Purchasing a Legal Entity in Europe

Purchasing a legal entity is a practical tool for those looking to quickly launch a business, enter the European market, or gain access to an existing infrastructure such as licences, contracts, or client base. Acquiring a foreign legal entity not only saves time but also allows you to benefit from the company’s “history”: from VAT registration to business reputation.

Need a company to participate in tenders? Require a company with trading history for registration on international platforms? Or do you want a ready-to-use business tool? Buying a ready-made company is becoming less of an alternative and more of a necessity.

In this article, we’ll explore the practical aspects of purchasing ready-made companies, outline the key advantages, and analyse the features of the most in-demand jurisdictions: Cyprus, Malta, and Switzerland.

What does buying a ready-made company involve?

The purchase of legal entities in Europe is a regulated process that must comply with the legislation of the specific country — including tax and corporate law, compliance procedures, and, if required, approval from regulators (especially when the company holds a licence).

One of the most popular requests is to buy a company that was registered over a year ago. This is particularly relevant for those intending to register on international platforms and marketplaces, where there are often minimum operating history requirements. A legal entity with at least 12 months’ history can be instantly verified, boost trust with counterparties, and begin operating without delays related to registering a new structure or waiting for reporting periods.

Buying a ready-made company typically comes in two main formats:

1. Companies with no history (clean or shelf companies) – structures that have been registered but have not engaged in any commercial activity. Ideal for those seeking a zero-reporting entity to start from scratch, without spending time on the registration process or administrative setup.
2. Companies with operating history – legal entities that have previously carried out business activities. These ready-made entities may come with licences, VAT numbers, bank accounts, or filed financial statements, offering significant advantages in industries where time is of the essence. In some cases, they may already include a lease agreement and full substance (address, director, accounting).

Advantages of Purchasing Ready-Made Companies in Europe

Depending on the country, a ready-made company can be used for local operations or for an international trading, IT, or investment structure. Choosing a ready-made company is particularly relevant in cases where it is necessary to:
✓ Enter the EU market without delays related to new entity registration;
✓ Register on international platforms and marketplaces that require a trading history of at least 12 months;
✓ Immediately participate in tenders;
✓ Acquire a structure with an already opened bank account, VAT number, or licence;
✓ Simplify compliance and verification processes.

Each country offers its own conditions and characteristics that should be considered when deciding to purchase a foreign company. Let’s take a closer look at Cyprus, Malta, and Switzerland — three of the most popular destinations for those planning to acquire a ready-made company in the European Union.

Features of Ready-Made Companies in Cyprus

Purchasing a ready-made company in Cyprus is a practical option for foreign entrepreneurs, especially for those aiming to quickly launch operations within the EU, engage in international trade, or implement tax planning strategies.

Key Features:
• Corporate tax of just 12.5% — one of the lowest in the European Union.
• Wide network of double tax treaties — over 65 countries, including Canada, China, the UAE, Ukraine, Israel, and EU states.
• Tax residency is possible without physical presence, provided that the company is managed from Cyprus (e.g. resident director, substance).

Ready-made companies in Cyprus are often chosen for international trading structures, IT businesses, investment platforms, and consultancy projects. You can purchase a company with a “clean” history (no activity), or one with existing business operations, a VAT number, bank account, and submitted financials.

Buying a ready-made company in Cyprus is not merely an alternative to registration — it is a fully functional business tool that allows you to begin operations immediately, meet the requirements of banks, platforms, and regulators, and build a tax-efficient model within the EU.

Features of Ready-Made Companies in Malta

Acquiring a ready-made company in the European Union through Malta is a popular solution for businesses targeting international markets and legal tax planning. One of the key advantages is the possibility of reclaiming up to 6/7 of the corporate tax paid, reducing the effective tax rate to as low as 5%, making the purchase of a legal entity in Malta particularly beneficial for foreign owners.

Ready-made companies in Malta are most commonly used for:
• Holding structures,
• Investment management,
• Participation in international trade,
• Obtaining licences (including financial and gaming licences).

However, when purchasing a company, it is important to take into account the substance requirements — meaning the need for a physical office, employees, and actual business activity within the country. It is also essential to check whether the company holds any active licences, has an open bank account, and submitted financial reports.

Buying a company with a licence in Malta is especially relevant for financial services, cryptocurrency projects, and online gambling. Acquiring such a structure can save 6–12 months compared to setting up a new entity from scratch.

Features of Ready-Made Companies in Switzerland

Purchasing a ready-made company in Switzerland is a choice in favour of business reliability, financial stability, and prestigious international status. While Switzerland is not a member of the European Union, the country is closely integrated into the European economic space, participates in free trade with the EU, and offers a high level of protection for property rights.

When purchasing a ready-made company in Switzerland, it is essential to consider the canton in which it is registered. Tax rates (ranging from 11% to 21%), substance requirements, residency conditions, and maintenance costs vary by canton, making the selection of the canton a key decision.

You can purchase a ready-made company in Switzerland in the form of a GmbH (minimum capital — CHF 20,000) or an AG (from CHF 100,000). The transaction requires notarial support and mandatory KYC (Know Your Customer) verification of beneficiaries.

Swiss ready-made companies are especially popular among international entrepreneurs operating in asset management, international trade, consulting, pharmaceuticals, and high-tech sectors.

How to Choose the Right Company?

Purchasing a ready-made company in the European Union is not merely a legal formality but a serious investment decision that determines the future tax, financial, and operational capacity of your business. Regardless of the chosen jurisdiction, acquiring a legal entity in Europe requires a professional approach, thorough preparation, and careful risk assessment. To ensure that buying a ready-made company in the EU becomes an effective tool rather than a source of complications, it is essential to follow several key stages of analysis.

• Legal Audit
  Before acquiring a ready-made company in the EU, a full legal due diligence must be conducted. Whether through the purchase of shares or the transfer of ownership in the company’s capital, it is vital to ensure the legal “cleanliness” of the entity. The audit includes a review of corporate documents, company history, any ongoing litigation, obligations to state authorities, and the reality of business activity.
• Company Valuation
  The price of a ready-made company in Europe is determined by several factors: age since registration, presence of assets, business history, available licences and bank accounts, jurisdiction, and current status (tax residency, VAT number, etc.). While companies with operating history may be more expensive, they offer greater business stability and reputational benefits.
• Tax Obligations
  Tax status should be given particular attention. It is essential to check for any outstanding tax liabilities, whether all mandatory returns have been filed, and if the company has complied with local tax laws. Neglecting this stage could result in account freezes, fines, or difficulties with the tax authorities.

Purchasing a ready-made company in Europe is an effective and strategically sound move for those wishing to enter the EU market quickly, optimise taxation, gain access to licences, or expand international presence.

Why Choose Feod Group

If you are planning to acquire a ready-made company in the European Union, entrusting the process to experienced lawyers is a wise choice. Our specialists will help you select the optimal structure tailored to your objectives, ensure full due diligence, handle the transaction, and provide post-sale administration.

Our team specialises in international corporate law, tax structuring, and transaction support across the EU and Switzerland.

We offer not just company selection but a full turnkey solution — from initial goal analysis to full integration of the acquired company into your business model, industry requirements, and chosen jurisdiction.

With us, you receive:
• Selection of ready-made companies
• Complete due diligence — legal, tax, and financial verification before purchase
• Support at every stage: contracts, registries, licences, bank accounts
• Post-sale support

Contact us to receive a personalised consultation and find the most suitable solution!