The new Directive (EU) 2025/25 introduces new rules that affect European digital corporate law and will change how businesses are registered, managed, and administered across Europe. Here’s what it means for you, and when you need to act.
New rules on the use of digital tools and processes in company law
On 16 December 2024, the Council approved Directive 2025/25 to expand the use of digital tools in EU company law, aiming to improve data access, enhance transparency, and reduce cross-border red tape. The Directive entered into force on 30 January 2025, and Member States must implement it by 31 July 2027 and apply it from 31 July 2028.
The new rules will move company administration, including formation, filings, document verification and cross-border registrations, almost entirely online. If your business operates in more than one EU country, or plans to, this will change how you manage your legal obligations across those jurisdictions.
What is actually changing?
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100% digital |
You will be able to form companies and file key changes entirely online, without paper submissions. National business registers must accept electronically verified documents. |
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A new EU Company Certificate |
A single multilingual digital certificate will confirm a company’s legal status, directors and incorporation details, which is recognised across the EU without the need for notarisation or translation. |
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Authorise representatives more easily |
A new EU digital power of attorney will let businesses authorise representatives in other member states without going through a notary. |
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File once, use everywhere |
Information filed in one EU country can be reused when registering subsidiaries or branches elsewhere, cutting down on duplicate filings and administrative burden. |
What more will you need to disclose?
When the new rules take full effect, businesses will need to provide more detailed information to national registers. This includes:
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Details of group structures — parent companies and subsidiaries
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Average employee numbers from digitally readable financial statements
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The identity of sole shareholders in single-member companies
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For certain partnerships, information on how partners make decisions and their liability
There will also be tighter timelines: businesses will generally have 15 working days to file changes such as new director appointments, address updates or changes to company documents.
Key dates
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July 2026 |
The European Commission publishes the technical standards that underpin the new system. |
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July 2027 |
EU member states must transpose the Directive into their national laws. Country-specific requirements will become clear around this point. |
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July 2028 |
Most operational rules apply — digital formation, online filing requirements and new verification processes come into effect. |
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August 2029 |
Additional disclosure rules take effect, including requirements around group structure and certain fee-related rules. |
What should you be thinking about now?
No immediate compliance steps are required yet. But businesses that operate across multiple EU jurisdictions would do well to start thinking ahead:
- Are your internal systems capable of handling online filings and digital formation?
- Does your team have access to electronic signatures and seals?
- Are your current filing processes and document templates up to date?
- How are you currently handling identity verification, and will it meet new standards?
If you would like to discuss how these changes may affect your business, please get in touch with us.
Image credit: Freepik
