"Autorisation d'établissement" 
Applying for your business permit in Luxembourg

To operate a business in Luxembourg, most entrepreneurs must first obtain a business permit, also called "autorisation d’établissement". 

This essential license ensures your business complies with Luxembourg’s legal and professional standards. But who actually needs a permit? 

How long does it take? And what documents are required? 

In this updated 2024 guide, we break down everything, step by step, so you can launch with confidence and full compliance.

BUSINESS LICENCE LUXEMBOURG

Who Needs a Business Permit in Luxembourg?

Mandatory for Most Commercial and Freelance Activities

Under the Law of 2 September 2011, any individual or company engaging in commercial, craft, or liberal professions in Luxembourg must hold a valid business permit. This applies to a wide range of activities, including but not limited to:

  • Retail and e-commerce
  • Consulting and advisory services
  • Freelancers and digital nomads
  • IT developers and tech startups
  • Real estate agents and property managers
  • Restaurants, cafés, and artisans

Both EU citizens and non-EU nationals are subject to this requirement.

Important: Even if your business is a legal entity (like a SARL or SA), it is not allowed to operate commercially without the business permit.

Exemptions: Holding and Passive Investment Vehicles

Certain passive companies, like SOPARFI (financial holding companies) and SPF (private wealth management companies), are exempt from the permit, provided they don’t conduct commercial activity. 

Similarly, pure real estate holding entities with no operational staff or trading activities do not need this permit.

Always verify with a licensed fiduciary or the Ministry before assuming your company is exempt.

Financial Services accountant Advices: we also have have a lot of hybrid SOPARFI (Financial Holding companies) if you would like also to mix holding and commercial. Most part of the time, banker are more confortable with  


OBTAIN YOUR BUSINESS PERMIT

Step-by-Step Guide: How to Obtain a Business Permit

 

Step 1

Prepare the required documentation

Learn More
 

Step 2

Submit the Application

Learn More
 

Step 3

Processing Time & Approval

Learn More

FOREIGNERS BUSINESS LICENSE

Can Foreigners Get a Business Permit in Luxembourg?

Yes, both EU and non-EU nationals can apply. However, non-EU applicants must also comply with immigration law and obtain a residence permit for self-employed persons.

Fast-Track for Investors and Startups

Some categories allow for accelerated processing, especially if:

  • You create jobs in Luxembourg
  • You invest over €25,000 in infrastructure
  • You target innovation or sustainability

Business Permit vs Business License: Clarifying the Terms

"Autorisation d’établissement" ≠ Company Registration or VAT

A common misconception is to equate the business permit with company registration or VAT declaration. In fact:

  • Company registration (RCS) only gives you a legal existence
  • VAT registration gives you a fiscal number
  • Business permit legally allows you to operate

These are three separate steps, and the permit must come before you start trading.

SARL vs SARL-S vs Self-Employed

The business form doesn’t change the obligation. Whether you're launching a SARL, SARL-S, SA, or operating as a sole trader (independent), you need the permit.

  • SARL-S (Simplified SARL) is popular among first-time entrepreneurs. It requires fewer capital contributions, but still mandates a valid business license.
  • Self-employed foreigners must provide additional proof of residence and qualifications.

REAL CASE STUDIES

 

Julie, a graphic designer from Thionville, submitted a business permit application as a solopreneur. With 4 years of freelance work and a diploma in visual arts, her file was approved in **21 days**.

     
Julie L.
French Designer Goes Self-Employed
 

Mageed, a UAE national, created a SARL in Luxembourg to invest in rental properties. He had to provide a local lease, proof of capital, and 3 years’ experience in real estate. Permit issued in 12 working days.

     
Mageed
Consultant
 

Marcu, originally from Romania, had been working as a Wolt delivery driver in Luxembourg under a subcontractor. In 2024, he decided to become self-employed to increase his flexibility and income.

     
Marcu V.
Wolt Driver
 
 

AUTORISATION D'ETABLISSEMENT F.A.Q

Any business, regardless of its legal form (operating under its own name or as a commercial company), which: carries out a commercial, craft, or industrial activity, or one of the liberal professions covered by the lawand which establishes itself in Luxembourg,must have a business permit.
The conditions for obtaining a business permit are defined by a law of September 2, 2011, and its implementing Grand-Ducal regulations.
The basis for justifying a right of establishment is rooted in the protection of consumers and businesses, but also in the collective traditions governing the apprenticeship of trades and professions.
Yes, the business permit is mandatory before any commercial activity can begin, even if your company is already registered.
Indefinitely, as long as the business activity and ownership structure do not change.
Yes, but you must notify the Ministry and update the RESA publication.
Yes, if the activities are **compatible** and declared in advance. Separate qualifications may be required for 
The Establishment Act defines several requirements that an applicant for a business permit must meet.
The appointment of a manager who will effectively manage the business
The professional qualifications of this managerThe professional integrity of the managers and owners of the business
he existence of a fixed place of business in Luxembourg (establishment)
The professional qualification requirements differ depending on whether the individual wishes to practice a craft activity, a commercial activity, a specially regulated commercial activity, or a liberal profession as a self-employed individual, either in their own name or in the form of a commercial company.

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