Corporate Services in Malta: 2025 Overview and Fees
Embarking on the journey of international business expansion is a significant step, and choosing the right jurisdiction is paramount. Malta, a full EU member state with a robust economy, a strategic Mediterranean location, and a highly advantageous tax system, has become a premier destination for entrepreneurs and corporations worldwide. However, before you can leverage these benefits, a crucial question arises: “What is the true Malta company formation cost?” The answer is often shrouded in complexity, with a mix of government fees, professional service charges, and ongoing compliance costs that can be difficult to decipher.
This definitive guide, brought to you by the experts at Contact Advisory Services Ltd., an MFSA Authorized Company Services Provider, is designed to demystify the entire process. We will break down every single cost component, from mandatory one-time registration fees to the full spectrum of essential annual recurring expenses. Our goal is to provide you with a transparent, comprehensive understanding, empowering you to budget effectively and make informed decisions. We will navigate the fees charged by the Malta Business Registry (MBR), explain the indispensable and multifaceted role of a Corporate Services Provider (CSP), and outline the ongoing financial commitments required to keep your Maltese company compliant and in good standing. By the end of this guide, you will have a crystal-clear picture of the investment required to establish and operate your business in this dynamic European hub.
What Are the Primary Categories of Malta Company Formation Costs?
The total cost of forming a company in Malta is broadly divided into two main categories: one-time formation costs and annual recurring costs. One-time costs cover the initial registration and setup, while annual costs are for the ongoing maintenance and compliance required to keep the company operational and in good legal standing.
Understanding the financial landscape of setting up a Maltese company begins with separating the initial investment from the long-term operational expenses. Miscalculating or overlooking either of these categories can lead to unexpected financial strain and potential compliance issues down the line.
- One-Time Formation Costs: These are the initial, upfront expenses incurred to legally establish your company. This category includes mandatory government registration fees paid to the Malta Business Registry (MBR) and the professional fees charged by your chosen Corporate Services Provider (CSP) for their expertise in managing the incorporation process. This covers everything from drafting foundational legal documents and submitting the application to assisting with bank account opening and tax registrations.
- Annual Recurring Costs: These are the ongoing expenses required to maintain your company’s legal and financial good standing each year. These costs are just as critical as the initial setup fees and must be factored into your long-term business budget. They typically include the annual company return fee to the MBR, fees for a registered office address, company secretarial services, ongoing compliance checks, accounting, and the mandatory annual audit of your financial statements.
Think of it like building a house. The one-time costs are for buying the land and constructing the building. The annual recurring costs are the property taxes, insurance, and maintenance needed to keep the house in excellent condition year after year. Both are essential for the long-term value and viability of your asset.
What Are the Mandatory Government Fees for Company Registration?
The primary mandatory government fee for company registration in Malta is paid to the Malta Business Registry (MBR). This fee is not a flat rate; it is calculated on a sliding scale based on the company’s authorised share capital, starting from a minimum for companies with the lowest share capital.
When you incorporate a company in Malta, you are legally required to register it with the Malta Business Registry (MBR), the official body responsible for the registration and regulation of companies in the jurisdiction. The MBR charges specific fees for its services, which form the baseline of your formation costs. These fees are non-negotiable and apply to every new company, regardless of the industry or the service provider you use.
How Is the MBR Registration Fee Calculated?
The MBR registration fee is directly tied to the amount of authorised share capital your company declares in its Memorandum of Association. The fee operates on a tiered structure, meaning the higher the authorised share capital, the higher the registration fee payable to the MBR.
The concept of “authorised share capital” is fundamental to this calculation. It represents the maximum amount of capital that the company is legally authorised to issue to shareholders. While your company might not issue all of this capital initially (this is known as “issued share capital”), the registration fee is based on the total authorised amount.
This structure allows for scalability. A small startup with a minimum share capital will pay the lowest possible fee, while a large corporation intending to raise significant capital will pay a proportionally higher fee. It’s a system designed to be fair and reflective of the company’s intended scale. For a standard new company, this fee is typically based on the minimum share capital of €1,200.
