SARL or SARL-S: which legal form for your company in Luxembourg?

You are launching your business in Luxembourg and hesitating between a SARL and a SARL-S (simplified private limited company)? Both forms protect your personal assets, but they do not meet the same needs.

Share capital

A SARL requires a minimum share capital of €12,000. A SARL-S can be set up with share capital from €1, which makes it very accessible for getting started.

Shareholders

The SARL-S is reserved for individuals: a company cannot be a shareholder. The SARL accepts individuals and legal entities as shareholders, which suits projects with partners or a holding company.

Incorporation formalities

A SARL is incorporated by notarial deed. A SARL-S can be incorporated by private deed, which simplifies the formalities. In both cases, you need a business permit, a bank account, registration with the RCS and a declaration of beneficial owners to the RBE.

How to choose?

  • SARL-S: you are starting alone or with other individuals, on a limited budget.
  • SARL: you have corporate shareholders, financing needs, or want to show a more solid structure to your partners.

The right choice also depends on your activity, your growth plans and your tax situation. Talking to a chartered accountant before incorporation avoids costly mistakes.

We support you

INFID Advisory handles the formation of your SARL or SARL-S from A to Z, from €1,000 excl. VAT, as well as domiciliation and accounting. Discover our company formation service.

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