Simon Schaefer, Co-initiator at EU-INC: EU INC unlocks the simplest way to fund and scale a company in Europe

Founders push one European company form to rival Delaware

EU-INC is a grassroots campaign for one pan-European company form so founders can found, scale and finance in Europe instead of Delaware. The Commission's proposal has drifted from the original through local courts and exclusions of labour law and tax, so the fight now centres on a central registry and a short list of non-negotiables. Both European and Delaware corporate law predate the internet, which is why Schaefer sees the timing as right.

Takeaways

• The Commission's proposal drifted from the original idea. EU-INC was meant as a virtual 28th regime that member states could opt into. The March proposal localises conflict resolution courts, which would mean 27 different courts, and excludes labour law and taxation to protect member state sovereignty.
• A single digital registry is the current priority. A central European registry would give live access to annual reports, cap tables and ultimate beneficial ownership. Schaefer argues one registry beats a database in each of 27 countries, since the euro works because there is only one.
• Resistance comes from entrenched national structures. German notaries still require contracts to be read aloud in person. Codetermination is a big topic in Germany but not in Spain. Schaefer questions board seats for employees at fast-growing startups and prefers stock options.
• Compromise is acceptable only if the goal survives. Schaefer defends insolvency as a non-negotiable, noting startups rarely go insolvent while member states want to delete it. A Deal Room chart showed European founders creating trillions in value abroad. The aim is to found, scale and finance in Europe.
• EU-INC is a base layer, not the end goal. It does not yet touch IPOs. Johnson notes many startups choose Delaware because they plan to list, a barbell problem. A companies-as-a-service cluster, like Deel or Remote, was considered but would take about ten years.
• The first EU-INC is unlikely before late 2028. A final text is expected towards the end of this year, after the Commission, Parliament and Council negotiate in trilogues. The launch of the first EU-INC has kept moving between the end of 2028 and early 2029.
• Support is broad and political momentum is high. The supporter list spans European founders, investors and operators, and the only tech pushback is that starting companies is already possible. Ursula von der Leyen called it EU-INC in her Davos speech, though the name draws Americanism criticism.