Malta Business Registry (MBR) Registration Fees Based on Authorised Share Capital:
Authorised Share Capital (€) | MBR Registration Fee (€) |
Up to €1,500 | €245 |
€1,501 – €5,000 | €330 |
€5,001 – €10,000 | €410 |
€10,001 – €25,000 | €520 |
€25,001 – €50,000 | €600 |
€50,001 – €100,000 | €840 |
€100,001 – €250,000 | €970 |
€250,001 – €500,000 | €1,200 |
€500,001 – €1,000,000 | €1,750 |
€1,000,001 – €2,500,000 | €2,000 |
Over €2,500,000 | €2,250 |
Our expert team at Contact Advisory Services Ltd. can advise you on the optimal share capital structure for your specific business needs, ensuring you are not overpaying on these initial mandatory costs.
Are There Other MBR Fees I Should Know About During Formation?
Yes, beyond the main registration fee, there may be smaller, ancillary fees payable to the MBR for sundry expenses. These can include fees for reserving a company name in advance or obtaining certified copies of documents, which are often bundled into the comprehensive service package provided by a CSP.
While the registration fee based on share capital is the most significant government charge, the MBR has a schedule of fees for various other services. In most cases, these minor fees are handled directly by your Corporate Services Provider and are incorporated into their overall service fee, so you won’t necessarily see them as separate line items. However, it’s important to be aware that these government-mandated charges exist as part of the total Malta company formation cost.
Why Is a Corporate Services Provider (CSP) Essential in Malta?
A Corporate Services Provider (CSP) is essential because they possess the required license and expertise to navigate Malta’s legal and regulatory framework efficiently. They handle all the complex administrative tasks of incorporation and ensure your company is compliant with Maltese Company Law from day one, which includes requirements like having a registered office and a company secretary in Malta.
Attempting to navigate the Maltese company formation process alone is not only impractical for a foreign national but, in many respects, impossible due to legal requirements. The Maltese regulatory environment mandates that certain roles and responsibilities be fulfilled by qualified and, in many cases, licensed individuals or entities based in Malta. This is where a licensed CSP like Contact Advisory Services Ltd. becomes your indispensable partner. We can offer a full suite of services to set up and operate your company.
Engaging a CSP is not simply a matter of convenience; it is a strategic decision for several key reasons:
- Legal Compliance: Maltese law requires a company to have a registered office address in Malta and to appoint a Company Secretary. A CSP provides both of these essential components, ensuring you meet your statutory obligations.
- Expertise and Efficiency: The incorporation process involves drafting precise legal documents, conducting due diligence, and submitting a complete application package to the MBR. Experienced CSPs have refined this process, ensuring accuracy and speed, and preventing costly delays or rejections due to errors.
- Single Point of Contact: Your CSP acts as the central coordinator for the entire setup. They liaise with the MBR, notaries, and banks, streamlining communication and saving you the immense effort of dealing with multiple agencies.
- Post-Incorporation Support: The relationship doesn’t end after registration. A CSP provides ongoing support for annual compliance, accounting, tax, and corporate governance, forming the backbone of your company’s administration in Malta.
What Specific Services Does a CSP Provide During Company Formation?
During company formation, a CSP provides a comprehensive suite of services including drafting the company’s constitutional documents (M&A), preparing and submitting all registration forms to the MBR, providing a registered office, and assisting with critical ancillary tasks like bank account opening and tax registration.
The professional fee you pay to a CSP is not for a single action but for a range of expert services that are critical to a successful incorporation. A standard company formation package from a reputable CSP is meticulously designed to cover every administrative and legal requirement. Based on our offerings at Contact Advisory Services Ltd., here is a detailed breakdown of what is typically included:
- Core Incorporation Services (One-Time Costs):
- Company Incorporation: This is the foundational service, which itself includes several key actions:
- Drafting of the Memorandum and Articles of Association (M&A).
- Preparation of the Beneficial Owner (BO) Form where required.
- Submission of all incorporation documents to the Malta Business Registry.
- Preparation of Statutory Registers: Upon incorporation, we prepare the company’s combined register, which includes the official records of directors, shareholders, company secretaries, and registered offices.
- Preparation of Share Certificates: We handle the official preparation of share certificates for each shareholder, a crucial step in formalizing ownership.
