Working in Monaco: 5 advantages for companies
With its dream setting, exceptional sunshine and renowned quality of life, Monaco is the ideal place to live and work. A true international center for the luxury, hotel and financial sectors, the Principality is full of business opportunities and is the most dynamic economic area on the French Riviera. With one of the highest GDP per capita in the world, and unemployment considered non-existent, Monaco, thanks to the constant attention of the government, remains one of the most attractive European countries.
Find out about the advantages for companies, the legal forms of companies and the sectors of activity regulated or subject to authorization.
The advantages of companies established in Monaco
Non-taxation of companies
As long as the majority of the activity is carried out in Monaco, Monegasque companies are exempt from taxation. Only those companies that generate more than 25% of their turnover outside the Principality are subject to a 33.3% tax.
Tax exemption for the first 2 years
Companies whose capital is not held by other companies to the extent of more than 50% are exempt from income tax for the first 2 years of operation.
If the company hires a job seeker, the employer's contributions are reimbursed quarterly in arrears for 1 year.
Simplification of procedures for setting up a business
The Princely Government encourages the creation of companies in Monaco through simplified procedures and formalities. A dedicated government agency, the Monaco Welcome Office, helps individuals and companies settle in Monaco.
Dynamic economic growth
With many companies whose head offices or subsidiaries are abroad, Monaco's entrepreneurial ecosystem benefits from the most significant growth on the French Riviera. A dynamism that attracts many sectors of activity.
While hotels, restaurants, luxury goods and finance are widely represented in Monaco's DNA, other sectors such as construction, real estate, trade and digital technology make up the Principality's diversified economic fabric.
In addition to its exceptional geographical location, Monaco, cradled by the mountains and the Mediterranean, is perfectly served.
The A8 freeway which serves it is connected to the entire European motorway network.
The Nice Côte d'Azur international airport is 22 km away and numerous bus, cab and helicopter services provide connections to the Principality.
And the Monaco - Monte-Carlo train station, located above the Sainte-Dévote ravine, allows you to reach Nice, Cannes and Antibes in a few minutes.
What are the types of companies in Monaco?
4 legal forms exist to create a company in Monaco.
- The SARL, Limited Liability Company, for commercial activities with a minimum of 2 partners and a minimum capital of 15 000 €.
- The SAM, Société Anonyme Monégasque, for commercial or civil activities with a minimum capital of 150 000 € and a minimum of 2 shareholders.
- The SNC, Société en Nom Collectif for commercial activities and without minimum capital and whose corporate name is composed of the names of the partners (minimum 2).
- The SCS, Société en Commandite Simple for commercial and civil activities without minimum capital. The partners are classified in 2 categories, the general partners and the limited partners.
Opening a business in Monaco: good to know
The first step in setting up a business in Monaco is to obtain a special authorization issued by the government. The project must be submitted to the Monaco Welcome Office before the company can be registered in the Principality.
Depending on the sector, Monegasque law or regulations determine the conditions of access, exercise or operation of regulated activities.
This is the case for real estate agencies, construction activities, the health sector, insurance, accounting, legal and financial activities.
The media, personal services or the health, cosmetics and food sector are also part of these strictly regulated sectors.
If your business project concerns a sector of activity that is considered to be sufficiently represented, the government will not be able to grant you the necessary authorization to create your company.
Indeed, in order to preserve the economic balance in Monaco, the most represented commercial activities are restricted.