EU Inc. — Europe’s “28th Regime” and What It Means for Founders
On 18 March 2026, the European Commission unveiled its most ambitious company law proposal in decades: EU Inc., a single optional corporate form available to any founder across all 27 member states. The concept is simple at one level; incorporate digitally in roughly 48 hours, for under €100, with no minimum share capital, and operate under one harmonised rulebook recognised throughout the EU single market’s 450 million consumers.
Brussels is calling it the “28th regime” — it sits alongside, rather than replacing, the 27 existing national systems. Think of it as a Delaware effect for Europe: member states with business-friendly administration and laws could emerge as preferred incorporation hubs. Ireland, Sweden, and the Netherlands are considered to be well-positioned.
The governance implications are significant. EU Inc. companies would be managed by a board of directors, at least one of whom must be EU-resident, subject to harmonised fiduciary duties including a business
judgement rule analogous to US legal standards. General and board meetings may be held fully online.
However, constitutional clouds hang over the proposal. Several EU law academics have questioned whether Article 114 TFEU - the internal market legal basis used -
can validly create an entirely new company form. Trade unions have also raised concerns that worker protections are insufficiently embedded. We can expect substantial amendment to the proposal before any final version in the coming years.
“The goal is to enable innovative companies to
operate under a single, harmonised set of EU-wide
rules without navigating 27 national legal systems
and more than 60 different company forms.”
Timeline: Strong political will exists to finalise the regulation by end-2026, with first EU Inc. companies potentially launching in 2027. The European Council’s qualified majority procedure means no single member state veto.
