The Youth Enterprise Act makes it legal for 16–17 year olds in Malta to register and run a real company. Here’s everything you need to know to get started.
Start your own business before you're 18.
Are you eligible?
Check these four things before you do anything else; you'll need all of them to qualify.
You must be 16 or 17 and living in Malta
All members of your Youth Enterprise (YE) must meet this age requirement and be Maltese residents. Everyone gets an equal vote; no matter how much each person invested.
Company Name
Your name must end with "Youth Enterprise" or "YE". This tells people it's a youth-run business.
Share capital
Minimum €100 total (€100 paid per member). Maximum you can raise is €20,000.
VAT status
Must qualify as a small enterprise under the VAT Act; this means your annual turnover stays below the threshold. Most YEs qualify automatically.
Step-by-step: setting up your YE
The process is more straightforward than it looks. Follow these steps in order and you'll be registered in no time.
Find your team (or go in solo) and idea
Find a registered mentor
Choose your company name
Complete the registration forms and pay the registation fees
Submit to the Registrar
Things that help you along the way
You won't be doing this alone, there are built-in supports to help your YE succeed.
Your mentor
Think of your mentor as a coach, not a boss. They advise and supervise but can't make decisions for you or take an executive role. The business is yours to run.
Mandatory training
Each member completes 20 hours of training per year on business basics, finances, and compliance. Your mentor verifies hours; logs submitted every 6 months.
What you can and can't do
A few rules specific to Youth Enterprises
Fine to do
Fine to do
Not allowed
NOT ALLOWED
Transferring shares
Share transfers between members or to outside parties are not permitted while the YE is active.
CHECK FIRST
Licensed activities
Some activities need a professional licence. Check whether that licence can legally be granted to someone under 18 in Malta.
What happens when members turn 18?
When all members reach 18, you'll have two clear options with a simple process for both.
Convert to a standard company
If your business is going well, apply to convert the YE into a regular commercial partnership. Your business continues just under a new legal structure. This route is recommended if you want to keep trading
Wind it down
Ready to close? There's a simplified dissolution process designed specifically for YEs. It is quicker and involves less paperwork than closing a standard company.
Become a Youth Enterprise Mentor
Every Youth Enterprise is legally required to have an Malta Business Registry (“MBR”)-approved Mentor registered in the Register of Mentors at all times throughout its existence. Here’s what the role involves and how to apply.
Do you qualify?
You'll need to meet all five of these criteria before applying.
25 or older
You must have attained the age of 25 and have at least five (5) years' verifiable working experience in a commercial area, such as, finance, sales, marketing, legal, HR, operations, or another recognised commercial discipline.
Maltese resident
Ordinarily resident in Malta, regardless of nationality. You'll need to provide proof (for example, a utility bill, rental agreement, or equivalent) dated within the preceding six (6) months.
Fully independent
You cannot be a family member or a relative in any degree of any member of the Youth Enterprise you'd mentor.
Clean record
A current police conduct certificate (dated within the preceding three (3) months) confirming no convictions for criminal offences no charges pending or outstanding, and/or no restrictions relating to work with minors. A declaration signed by the Mentor together with a Court of Voluntary Jurisdiction decree confirming that you are not registered in the POMA registry or any equivalent registry restricting working with minors are also required.
Fit and proper
You’ll also need to demonstrate safeguarding suitability, competence and reliability, good standing and a sound professional reputation.
What the role actually involves
You're an advisor and supervisor, not an executive. As a Mentor you:
You do this
you do this
you do this
you do this
Supervise and verify each member’s mandatory training hours (20 hours per year per member) on business, compliance and financial literacy and inform the members of the submission every six (6) months from incorporation of the Youth Enterprise of a signed training return
you do this
Act as a role model and point of accountability and respond promptly to safeguarding concerns or urgent matters
not allowed
You can’t hold shares,, take an executive role, participate in daily management, or vote, except where the governing documents permit a casting vote to break a deadlock. The role is voluntary and unremunerated.
Two routes to apply
Choose the route that fits your situation — both lead to the same MBR approval process.
Route A
Join the general mentor pool
Apply to be vetted and added to the MBR's Register of Mentors. Once approved, you'll be available for Youth Enterprises to select based on your sector and skills.
