European Founders and VCs Push to Keep EU Inc Startup Friendly
European founders and VCs press lawmakers to preserve EU Inc, with one registry and stock option tax at sale, as final negotiations intensify across Europe.
Summary
On September 10, 2026, the EU Inc campaign urged lawmakers not to weaken a proposed EU-wide company statute modeled on the accessibility of a Delaware C Corp. The framework would let companies incorporate under common rules and operate across the bloc. Despite backing from the European Union’s top authorities, the European Parliament and Council are still negotiating the European Commission proposal, while Germany’s notaries oppose unspecified provisions. With roughly 100 days before the winter recess, campaigners want one central registry and employee stock options taxed only when workers dispose of them.
Index Ventures partner Martin Mignot warned in 2024 that technical details would determine whether founders use the structure. The new letter is signed by Accel partner Sonali De Rycker, Sequoia partner Michael Moritz and Atomico founder Niklas Zennström, with endorsements from founders behind unicorns Alan, ElevenLabs, Lovable, Mistral and Synthesia. Some of those companies are headquartered in the United States. Supporters argue a strong EU Inc could reduce legal fragmentation, unlock investment, stimulate entrepreneurship and make European headquarters more attractive, but weakened central features could leave the statute unusable.
Positives
- One central registry could reduce the legal and administrative fragmentation facing companies operating across European Union member states.
- Stock option taxation upon disposal would prevent employees from owing tax before receiving proceeds from their shares.
- Accel, Sequoia, Atomico and Index Ventures figures give EU Inc support from prominent international investors.
- Alan, ElevenLabs, Lovable, Mistral and Synthesia founders add endorsements from major European technology companies.
- European Union authorities have endorsed the goal of creating a common company framework across the bloc.
Risks & concerns
- Germany’s notaries oppose parts of the European Commission proposal, adding national resistance to negotiations.
- Roughly 100 days remain before the winter recess for the European Parliament and Council to settle the final text.
- Weakening central features could produce a company form founders ignore, leaving Europe’s incorporation barriers intact.
- Some endorsing unicorns are headquartered in the United States, underscoring Europe’s difficulty retaining growing technology companies.