alt Hacker NewsCan't work legally speaking. There has to be a single sponsoring member state. Just sadly how the EU is designed.
The only way would be to copy it individually so it is the same in each member state which breaks the purpose of it.
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If the EU is saying "we'll make it work", replying "can't work because that's how the EU is designed" doesn't seem like an intelligent response.
Weird. Seems to work for Airbus, Allianz, BASF, E.ON, Fresenius, LVMH Moët Hennessy Louis Vuitton (and its subsidiary Dior), SAP, Schneider Electric, TotalEnergies, Unibail-Rodamco-Westfield and Vonovia.
Of course, that's the existing pan-European SE which is a public company. Needs like a few sentences changed in the existing regulation to extend that to private companies. https://en.wikipedia.org/wiki/Societas_Europaea
Maybe the task is to make the changes to get this to work legally speaking.
They've already said it'll be the 28th state
this proposal exists under the umbrella of the 28th regime[0] idea, as per their FAQ.
Which.. would be a good idea, but I am not holding my breath for it to happen in the next 10 years.
And if the authors of the proposal had thought a bit more about their idea, they would have realized that the situation is exactly the same in the USA:
You have to select a state to incorporate in. You can't incorporate "federally". All states have different laws and regulations relating to business. Just like in Europe.
So they're chasing a false idea.
this isn't fully true
yes you company needs to be rooted in a specific country, and sure moving company roots between countries is still not always trivial (anti capital flight laws are a thing). But that isn't really in conflict with a EU INC per-se. I mean they do point out that it will have
> Local taxes & employment
and this isn't in conflict with
- the same business form being available in all EU members
- central EU registry
- Standardized investment documents ( * this is only investment documents, not e.g. tax documents)
- Standardized EU-wide stock options
- For every founder ( * with some limits)
Like there are already some "EU level" business models, e.g. you company can operate as a Societas Europaea (SE). Now a SE is for other use-cases so not really the same at all (it's more like the EU version of a German GmbH), but it shows that things "in that direction" are very much viable.