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EU Proposes 48-Hour Online Business Registration Under New 'EU Inc.' Plan

A bold leap toward cutting red tape: The EU's proposed 'EU Inc.' framework promises faster, digital-first company formation. Will member states embrace the change?

The image shows an old-fashioned sales register on a blue background. The board has text and...
The image shows an old-fashioned sales register on a blue background. The board has text and numbers on it, likely indicating the date and time of the register.

EU Proposes 48-Hour Online Business Registration Under New 'EU Inc.' Plan

The European Commission has unveiled a new legal framework to simplify business registration across the EU. Dubbed the 28th Regime or EU Inc., the proposal would allow companies to form and register in any member state within 48 hours—entirely online and without minimum capital requirements. The plan, published on 18 March 2026, now moves to the European Parliament and Council for debate, with a target for approval by the end of the year.

The Commission's proposal introduces a voluntary system for EU-wide company formation. Businesses opting in could register under uniform rules, cutting red tape and speeding up the process. Industry groups like the KI Bundesverband and BVDW have welcomed the initiative, though no EU government has yet publicly backed it.

Hesse's Minister for European Affairs, Manfred Pentz, praised the move, arguing that Europe must accelerate support for startups and innovation. He stressed the importance of streamlined procedures to reduce bureaucracy and boost competitiveness. According to Pentz, clear and simple regulations would help the EU attract global talent and keep pace with rival economies.

The proposal includes a Communication, annex, factsheet, and impact assessment. If adopted, the new regime would mark a significant shift in how businesses operate across the bloc, offering a faster, digital-first alternative to national registration systems.

The next step involves negotiations between the Parliament and Council, with the Commission aiming for an agreement by late 2026. If approved, the framework would provide entrepreneurs with a quicker, more flexible way to establish companies across the EU. Adoption remains optional, leaving businesses free to choose between national rules and the new EU-wide system.

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