For many years, European companies have faced a major structural challenge: the legal fragmentation of the Single Market, which requires them to navigate 27 different national corporate law systems.
On 18 March 2026, the European Commission put forward a proposal aimed at addressing this difficulty: the creation of an optional 28th corporate law regime, common to all Member States.
👉 Marc Gervais, Partner in M&A and Private Equity, analyses the scope and implications of this new framework for Option Droit & Affaires:
▪️ A simplified regime: incorporation of a company in under 48 hours, with no minimum share capital requirement, at an estimated cost of €100, and recognition across all Member States.
▪️ Tools tailored to innovative businesses: standardised financing instruments (SAFE agreements) and employee share ownership schemes with deferred taxation (EU-ESOP).
Uncertainties remain regarding the conditions for the entry into force of this new regime and its interaction with national legal systems, in particular in the areas of taxation and social security law.
This proposal remains innovative and gives economic actors the choice to adopt these new rules or to remain subject to national laws. It thus promotes the emergence of European champions and the strengthening of the internal market.
