and a declaration of start of employment to the Joint Social Security Centre, which handles the data, registration of affiliations and collection of contributions for the different insurance funds.
Business creation: information, advice and administrative procedures
Making entrepreneurship easy is a Luxembourg priority. The House of Entrepreneurship offers free information and personalised advice to aspiring entrepreneurs and managers of established businesses on topics such as the creation, sale or acquisition of a company, in particular in the area of right of establishment, and legal and tax matters.
Detailed information and required forms covering a large number of administrative matters can be found on Luxembourg’s business portal Guichet.lu.
Download the complete brochure “How to set up a business in Luxembourg”