Unlike most countries in the world, the Principality of Monaco does not allow you to invest into to a local business. Owning any type of local business in Monaco requires government authorization. The transfer of shares is only allowed freely if it is happening to a Monégasque national.
The transfer of shares to a third party is subject to authorization from the Minister of State if the transferee is of foreign nationality or requires a declaration made to the Minister of State.
To protect Monaco’s trusted business community, the Monégasque government will pre-check the potential new business owners before it authorizes the business transaction.
For this reason, new shareholders will undergo a strict legal background check, very similar to that of new resident permit applicants. Therefore, family status, police record, current residency and many other factors are considered before the deal receives the green light.
The statutory period for review of the application is three months from notification of its eligibility.
This Monaco specific process can often cause difficulties in business expansions and fund raising, because investors typically do not like the fact that they need to wait three months for a third-party decision. It may be common around the world that investors purchase existing companies utilizing their infrastructures and want a quick turnaround; however, this is not the case in Monaco.
In the case that you purchase a company without prior government authorization, the business license of that company may be subject to termination.
If you are interested to invest into a Monaco based business, do not forget that in any investment decision, your due diligence is one of the most important tasks that you simply cannot overlook. It is very important to get firsthand information regarding the investment offers and the people involved in the investment process. Do not allow the legal process to get ahead of the due diligence, especially not the payment of shares before the government authorization.
Do you have a question?
Monaco Wealth Management is working with the some of the most experienced advisors in the Principality of Monaco.
Since 2010 we gained a member base of 9,000 Monaco residents, and our trusted partner, VK*P business advisors have over 3,000 people informed and guided on business and residency matters. If you have any questions about Monaco residency, business formation or business development we are happy to assist you in English, French, Italian and Spanish. Please feel free to contact us.
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Selected UHNW Business Club Members
Networking for UHNW Industry Leaders
The UHNW Business Club by Monaco Wealth Management brings together leaders in the HNW and UHNW industry for the purpose of expanding and growing key relationships within this niche market.
UHNW Business Club is running exclusive bespoke networking events designed to connect, educate and expand global business relationships.
To become a member of the UHNW Business Club, we charge an annual membership application of €599.00.
UHNW Business Leaders Networking Evening in London, UK (22 January 2020)
Join us for a wonderful evening at the exclusive Vault Bar and connect with leaders from the UHNW industry from Monaco and London.
22 January 2020 (Wednesday)
18:30 - 21:00
The Vault, Revolution Bars
Live demonstration of the YAMBA platform and a case study on Walt Disney's data transformation.
28 January 2020 (Tuesday)
18:00 - 19:30
CREM (Foreign Residents' Club of Monaco)
1, Avenue Princesse Grace
UHNW Business Club Evening in Monte-Carlo, Monaco (17 April 2020)
Welcome to Monte-Carlo. Join UHNW industry leaders and UHNW business owners for an interactive networking evening in Monaco.
17 April 2020 (Friday)
17:30 - 21:00
TV Art Live Gallery
Rue du Berceau