EU private company plans

The Law Society wants to know what UK solicitors think of European Commission plans to introduce a pan-EU small company structure.
The Commission has published a Consultation on a Possible Statute for a European Private Company. The aim is to create a form of company across Europe to make cross-border business easier to conduct for small firms. Internal markets commissioner Charlie McCreevy has launched the consultation—open until 31 October—to determine whether there is demand for the move among European businesses.

“We need to have a clear picture of the obstacles companies still face in the single market and to find out whether a possible statute could be a viable solution,” he says.

Earlier Commission research revealed that the UK should benefit from such a model since its small- and medium-sized enterprises were “dynamic and organised”, the economic system liberal and  English predominantly used in business. Possible drawbacks include the fact that 45% of the workforce works in big organisations, and that the euro has not been adopted, so the UK could fall behind in European business integration.

A society spokesperson says: “We are not aware of any significant demand from UK business or their lawyers for such a European model.”