Malta Startup Residence Programme (SRP)
The Malta Startup Residence Programme (SRP) is open to startup founders, co-founders, core employees and family members (ie spouse, de-facto partner, minor children and dependent adult children) of startup founders, co-founders and core employees.
Malta Startup Residence Programme (SRP)
The Malta Startup Residence Programme (SRP) applies to third country nationals (ie non-Maltese/EU/EEA/Swiss nationals). However, it does not apply for nationals of (or persons with close ties to) Afghanistan, North Korea, Iran, Democratic Republic of Congo, Somalia, South Sudan, Sudan, Syria, Yemen and Venezuela. The list of ineligible countries may be revised from time to time.
Any permits issued are subject to the startup business maintaining the approved business activity and adhering to all other residence permit requirements as set out by Malta Enterprise and the Residency Malta Agency.
A startup undertaking must be engaged in one or more of the following activities in Malta:
Manufacturing
Software development
Industrial services analogous to manufacturing
Health, biotechnology, pharmaceuticals and life sciences
Eco startups involved in blue, green and sustainable industries;
Other innovative activities through knowledge and technology providing services or products currently not readily available or provided through a novel process
The startup must not be an existing business registered for more than 7 years somewhere else, and it cannot be a business that has taken over the activity of another enterprise or been formed through a merger.
An eligible business must meet at least 2 of the following criteria:
Propose products and/or services that have the potential to generate income from various geographical markets
Produce products and/or services which are new, innovative or substantially improved compared to complementary products and/or services on the market
Utilise processes which are new or substantially improved compared to those adopted in current complementary activities.
The startup must place a tangible investment and/or paid-up share capital of not less than €25,000. In case of a company with more than 4 co-founders, the minimum amount increases by €10,000 per additional co-founder. The maximum number of co-founders under one application is 6.
The company’s business plan must be approved by Malta Enterprise and must be in line with the requirements of the local National FDI Screening office.
Founders and co-founders will need to show evidence of links with the startup and must not have any direct affiliations with another company operating in the same industry as the applicant company. They must be in possession of sufficient financial resources to support themselves and any dependants and must have a physical and tangible presence in Malta (ie living and paying their taxes in Malta). The residence permit of founders and co-founders will be issued for 3 years, which upon successful completion may be extended for a further 5 years.
Core employees must be vital for the startup for its operation in Malta and need to have specialised skills. They need to have a full-time employment contract with the applicant company for an annual gross salary of more than €30,000 and be employed with the company within the timeframe during which the venture is classified as a startup. The residence permit of core employees will be issued for 3 years, which upon successful completion may be extended for a further 3 years.
Immediate family members must be included in the first application, even if they do not have an immediate intention to relocate to Malta. The residence permit for family members does not grant the holder any automatic rights to access to work in Malta. The residence permit of a family member is conditional on the residence permit of a founder, co-founder or core employee and will be issued with the same validity period.
Founders and co-founders must collaborate with Malta Enterprise throughout the validity of the permit, including timely submissions of business plans and monitoring reports indicated in the approval letter.
An application fee of €750 is payable to the authorities for each adult applicant. Residency card fees of €82.50 (for a 3 year period) or €137.50 (for a 5 year period) apply. Jobsplus fees for the employment license must be paid by founders, co-founders and core employees (€690 for 3 years and €1,150 for 5 years).
Third-country nationals who require a visa to be admitted to the Schengen Area may apply for this following the issuance of a Letter of Approval in Principle.
Founders, co-founders and core employees will be subject to the normal income tax rules in Malta.
Beneficiaries will not qualify if an application for permanent residency or residency by investment or citizenship has been rejected in Malta or elsewhere, nor will they qualify if they have a criminal record or pending criminal charges.
Beneficiaries must have a recognised health insurance in place, covering risks in the Schengen Area.
Application Process For The Malta Startup Residence Programme
Applicants must submit a business plan on the Malta Enterprise template. The business plan needs to cover the following points:
Company/Group Overview
Structuring of the company’s memorandum and articles of association to cater to having its shares in an electronic format through the dematerialisation of its securities
The Malta Project
A thorough description of the function of the Malta company, employment needs of the Malta company, its marketing function, the Malta company structure, any linkages to the local eco-system and its plans regarding corporate social responsibility.
Financials
A thorough description of the main sources of revenue, pricing model, funding plans, financials, financial projections (minimum 3 years) and cash flow projections (minimum 3 years).
Get In Touch With Us
Malta offers a plethora of business concepts, such as establishing a company that conforms to EU laws or trading and holding businesses that provide outstanding tax efficiency and flexibility. Our seasoned experts can offer the guidance and assistance that new Startups need to fulfil the formal criteria for registering a company in Malta. According to our experience, each organisation will have unique requirements; therefore, it is vital to understand the activities required to maintain compliance, as well as to accurately define a firm’s administration and management when forming a company in Malta. Contact us and we will arrange a consultation to discuss all aspects of tax residence or company set up in Malta and any additional questions you may have.
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