- Company Incorporation: This is the foundational service, which itself includes several key actions:
- Essential Ancillary & Domiciliation Services:
- Bank Account Opening Assistance: We provide expert assistance in opening a corporate bank account, a process which can be complex for foreign nationals. This service covers a dedicated number of hours to manage the application and liaise with the bank. Note that any fees charged by the bank itself are separate.
- Registration with Tax and VAT Authorities: We manage the one-time registration of your company with the relevant tax authorities, securing your Tax Identification Number and VAT number where applicable.
- Provision of Registered Office Address: We provide a compliant registered office address in Malta, which is an annual service required by law.
- Appointment of Key Personnel: We can arrange for qualified professionals to be appointed as Company Secretary or Director, both of which are offered as annual services.
- Tax Representative Appointment: We can appoint a formal tax representative for the company, an annual requirement for ongoing tax compliance.
- Specialized Compliance Services:
- Internal Beneficial Owners Register: We assist with the preparation and ongoing maintenance of the company’s internal register of beneficial owners, an annual compliance requirement.
- Application for DDTA Exemption: We can manage the application for a Double Taxation Treaty Agreement (DDTA) exemption, a service that is renewable every three years.
For clients establishing a Holding Company, we offer these services with the potential for cost-effective packages, especially when set up in conjunction with an operating company.
How Do CSPs Structure Their Professional Service Fees?
CSPs typically structure their fees as one-time charges for setup services and annual charges for ongoing services. For tasks that are variable in nature, such as bank account opening or compliance checks, fees may be based on a set number of hours, with additional time billed at an agreed-upon rate.
Understanding how you will be charged is crucial for budgeting the professional services component of your Malta company formation cost.
- Fixed Fees (One-Time & Annual): Many core services come with a fixed fee. For example, the main Company Incorporation service is a one-time cost. Services like the provision of a Registered Office Address or a Company Secretary are fixed annual costs.
- Time-Based Fees: Some services require a variable amount of work depending on the complexity of the client’s case. For these, a CSP often includes a base number of hours in the fee. For instance, our Bank Account Opening assistance covers a specific number of work hours, with any further time required charged at an hourly rate. Similarly, our annual KYC compliance checks cover a maximum number of hours, with additional time billed separately.
- Bespoke Quotations: For complex structures or clients requiring high levels of support (such as directorship services), a custom quote is provided. Directorship fees, for example, vary according to the company’s business activity.
At Contact Advisory Services Ltd., we believe in full transparency. The cost associated with our professional services is a direct reflection of the value, expertise, and peace of mind we provide. Because every business is unique, the best way to understand the precise professional fee for your venture is to engage with us directly.
We invite you to get in touch for a free, no-obligation consultation where we can discuss your specific requirements and provide a clear, detailed proposal tailored to your business needs.
What Are the Mandatory and Operational Annual Costs for a Maltese Company?
Every Maltese company faces a range of mandatory and operational annual costs to remain compliant, which include government fees, corporate administration services, and financial reporting. These recurring expenses encompass everything from MBR filings and registered office fees to ongoing KYC checks, bookkeeping, and tax returns.
The initial formation cost is only the first part of the financial equation. To maintain your company’s active and compliant status, you must budget for a set of recurring annual costs. These are not optional; they are legally required and essential for the smooth operation of your business. Failing to meet these annual obligations can result in hefty penalties, legal repercussions, and even the company being struck off the register.
What Are the Annual Government and MBR Fees?
The primary annual government fee is the Annual Return fee paid to the Malta Business Registry (MBR). Like the initial registration fee, this fee is calculated based on the company’s authorised share capital, starting from €100 for companies at the minimum capital level.
Every year, a Maltese company must submit an Annual Return to the MBR. This document confirms key company details as of its anniversary date. The submission of this return is accompanied by a fee based on the same sliding scale as the initial incorporation, but at a lower rate. Your CSP will manage the preparation and timely filing of this Annual Return as part of their yearly services.
MBR Annual Return Fees Based on Authorised Share Capital:
Authorised Share Capital (€) | MBR Annual Return Fee (€) |
Up to €1,500 | €100 |
€1,501 – €5,000 | €140 |
€5,001 – €10,000 | €165 |
€10,001 – €25,000 | €200 |
€25,001 – €50,000 | €240 |
€50,001 – €100,000 | €300 |
€100,001 – €250,000 | €400 |
€250,001 – €500,000 | €600 |
€500,001 – €1,000,000 | €1,000 |
Over €1,000,000 | €1,400 |
What Are the Annual Corporate Administration and Domiciliation Costs?
