Considerations on the European Companies and holdings

Abstract

Abstract In a political and economical climate that one might qualify as troubled, and on the background of the United Kingdom leaving the European Union, and therefore no longer offering the city of London as a light tax haven for the companies that don’t undergo transactions of economical substance on its territory, one might question the survival of transnational companies across the European Union. In this context, we thought of analysing the European companies, their history and their present day formation as well as their administration. The idea that one might carry out their activity throughout the European Union, using a simpler and lighter form of company, the idea that the administration of such company is easier and one doesn’t have to comply to the national legislation of each member state is indeed appealing. But what of the success of this regulation? Is the procedure indeed as simple as it was thought out to be, and if so, are the natural and moral persons using it to its full capacity? Also, on the other hand, what of the holding institution, generated by the common law system, a lot longer ago, which allows one to administer various companies in various states through a company that is located anywhere in the world. How are holdings incorporated, how are they administered and is this institution still in use in the European Union, considering the fact that one might set up a European company as a holding?