The Commercial Law in Malta provides for two types of partnerships foreign investors can set up in this country. These are the general and the limited partnership. Among the advantages of using a partnership as a business form, are the possibility of setting up an investment fund which uses the partnership as an investment vehicle and the possibility of creating joint ventures by entering a partnership with a local company.
Our Maltese lawyers can offer more information about the advantages of partnerships.
General partnerships can be created under the Company Law, the Civil Law or the Commercial Partnership Ordinance. These laws provide for the purpose of partnership. The Commercial Code defines the Maltese general partnership as a business form with a minimum number of two participants, called general partners. The participants can be both individuals or companies. There is no minimum amount to be invested in a general partnership, as long as it is not used as an investment fund vehicle.
The liability of all participants in a general partnership in Malta is equal and unlimited to the debts and obligations of the partnership. However, the Company Law was recently amended and there are situations in which certain provisions related to limited liability companies apply to general partnerships, also. Our law firm in Malta can offer more information on these provisions.
Creating a general partnership in Malta consists in drawing up a deed of partnership which must be notarized by a public notary. The partnership must register a trade name like any other type of Maltese company. Also, in order to be deemed a Maltese general partnership, it must have a registered address in this country. The agreement must be submitted with the Companies Registrar in Malta which will issue a certificate of registration. The general partnership must also register for tax purposes with the Department of Inland Revenue.
For assistance in creating a general partnership in Malta or any other type of company, do not hesitate to contact our local attorneys. They can also offer information on the taxation of general partnerships in Malta.
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