Annual corporate administration costs cover the essential services required for legal domicile and governance in Malta. This includes the provision of a registered office address, the services of a Company Secretary, and where applicable, the appointment of a resident director and tax representative.
These are the foundational services that keep your company anchored and compliant within the Maltese legal system:
- Provision of Registered Office Address: An ongoing annual cost for maintaining the legally required physical address in Malta.
- Company Secretary Services: An annual fee for the appointment of a professional Company Secretary responsible for corporate governance and statutory duties.
- Directorship Services: For clients who require a resident director, this is a significant annual service with fees varying based on the company’s activity and the director’s level of involvement.
- Appointing a Tax Representative: This is an annual service to ensure proper representation with the Maltese tax authorities.
What Are the Ongoing Compliance and Filing Costs?
Ongoing compliance costs involve the annual activities required to meet regulatory obligations. This includes performing annual KYC checks, maintaining the internal beneficial owners’ register, and preparing and filing the annual confirmation of beneficial ownership with the MBR.
Modern regulations place a heavy emphasis on transparency and anti-money laundering efforts. Your CSP manages these critical tasks:
- Annual KYC Checks: We perform mandatory annual compliance checks on our clients to ensure all due diligence information is up to date. This service fee typically covers a set number of hours for the review.
- Maintenance of Internal Beneficial Owners Register: A recurring annual task to ensure the company’s internal BO register is accurate.
- Preparation and Filing of Annual Beneficial Ownership Confirmation: An annual service where we prepare and file the official confirmation with the MBR.
It is important to note that some of these services, while listed as optional, become obligatory if you engage us for director or company secretary services to ensure seamless compliance.
What Are the Costs Associated with Accounting and Tax Filings?
The annual costs for accounting and tax include professional fees for bookkeeping, preparation and filing of the corporate tax return, and where applicable, managing payroll and submitting tax refund claims. These costs are variable and depend heavily on the company’s level of activity.
These services are fundamental to your company’s financial health and tax compliance:
- Book-keeping: This service involves the ongoing recording of your company’s financial transactions. Fees are often structured quarterly or annually and are based on the volume of work, typically covering a maximum number of hours before additional time is billed.
- Preparation and Filing of Tax Return: An essential annual service to ensure your company’s profits are correctly declared and filed with the tax authorities.
- Preparation and Filing of Tax Refund Claim: For shareholders eligible under Malta’s tax imputation system, this is a distinct service, charged per claim, to manage the refund process.
- Payroll: For companies with employees in Malta, we offer payroll services which include a one-time software setup fee and a recurring charge per employee.
- Financial Audit: Maltese law requires an annual audit of the financial statements by an independent auditor. These audit costs are separate and are quoted directly by the auditor based on the volume and complexity of the company’s transactions.
Can You Provide a Summary Table of All Potential Costs?
Yes, the total cost of forming and maintaining a company in Malta can be summarized in a table that breaks down the detailed services into four key areas: one-time government fees, one-time professional fees, annual government fees, and annual professional and operational fees.
To provide a clear, at-a-glance overview, here is a consolidated table of the potential costs we have discussed, reflecting the comprehensive services offered by Contact Advisory Services Ltd.. Note that for professional services, the cost is variable and depends on the complexity of your needs.
