Malta

Operating a Business in Malta

Types of companies and capital (max/min)	Number of partners/shareholders and liability	Registration fees
Private Limited Liability Company (LTD) 1,165 Euros at minimum.	Minimum 1 shareholder, maximum 50 shareholders. The liability of the partner is limited to the amount of the capital contributed.	The fees are calculated according to the company's authorised share capital. Fees range between 350 to 1,750 Euros.
Sole Trader No minimum capital required	1 partner The liability of the partner is unlimited.	The fees are calculated according to the company's authorised share capital. Fees range between 350 to 1,750 Euros.
General Partnership No minimum capital required.	Minimum 2 partners, maximum 20 partners. Each partner is personally and indefinitely responsible for the debts and other commitments on behalf of the company.	The fees are calculated according to the company's authorised share capital. Fees range between 350 to 1,750 Euros.
Limited Partnership No minimum capital required.	Minimum 2 partners, maximum 20 partners. At least one of the partners is responsible personally and indefinitely for the debts and other commitments on behalf of the company.	The fees are calculated according to the company's authorised share capital. Fees range between 350 to 1,750 Euros.

Business setup procedures: A company to be set up in Malta needs to comply to some procedures. The first one is to be done at the Registry of companies where all necessary documentation should be recorded ; once all documents are duly received by this organization, the process of registration of a company will not exceed twenty four hours. It should be noted that these documents include a memorandum of association containing the main information of the company that wish to be set up, identification documents of the subscribers and proof that the initial share capital has been duly deposited. Besides, all new companies need to get registered with the Inland Revenue Department and the department in charge of the Value Added Tax ( VAT). In case of companies having salaried employees, it is also necessary to make such declarations with the Employment Training Corporation (ETC) and with the Ministry of Social Affairs. Moreover, the limited liability companies and the affiliates of foreign companies need to register themselves with the register of companies.
The competent organization: Companies should be registered at the Registry of Companies, which is under the guidance of the Malta Financial Services Authority (MFSA).

Legal weekly duration: The number of normal working hours per week is 40 hours.
Retirement age: 60 years for women, 61 years for men.
Working contracts: The work contract is mainly governed by the legal provisions of Conditions of Employment (Regulation) Act. Employment contracts can be on fixed or indefinite term and on a full time or part time basis.

Minimum wage: Malta's monthly national minimum wage is 585 Euros for employees aged 18 years and over.
Average wage: The average monthly wages range from EUR 650 (receptionist, secretary) to EUR 1,300 (employees in finance and IT fields).
Social contributions: Social security contributions paid by employers: 10%
Social security contributions paid by employees: 10%

Social dialogue and involvement of social partners: The main union of the island is the General Workers' Union - GWU.
The regulations governing the unions are based on the Industrial Relations Act of 1976.
Unions: General Workers' Union of Malta
Unionization rate: Trade union membership has grown considerably in the past 20 years. Of around 86,000 members, nearly three-quarters are men. Union representation in the public sector is very strong. Unionisation in the private sector is considerably lower than in the public sector. Around one-third of full-time employees of the private sector are covered by collective agreements.
Labor regulation bodies: Employment and Training Corporation