Do you want to become self-employed in Luxembourg ? Whether you are planning to create a sole proprietorship , an SARL/SARL-S or even an SA , registration is an essential step to operate legally. This guide explains, step by step, the administrative procedures to follow depending on the legal form chosen. You will find the costs , deadlines , and conditions to anticipate, as well as an interesting alternative for those who want to avoid the complexity of starting a business. Ready to launch your activity? Here is everything you need to know to properly register as a self-employed person in Luxembourg .
Why register? Legal obligations for working as a self-employed person
Carrying out a professional activity in Luxembourg, even as a freelancer, involves complying with a certain number of legal formalities . Registration is not a simple administrative formality: it is a regulatory obligation as soon as you offer services or products independently and regularly.
Who is affected by registration?
Anyone who carries out a commercial , craft , liberal or industrial activity independently is required to register . This concerns IT freelancers, consultants, developers, as well as regulated professions or entrepreneurs wishing to open a company.
Depending on your activity, you will need to:
- Obtain an establishment permit from the Ministry of the Economy;
- Register with the Trade and Companies Register (RCS) ;
- Join the Joint Social Security Center (CCSS) .
Why is this step essential?
Registration gives your business legal status . It is required by professional clients, banks, and public institutions. It also allows you to:
- To legally invoice your services;
- To benefit from social security coverage (health, retirement, etc.);
- To secure your rights in the event of a dispute or audit.
💡 Even micro-entrepreneurs or freelancers looking to retrain must follow these procedures. There is no “self-employed” regime in Luxembourg like in France.
Creating a sole proprietorship: procedures and formalities
A sole proprietorship is one of the simplest and quickest legal forms for setting up as a self-employed person in Luxembourg . It is particularly suitable for freelancers who wish to work under their own name, without creating a company.
Who is it suitable for?
This status is ideal for people who:
- want to get started quickly and without complex formalities;
- carry out an activity on a personal basis, without partners;
- do not require a large start-up capital;
- favor simplicity in administrative management.
This is an option frequently chosen by consultants , developers or service providers at the start of their business.
Key steps: establishment authorization, registration with the RCS, CCSS affiliation
- Application for establishment authorization
The request can be made online via the MyGuichet.lu platform , which allows you to:- pay the chancery stamp directly online;
- receive official exchanges via the platform’s secure messaging;
- obtain authorization more quickly , directly in your MyGuichet.lu space.
- Registration in the Trade and Companies Register (RCS)
This registration gives you legal status. It is done after obtaining authorization and requires a professional address. - Affiliation to the Joint Social Security Center (CCSS)
Mandatory from the start of the activity. This process allows you to benefit from social protection (health, pension, etc.) as a self-employed person.
Average costs and times
- Estimated cost : between €50 and €150 for administrative costs (excluding any support fees).
- Average time : 2 to 4 weeks, depending on the speed of processing of files.
Advantages and limitations
Benefits :
- Simplified formalities;
- No minimum capital required;
- Low creation costs;
- Suitable for beginner freelancers.
Boundaries :
- Unlimited liability on personal property;
- Difficulty separating private and professional assets;
- Less valuable in the event of rapid growth in activity.
Register as an SARL or SARL-S as a self-employed person
The SARL (Limited Liability Company) and the SARL-S (Simplified Limited Liability Company) are two very common legal forms for self-employed people wishing to operate as a company in Luxembourg. They offer a more regulated structure than the sole proprietorship, with liability limited to the capital.
Differences between SARL and SARL-S
- SARL-S : intended for individual entrepreneurs, it allows you to create a company with a starting capital of only €1 . It is limited to a single partner and an annual turnover threshold .
- Classic SARL : more flexible, it can have up to 100 partners . It is suitable for larger projects, or those planning rapid development.
Registration process
- Drafting of the statutes
Drawn up by notarial deed (mandatory for the classic SARL, optional for the SARL-S). - Opening a professional bank account
To deposit the share capital there. - Obtaining establishment authorization
Required to exercise a commercial, craft or liberal activity. - Registration in the Trade and Companies Register (RCS)
The company officially becomes a legal entity. - Publication in RESA (Electronic Collection of Companies and Associations)
Mandatory to formalize the creation of the company. - Affiliation to the Joint Social Security Center (CCSS)
To register as an independent manager.
Capital required, costs and timeframes
- SARL-S : minimum capital of €1, possibility of increasing it gradually.
- SARL : minimum capital of €12,000, fully paid up at the time of incorporation.
Estimated cost :
- Around €250 to €800 for legal and administrative procedures (excluding any fees).
Average time :
- From 2 to 4 weeks , depending on the complexity of the case and whether or not professional support is required.
What to anticipate as a freelancer
- More structured management than in a sole proprietorship (statutes, annual accounts, etc.).