Consolidated View of Malta Company Formation and Maintenance Costs:
Cost Category | Item | Frequency | Cost |
One-Time Government Fees | MBR Registration Fee | One-Time | Set by MBR / Based on Share Capital |
Share Capital Deposit | One-Time | Minimum €233 / Not a fee | |
One-Time Professional Fees | Company Incorporation (M&A, BO Form, Filing) | One-Time | Variable / Depending on needs and complexity |
Preparation of Combined Register | One-Time | Variable / Depending on needs and complexity | |
Preparation of Share Certificates | One-Time | Variable / Depending on needs and complexity | |
Opening of Bank Account Assistance | One-Time | Variable / Depending on needs and complexity | |
Registration with Tax and VAT Authorities | One-Time | Variable / Depending on needs and complexity | |
Payroll Software Setup Fee (if applicable) | One-Time | Variable / Depending on needs and complexity | |
Annual Government Fees | MBR Annual Return Filing Fee | Annual | Set by MBR / Based on Share Capital |
Annual Professional Fees | Provision of Registered Office Address | Annual | Variable / Depending on needs and complexity |
Arranging for a Company Secretary | Annual | Variable / Depending on needs and complexity | |
Arranging for a Director | Annual | Variable / Depending on needs and complexity | |
Appointing a Tax Representative | Annual | Variable / Depending on needs and complexity | |
Annual KYC Checks | Annual | Variable / Depending on needs and complexity | |
Maintenance of Internal Beneficial Owners Register | Annual | Variable / Depending on needs and complexity | |
Preparation and Filing of Annual Return | Annual | Variable / Depending on needs and complexity | |
Preparation and Filing of Annual BO Confirmation | Annual | Variable / Depending on needs and complexity | |
Preparation and Filing of Tax Return | Annual | Variable / Depending on needs and complexity | |
Variable Operational Costs | Book-keeping Services | Ongoing | Variable / Based on volume and complexity |
Payroll Processing (per employee) | Ongoing | Variable / Based on volume and complexity | |
Preparation and Filing of Tax Refund Claim | Per Claim | Variable / Depending on needs and complexity | |
Annual Audit Fee | Annual | Variable / Quoted by auditor | |
Application for DDTA Exemption | Every 3 Years | Variable / Depending on needs and complexity |
Frequently Asked Questions (FAQ)
This section addresses common follow-up questions regarding the Malta company formation process, such as the timeline for incorporation, whether a physical visit to Malta is necessary, and rules regarding foreign ownership of a Maltese company.
How long does it take to form a company in Malta?
The formation process is remarkably efficient. Once the MBR has received a complete and accurate application package from your CSP, incorporation can often be completed within a few business days. The longest phase is typically the initial one: gathering the required due diligence documents from you and opening the bank account.
Do I need to visit Malta to incorporate my company?
No, you do not need to be physically present in Malta to form your company. The entire process can be handled remotely by your Corporate Services Provider. All necessary documents can be signed and sent electronically or via courier.
Can a foreigner own 100% of a Maltese company?
Yes, absolutely. Malta allows for 100% foreign ownership of a private limited company. There are no restrictions on the nationality of shareholders or directors.
What is the minimum share capital for a private company?
The minimum share capital is €1,200. Of this amount, at least 20% must be paid up, meaning you must deposit it into the company’s bank account. This capital is not a fee and can be used as working capital for the business.
What is the difference between a trading company and a holding company?
A trading company is actively involved in business operations, selling goods or services. A holding company’s primary purpose is to hold shares or assets in other companies, often for strategic or tax planning purposes. We provide tailored services for both types of entities.
Conclusion: Your Strategic Investment in a Premier EU Jurisdiction
Navigating the Malta company formation cost is the first step towards unlocking the immense potential of this premier business jurisdiction. As we have demonstrated, the total cost is a combination of fixed government duties and a comprehensive suite of professional service fees that ensure your company is not only established quickly but is also built on a foundation of absolute legal and financial compliance.
Understanding the distinction between one-time setup fees and annual recurring costs is crucial for accurate long-term financial planning. The greatest value in the process comes from partnering with an expert, MFSA-authorized Corporate Services Provider. A proficient CSP like Contact Advisory Services Ltd. does more than just file paperwork; we provide the full spectrum of corporate, tax, and compliance services to act as your trusted administrative partner for the entire lifecycle of your business in Malta. We manage the complexity so you can focus on what you do best: growing your business.
The cost of formation should be viewed not as a mere expense, but as a strategic investment—an investment in a stable, pro-business, low-tax EU environment that can serve as a powerful platform for your international growth.
Your Next Step to Success in Malta
Are you ready to take the next step and get a clear, transparent, and no-obligation quote tailored specifically to your business needs? Don’t let uncertainty about costs hold you back.
Contact our team of experts at Contact Advisory Services Ltd. today. Let us provide you with the clarity and professional guidance you need to make your Maltese company a reality.
Email us at info@contact.com.mt for a free initial consultation.