To become an entity duly incorporated under Luxembourg law, a foreign company established abroad may elect to transfer its registered office and redomicile to Luxembourg. There are two main incorporation regimes: seat of incorporation and seat of establishment.
For seat of incorporation countries, the registration into a company register is the main element to determine the nationality of a company, while for seat of establishment the most important factor is the place where the company has its principal premises; its head office, the place from where is it managed. For the latter, the transfer of head office and adoption of a new nationality can be achieved by a simple transfer of the place where the company is managed and controlled.
Important Note: While some countries have a traditional incorporation of seat regime, they also allow redomiciliation in their company law; for example, Cyprus and Malta.
Read also:
European Company - status, redomiciliation
Permanent Establishment - OECD / Luxembourg
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