This Directive amends EU company law to expand and upgrade the use of digital tools and processes. Here are the key aspects:The Directive introduces several major changes to EU company law:
- Establishes mandatory preventive controls and legality checks for company formation and amendments to ensure reliability of company information
- Creates an EU Company Certificate that will serve as standardized proof of company registration across the EU
- Introduces a digital EU power of attorney for cross-border company procedures
- Extends disclosure requirements to commercial partnerships
- Requires making more company information available through the Business Registers Interconnection System (BRIS)
The main provisions include:
- Mandatory preventive administrative, judicial or notarial control of company formation documents
- Requirements to keep company information up-to-date with strict deadlines
- Creation of standardized EU Company Certificate available in all EU languages
- Digital EU power of attorney template for cross-border procedures
- Exemption from legalization requirements for company documents used cross-border
- Extension of disclosure requirements to partnerships
- Making more company information freely available through BRIS
- Connecting BRIS with beneficial ownership and insolvency registers
The Directive aims to facilitate cross-border business operations while ensuring reliability of company information. Member States must transpose most provisions by July 31, 2027 and apply them from July 31, 2028. Some provisions on group information have a longer implementation timeline until August 2029.
