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The business permit

📐 Topic5 min read

What you will learn What the permit is and who holds it, the three conditions, when to apply, and the obligations that continue after it is granted.

It is the legal precondition for carrying on most construction activities in Luxembourg. It is issued to the firm but rests on an individual, and that dissociation governs everything else.

What the permit is and who holds it

The business permit is issued to the firm, either to the manager trading in their own name or to the company they run.

It rests on the framework of a 2011 law governing access to the trades of craftsman, trader and industrialist and to certain liberal professions, since amended, notably by a 2023 law.

It is issued by the administration responsible for small and medium enterprises, within the ministry of the economy.

The structural point: the permit is held by a named individual, the manager, covered in the article on the qualified manager.

If that person leaves the firm, the permit is called into question, which makes it a dependency to manage rather than a formality once settled.

Condition What it targets When it is checked
Integrity Professional standing At application and on an ongoing basis
Qualification Competence for the activity At application
Real and stable establishment An actual presence in Luxembourg At application and on an ongoing basis

The three conditions

They are cumulative and checked at the time of application. The three conditions are evidenced by documents.

Professional integrity, intended to secure the standing of the profession and protect future contracting parties.

Professional qualification, where the activity requires it, which must correspond to the activity concerned.

Real and stable establishment in Luxembourg, the firm having to hold suitable infrastructure.

These three conditions are set out in the article on the conditions to meet.

One express requirement deserves flagging: the firm must have a fixed place of business, which excludes structures with no real presence.

When to apply

A point of timing that surprises.

The application must be made before the company is incorporated, the draft articles being sent to the administration.

The permit conditions the effective registration of the firm, which places it at the start of the path rather than in the middle.

Anticipating the application is therefore structural, not a mere precaution.

The application is made electronically, through the dedicated administrative platform, which presupposes holding the required means of identification.

A chancery fee is payable, whose amount is to be checked with the administration, the sources consulted not agreeing on this point.

The obligations after it is granted

The point that content on this subject covers least. The permit attaches to a person as much as to a company.

Firms must satisfy throughout their existence the requirements laid down for obtaining the permit, as well as all laws and regulations on business management.

The permit is therefore not acquired once and for all. It presupposes maintaining the conditions that founded it.

Some changes call for a fresh application, notably a change of the manager carrying the qualification and integrity, or adding an activity not covered.

Others call for a simple notification to the administration, within one month, notably changes of company name or legal form.

Distinguishing the two categories is essential, since treating a fresh application as a notification leaves the firm without a valid permit for its activity.

What the permit does not cover

Three obligations remain distinct.

The posting obligations, covered in the corresponding branch.

The insurance obligations, covered in the article on insurance and liability.

Tax and social obligations, which follow the grant rather than precede it.

The articles in this branch

The article on the conditions to meet covers the three pillars. Each condition is set out there.

The article on the qualified manager covers the person who holds it. Their role is explained there.

The article on the construction professions concerned covers the scope. The families are distinguished there.

The article on assembling an application offers a method. The documents are listed there.

This article reflects the rules at the date of checking and serves professional orientation. It does not constitute legal advice.

Frequently asked questions

The title allowing an activity to be carried on in Luxembourg on a stable basis. It attaches to a person as much as to a company, the point content on this subject covers least.

Three cumulative conditions, checked at the time of application and evidenced by documents. Integrity and real establishment remain required on an ongoing basis.

Before the stable activity begins, since it conditions its exercise. An activity started without a permit is a breach.

Social security, tax and insurance obligations, which are separate steps. It authorises the activity, it replaces no other formality.

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