Luxembourg

Startup / Entrepreneur

Self-Employed Worker Residence Permit

🚀 Startup Capital
No fixed minimum — adequate resources assessed case-by-case through business plan and financing plan review by the advisory commission
⏱️ Duration
Up to 3 years (or 5 years for long-term EU residents); renewable; long-term residence after 5 years
👪 Dependants
Yes
Spouse/partner and children under 18 after 12 months of sponsor's lawful residence; free labour market access

Luxembourg's Self-Employed Worker Residence Permit (titre de séjour pour travailleur indépendant) enables third-country nationals to reside in the Grand Duchy and carry out a self-employed economic activity, including starting and managing their own business. Established under Articles 51 and 52 of the amended 2008 immigration law, the permit is issued by the Direction générale de l'immigration with input from the Consultative Commission for Self-Employed Workers (CCTI), which provides an advisory opinion on each application. Luxembourg does not offer a dedicated startup visa — this permit serves as the primary pathway for non-EU entrepreneurs establishing commercial, craft, industrial, or liberal profession activities in the country. Applicants must also separately obtain a business permit (autorisation d'établissement) from the General Directorate for SMEs and Entrepreneurship.

Requirements
  • Demonstrate that the proposed activity serves Luxembourg's economic, social, or cultural interest
  • Submit a business plan and financing plan showing adequate resources and viability
  • The CCTI evaluates: economic need, integration into the local economy, business sustainability, job creation potential, innovation/R&D investment, and necessity of the applicant's physical presence
  • Obtain a business permit (autorisation d'établissement) for the intended activity
  • Professional qualifications as required for the activity — craft activities require completion of required training, liberal professions require specific credentials; commercial activities have no specific qualification requirement
  • Valid passport and clean criminal record (professional honorability is also assessed — no prior criminal convictions or tax evasion)
  • Must be physically present in Luxembourg to effectively and permanently manage the business day-to-day
  • Application fee of EUR 80 plus EUR 50 stamp duty for the business permit
Required Documents

For temporary authorization (Stage 1):

  • Full valid passport copy
  • Criminal record extract or sworn affidavit from country of residence (less than 3 months old)
  • Curriculum vitae
  • Business plan and financing plan
  • Proof of economic resources for the activity
  • Relevant authorizations, accreditations, or registrations (if applicable)
  • For business takeover: past 3 years' balance sheets and profit/loss accounts
  • For regulated professions: professional qualification recognition documents
  • All documents must be in French, German, or English, or accompanied by certified translation

For residence permit (Stage 2):

  • Full valid passport copy
  • Copy of declaration of arrival from the commune
  • Proof of EUR 80 fee payment
Duration & Renewal

The permit is valid for up to 3 years from the date of arrival declaration, or 5 years for applicants who hold long-term resident status in another EU member state. Renewal applications must be submitted within 2 months before expiry via MyGuichet.lu or by post, with proof of continued professional access conditions, social security affiliation, tax declarations, corporate filings, and a Luxembourg criminal record extract. After 5 years of lawful and uninterrupted residence, holders may apply for long-term resident status with a 5-year renewable permit. Luxembourgish nationality may be acquired by option after meeting residence, language, and integration requirements.

Family Members

Eligible family members include the spouse or registered partner (aged 18+), unmarried children under 18, and in some cases elderly dependent parents. Family reunification is available after 12 months of the sponsor's lawful residence — no waiting period if the sponsor has sole custody of minor children, holds an EU Blue Card, or has long-term EU residency. The sponsor must demonstrate stable income equivalent to the minimum wage (EUR 2,771.33 per month since the 1 June 2026 indexation) sustained over 12 months, suitable housing (minimum 12 m² for the first occupant, 9 m² per additional person), and health insurance for all family members. Family members receive their own residence permit and have free access to the labour market. Processing time for family reunification is up to 9 months.

Tax Implications

Self-employed residents pay progressive personal income tax at rates from 8% to 42%, plus a solidarity surcharge of 7% (9% for income exceeding EUR 150,000). Social security contributions for self-employed persons total roughly 25% of professional income, covering pension, healthcare, cash benefits, dependency, accident, and occupational health insurance. Following the 1 June 2026 wage indexation, the minimum monthly contribution base is EUR 2,771.33 and the maximum is EUR 13,856.65 (five times the minimum social wage). The pension contribution rate rose from 24% to 25.5% in 2026, though the self-employed pension share remains 17% as the State funds the balance.

Application Process

The procedure has two main stages. Stage 1 (before entry): submit a written application on plain paper to the Direction générale de l'immigration or a Luxembourg diplomatic/consular representation, with all supporting documents. The CCTI examines the file and provides an advisory opinion to the Minister, who makes the final decision within 3 months — no response equals rejection. If approved, a 90-day temporary authorization to stay is issued. Visa-required nationals must then obtain a Type D visa from a Luxembourg consulate. Stage 2 (after entry): declare arrival at the commune within 3 days, undergo a mandatory medical examination including tuberculosis screening, and submit the residence permit application within 3 months via MyGuichet.lu or by post. The permit is issued as a biometric chip card collected in person.

Important Considerations

This program is not suitable for remote management of a Luxembourg entity from abroad — the holder must be physically present for day-to-day business operations. The business permit expires after 2 years of inactivity, voluntary cessation exceeding 2 years, bankruptcy, or loss of professional integrity. Craft business managers cannot manage more than 2 craft businesses simultaneously unless they hold at least 25% ownership in each. Applications for temporary authorization submitted from within Luxembourg territory rather than from abroad are inadmissible. Holders who leave Luxembourg for more than 6 consecutive months must surrender their permit and make a departure declaration.

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