- A reinforced professional image with customers.
- Recurring administrative obligations (filing of accounts, meetings, etc.).
- The cost of creation can be a barrier to getting started, especially for freelancers looking to retrain.
The Public Limited Company (PLC): procedures and specificities
The Société Anonyme (SA) is a legal form designed for large-scale projects , with multiple shareholders and significant financing needs. It is rarely used by traditional freelancers, but may be suitable for those considering structured development or fundraising.
In which cases should you choose this status?
SA is generally chosen when:
- the activity requires substantial capital ;
- there are several investors or shareholders involved;
- the project aims to inspire strong credibility with partners ;
- a stock market listing is envisaged (in the long term).
This status is therefore oversized for the majority of self-employed people , but can make sense in certain specific cases.
Registration steps
- Drafting of the statutes by notarial deed
This is a mandatory step, governed by law. The articles of association must specify the name, corporate purpose, capital, management bodies, etc. - Deposit of capital into a blocked bank account
The minimum capital is €30,000 , of which at least 25% must be released upon creation . - Publication of the statutes in the RESA
To make the company officially incorporated in the eyes of the administration and third parties. - Registration with the RCS
Grants the legal existence of the SA. - Affiliation of the manager to social security (CCSS)
Mandatory if the manager exercises a paid function.
Amount of capital, timeframes, estimated costs
- Minimum capital : €30,000
- Estimated cost : from €1,500 to €2,500 , or even more depending on the notary’s office or legal advisor involved
- Deadlines : between 3 and 6 weeks , depending on the complexity of the file
Is this relevant for a freelancer?
In most cases, no. A SA requires a significant financial and administrative investment. It is not intended for beginner freelancers or self-employed individuals looking for a simple structure.
However, it may be of interest to certain profiles:
- experienced freelancers wishing to structure an agency or service platform offering ;
- consultants considering partnering with other experts to carry out a joint project on a larger scale.
Comparison of legal forms for a self-employed person in Luxembourg
To help you see things more clearly, here’s a comparison table of the main legal structures available to self-employed people in Luxembourg. This summary highlights the differences in terms of capital, formalities, deadlines, costs, and ideal profile.
Summary table
| Legal status | Minimum capital | Administrative formalities | Creation deadlines | Estimated cost | Suitable for… |
|---|---|---|---|---|---|
| Sole proprietorship | 0 € | Light (authorization, RCS) | 2 to 4 weeks | 50 to 150 € | Beginner freelancers, solo freelancers |
| SARL-S | 1 € | Averages (statuses, RCS, CCSS) | 2 to 4 weeks | 250 to 500 € | Independents wanting a simple structure |
| SARL | 12,000 € | Standard (notary, statutes, etc.) | 3 to 5 weeks | 500 to 1,000 € | Established or growing independents |
| ITS | €30,000 | Complexes (notary, capital, etc.) | 4 to 6 weeks | €1,500 to €2,500+ | Ambitious projects, shareholder companies |
How to choose?
The choice of legal form depends on:
- of your level of experience ;
- of your financial resources at start-up;
- the nature of your services and your exposure to risk;
- of your medium/long-term development ambition .
If you are unsure, it is recommended that you seek professional support or a specialized support service.
What if you don’t want to start a business? An alternative for IT freelancers
Creating a legal structure in Luxembourg involves a number of formalities, costs, and recurring obligations. If you are an IT freelancer , retraining, or simply reluctant to commit to setting up a company, there is an alternative: payroll management .
Salary portage in Luxembourg: a turnkey solution
Payroll management allows you to work as a self-employed person , while benefiting from a secure legal and social framework , without having to create a company. You sign a contract with a payroll management company, which takes care of:
- administrative management (invoicing, contracts, reminders);
- affiliation to Luxembourg social security;
- the payment of a monthly net salary based on your assignments.
For which profiles?
This solution is particularly suitable for:
- experienced IT consultants who want to focus on their missions without the administrative burden;
- freelancers in retraining , who want to test their activity in a secure environment;
- cross-border professionals , who wish to operate in Luxembourg without creating a local structure.
Focus on SELKEA
SELKEA, a specialist in IT payroll management in Luxembourg , supports IT professionals in managing their business. Thanks to its model, you benefit from:
- of employee status while remaining independent;
- of comprehensive social protection ;
- simplified access to the Luxembourg market, without registration or heavy formalities.
Starting a business in Luxembourg as a self-employed person requires a good understanding of the registration procedures for each legal form chosen. Between the simplicity of a sole proprietorship and the requirements of companies such as SARLs or SAs, each option has its own specificities. Take the time to assess your needs, your profile, and your medium-term goals. And if you want to focus solely on your work without managing these formalities, solutions such as umbrella companies can offer a flexible and secure alternative for getting started quickly.
