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Set up a SICAR in Luxembourg A presentation brought to you by StartLuxembourgFund.com 1
| Date post: | 20-Mar-2017 |
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Set up a SICAR in Luxembourg
A presentation brought to you by StartLuxembourgFund.com
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SICAR Law in Luxembourg
The Luxembourg investment company in risk capital (société d'investissement en capital à risqué - SICAR) is regulated by the Law for collective investment schemes, enabled in June 2004.
The SICAR company was created for private equity and venture capital investment.
The law was amended in 2008.
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Regulations for SICARs in Luxembourg
Since 2008, the Government introduced the option of multiple sub-funds for SICARs.
Since then, SICARs can be set up as:
• umbrella companies with multiple sub-funds;
• limited partnerships with variable capital.
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The utility of SICARs in Luxembourg >>SICARs are usually used for raising private equity or venture capital. They are allowed to list their shares on the Stock Exchange, but only in specific conditions.
Investments in a Luxembourg SICAR company are required to meet two criteria:
• they must be high risk companies;
• they will be used to develop the company the SICAR invested in.
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>> The utility of SICARs in LuxembourgThe second option can be satisfied in several ways, which are prescribed by the local legislation.
Thus, the company can appeal to modernization or restructuring.
One of the greatest advantages of a SICAR is the flexibility the investors have.
Our team of financial experts can offer more details on this matter.
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Forms of SICARs in LuxembourgThe Luxembourg SICAR can be incorporated under five legal forms:
• partnership limited by shares;
• limited partnership;
• private limited liability company;
• public limited company;
• cooperative company organized as a public limited company.
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Register a SICAR in Luxembourg >>
Both corporate entities and individuals are allowed to open a SICAR in Luxembourg.
There is no minimum number of shareholders a SICAR in Luxembourg can have. The minimum share capital for this type of investment fund is EUR 1 million.
The capital must be deposited within 12 months since the structure received its authorization.
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>> Register a SICAR in Luxembourg
The company must have a registered address in Luxembourg.
The Luxembourg SICAR have to be authorized by the Supervisory Authority for the Financial Sector (CSSF).
Our team of financial consultants can provide legal assistance for this procedure.
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Requirements for a SICAR in Luxembourg
The SICAR will be required to draft a prospectus. It will also be necessary to provide an annual report at the end of each financial year.
The report must be audited by an independent qualified auditor.
Foreign investors can also set up an investment company with variable capital (SICAV), which is a similar structure to SICAR.
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Consultancy Services in Luxembourg
Our team of financial representatives can also assist investors with advice on the taxation of the investment structures available under the local legislation.
Our experts can offer assistance in setting up compartments in a fund.
Investors can find out more details on the main functions an investment fund can have in Luxembourg.
Thank you for your attention!
For more information please contact us at:
(+44)203-287 0408 (for international clients)
www.startluxembourgfund.com
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