THE RESHAPING OF THE COMPANY SERVICE PROVIDER SECTOR

The reshaping of the Company Service Provider sector was established by the recent amendment to the Corporate Service Providers Act, Cap. 529 of the Laws of Malta, by virtue of Act No. L of 2020, Company Service Providers (Amendment) Act. In addition, the Malta Financial Service Authority (MFSA) which supervises Company Service Providers, has published a new CSP Rule Book. Both Act No.  L of 2020 and the new CSP Rulebook came into force on the 16th of March 2021. 

With the coming into force of Act No. L of 2020, Subject Persons are now required to obtain an Authorization by the MFSA to act as a Corporate Service Provider, whereas prior to the amendments came into force only a registration was required. The new amendment abolished the “De Minimis Rule” whereas now individuals previously operating under this rule as well as warranted professionals require authorization. 

Moreover, the new CSP Rulebook laid down a defined holistic operational roadmap for all Subject Persons holding themselves out as providing corporate services by way of business. 

The MFSA published a list of exempted persons from the requirement to operate as a Corporate Service Provider, pursuant to the Exemption Regulations, L.N. 105 of 2021.

The MFSA will be assessing and granting authorization to Subject Persons under 5 different classes in accordance with the eligibility requirements and the type of services to be provided:

1. Class A CSPs

This refers to Company Service Providers authorised to provide, by way of business, the following services to third parties;

 

1. Formation of companies or other legal entities; and/or

 

2. Provision of a registered office, a business correspondence or administrative     address and other related services for a company, a partnership or any other legal entity.

Under Threshold Class A CSPs

This refers to individuals or civil partnerships in possession of a warrant, or equivalent, to carry out the profession of advocate, notary public, legal procurator or certified public accountant whose revenue from corporate services forms, or is forecast to form, in the upcoming year, not more than;

 

1. 35% of the combined total revenue in a calendar year from the provision of all professional services; or

2. €100,000

whichever is the higher. Provided that this category may not provide the service of provision of a registered office, a business correspondence or administrative address and other related services for a company, a partnership or any other legal entity.

Little League

Tell people more about the services you offer. Use this repeating layout to display content. It's an easy way to keep your customers up to date with what's happening. Want to make this content your own? Simple drag and drop elements like text, images and links, or connect to data from your collection. Tell people more about the services you offer. Use this repeating layout to display content. It's an easy way to keep your customers up to date with what's happening. Want to make this content your own? Simply drag and drop elements.

 

Tell people more about the services you offer. Use this repeating layout to display content. It's an easy way to keep your customers up to date with what's happening. Want to make this content your own? Simple drag and drop elements like text, images and links, or connect to data from your collection. Tell people more about the services you offer. Use this repeating layout to display content. It's an easy way to keep your customers up to date with what's happening. Want to make this content your own? Simply drag and drop elements.