Best if you're open to mentoring multiple YEs over time
Route B
Apply for a specific Youth Enterprise
Already know a Youth Enterprise that wants you as its Mentor? Apply for approval for that specific appointment. You'll need written confirmation from the Youth Enterprise’s members (or their parents, tutors or guardians) that you've been selected, plus a declaration addressing any past or present relationship and potential conflict.
Route B approval is specific to that Youth Enterprise; separate approval is required before you can mentor another Youth Enterprise, unless your registration is changed to Route A pool status.
What you'll need to submit
Gather these documents before you start — having them ready makes the process much smoother.
- Completed MBR-prescribed application form, including consent to personal-data processing and background checks
- Copy of a valid ID/passport and proof of ordinary residence in Malta dated within the preceding six (6) months
- Detailed CV or professional profile evidencing at least five (5) years' commercial experience, plus at least one professional reference;
- Current police conduct certificate (dated within the preceding three (3) months), or, if unavailable, a signed declaration requesting verification by MBR through official channels
- Signed POMA declaration, together with the required Court of Voluntary Jurisdiction decree
- Signed acceptance and undertaking to comply with the MBR Mentor Code of Conduct
- Signed conflict-of-interest and independence declaration
- (Route B only) Name of the intended Youth Enterprise, written confirmation of selection from the Youth Enterprise, a brief statement of the basis for selection, and a Youth-Enterprise-specific relationship/conflict declaration.
Once submitted, the MBR may approve the application, approve it with conditions, or decline it with written reasons; including a right to appeal.
Documents are to be submitted to: legal.enforcement@mbr.mt
In all cases, Mentors must sign all relevant documentation and statutory returns using a Qualified Electronic Signature (QES) and submit them through BAROS. All submissions must strictly adhere to the requirements set out by the MBR and the Companies Act (Youth Enterprise) Regulations (L.N. 56 of 2026). To submit a Youth Enterprise for registration, the Mentor must also be an MBR-approved authorised user on BAROS.
For the Youth Enterprise incorporation filing, a certified true copy of the Mentor’s official identification document is also required. For non-EU individuals, the Guidance Note further requires a bank or Professional character reference dated within the preceding six (6) months, issued by a warrant holder who has known the individual for at least one (1) year.
Standards you'll be expected to uphold
Every registered Mentor must comply with the MBR’s Mentor Code of Conduct. This includes acting in the Youth Enterprise’s best interests, maintaining clear professional boundaries with members (who are minors aged 16–17), safeguarding their welfare, maintaining strict confidentiality, avoiding conflicts of interest and improper benefit, and communicating professionally and reporting safeguarding or serious compliance concerns promptly. Mentors must also participate in any safeguarding, compliance or development training required by the MBR. The Register of Mentors is reviewed and updated at least annually, and registration is subject to periodic renewal and maybe suspended or removed for breaches, loss of eligibility or safeguarding concerns.
If your appointment ends, the Youth Enterprise must notify the MBR within three (3) working days. If it does not, you may notify the MBR that you have ceased to act as Mentor.
Reach out to MBR on legal.enforcement@mbr.mt or JA Malta for the full Mentor Guide.
Frequently Asked Questions
Quick answers to things you might be wondering about.
Do I need a bank account to register a YE?
Yes, you'll need a business bank account to hold your share capital. Some Maltese banks offer accounts for minors with parental consent, so check with your bank early in the process. In fact, your share capital should be deposited in a bank account before your incorporation documents are submitted to the Registrar.
What if one member turns 18 before the others?
The YE can continue operating until all members turn 18. The conversion or dissolution process only kicks in once the last member reaches 18.
Can I run a YE on my own, without other members?
Yes, a Youth Enterprise can be set up with a single member, as long as you meet all the eligibility requirements including having a registered mentor.
Will this affect my schooling or exams, or my stipend?
Running a YE is entirely separate from your education. There's no formal link between the two. Your student stipend will also not be affected. Time management is something to plan for, but there are no restrictions on studying while running a YE.
Are there any options for meeting rooms or hot desking ?
Contact JA Malta forthe possibility to use the Leadership Hb in Tigne and we are also coordinating with other entities to find additional support on this front.