TL:DR – How can the EU keep its unicorns?
• The United States and China account for about 70% of global high-value venture capital deals.
• Europe struggles to convert research and talent into global companies.
• Fragmentation due to 27 different company laws impedes startup growth.
• Bureaucracy and tax delays hinder investment and talent retention.
• The EU-INC proposes a single European company structure.
• Companies could be established in 48 hours via an EU-wide portal.
EU-INC Proposal Aims to Streamline European Start-Ups
The United States and China dominate global venture capital investments and until now Europe struggled to compete, but the EU-Inc has the potential to change all that.
The United States and China collectively account for approximately 70% of high-value venture capital deals globally, underscoring a significant imbalance in the startup ecosystem. European countries face challenges in transforming robust research and talent into global companies due to regulatory fragmentation.
EU-INC aims to streamline startups across Europe
The EU-INC initiative seeks to address these issues by introducing a single European company structure that would operate alongside existing national systems. With an online portal, startups could be established within 48 hours and gain the right to operate throughout the European Union.
Despite being in early stages, the EU-INC proposal has garnered positive reactions, growing from 15,000 to over 23,000 signatures from tech startup supporters. While member states have yet to express their opinions on the initiative, concerns about its impact on national powers may be contributing to the silence.