Vilnius: The Council of the EU adopted its position on EU Inc on 23 October 2026, moving the new 28th corporate regime for start-ups and scale-ups one step closer to law. EU Inc would let companies choose between the 27 existing national company law regimes and a single European regime that works across the whole single market.

The Commission presented the proposal in March 2026 with a simple promise. A company could register online in about two days at a cost of no more than €100, and it could then operate in every member state without setting up a separate legal entity in each. For founders who now face 27 sets of paperwork, EU Inc is meant to remove one of the largest barriers to growing across borders.

The Council supports the main objectives of the proposal but wants changes. It aims to simplify the framework, rationalise the provisions on digital tools and employee stock option plans, strengthen safeguards and improve consistency with the fundamental freedoms of the internal market. Those goals suggest ministers want a regime that is easier to apply and harder to abuse, although they accept the central idea.

Public summaries of the Council text do not yet spell out every change. Details such as minimum capital rules, share structures and the exact treatment of stock options did not appear in the material reviewed for this report, so firms should wait for the published text before they plan around it. A cautious reading is wise, because small drafting choices can alter how useful the regime proves in practice.

Employee stock options deserve attention. Start-ups use them to attract talent when they cannot match big-company salaries, and national tax treatment varies widely. A European regime that handles stock options in a clear way would help young firms compete for engineers, while a muddled one would leave them with the same problems they face today.

The next stage depends on Parliament. The Council can open negotiations with the Parliament only once the Parliament has adopted its own position, and no trilogue date has been announced. The process could still take many months, because lawmakers must reconcile views on scope, safeguards and the balance between simplicity and protection for workers and creditors.

For entrepreneurs and investors, the Council vote is a signal rather than a finish line. EU Inc has cleared a key institutional hurdle, and the promise of a two-day online registration remains the headline benefit. The coming weeks will show whether Parliament shares the Council’s wish to simplify, and whether EU Inc can arrive in time to matter for the next generation of European start-ups.