How to open a business of any kind in a few simple steps? Let’s find out the meaning of business and company, what is the most correct way to start and the costs to be incurred.
What is the company and what is the company?
The term firm is often confused with that of company. These are terms generally used as synonyms but which identify a different legal concept. In particular, it is important to distinguish:
- the company: the activity of producing or selling goods or services (e.g. a shoe manufacturing company or a retail trade activity)
- the company: the set of assets used to carry out the business activity (e.g. all machinery, goods and contracts)
The enterprise is therefore a broader concept that identifies the activity of producing products or services or a commercial sales activity. The company, on the other hand, is a more specific term that identifies the elements necessary to carry out the activity.
There are two types of businesses. In particular, you can choose between:
- Sole proprietorships: natural persons with a VAT number who produce or sell goods or services. These are entrepreneurs who carry out a business in a personal way without having partners. The owners are directly responsible for the debts of the company
- Company (e.g. SRL, SRLS or SPA): organizations that carry out a business activity with assets separate from that of the owner and individual shareholders. Companies can be made up of several people (multi-member) or even a single shareholder (single-member). Generally, the owners and shareholders are not liable for the debts of the business with their own assets, but the company directly with the capital
The choice of the type of company depends on many factors such as the sector in which it operates and the investments necessary to start the business. In fact, the sole proprietorship is suitable for activities that do not involve many risks and do not require large investments. Conversely, the company is better suited to businesses that involve more risk and higher upfront costs.
How to open a business?
To start any business, some bureaucratic steps are required. These requirements vary according to the type of business you want to open.
Open a sole proprietorship
The first step to open a sole proprietorship is the opening of the VAT number at the Revenue Agency. This practice can be done with a telematics procedure called Communicate. It is necessary to indicate the ATECO code that identifies the activity carried out and to verify the requirements and the right tax regime for your business. In order to take advantage of the available benefits and not make mistakes, it is best to seek advice from an expert who takes care of all tax obligations.
Once the VAT number has been obtained, it is also necessary to register with the business register. Registration must be done electronically with the Communicate service and the file can only be submitted by a qualified professional. It is not possible to submit the request in person at a physical location.
With LexDo.it, you can open a VAT number and a sole proprietorship online quickly and easily. The service includes the support and advice of professionals who will take care of all the necessary formalities. In addition, a year of legal support is also included which includes tailor-made consultancy and contracts for your work.
Open a company
To set up a company, it is necessary to create the documents that regulate the functioning and organization of the company (statute and deed of incorporation). Generally, the constitution with a notary is always required. The only exception that does not require a notary is the innovative startup which can also be established online.
For the creation of the company, further formalities are necessary such as the opening of the VAT number and the registration in the register of companies. In addition, the company is required to comply with a series of tax and accounting obligations such as the creation of company books.
With LexDo.it, you can set up an SRL or create an innovative startup. The service includes the advice of a lawyer for the drafting of the constitutive documents and the assistance of an expert notary for all the necessary steps. Furthermore, for the innovative startup, it is possible to establish without a notary electronically. In any case, one year of legal support is included for every need during the life of the company.
How much does it cost to open the company?
The costs to open a business are linked to the legal form and the type of business to be carried out. Lower costs and less bureaucracy are expected for personal activities. In particular, the costs for the sole proprietorship mainly concern the VAT number and the business register with an expense of a few hundred euros.
In the case of the company, on the other hand, the costs are higher and more accounting requirements are expected. In fact, in addition to the expenses for the VAT number and the register of companies, it will also be necessary to bear the costs for the establishment and the related taxes.
Once the business is open, you need to find an expert who takes care of accounting and tax returns. The costs are lower for the sole proprietorship and higher for the company. In addition, if the business involves hiring employees, you will have to bear the costs of entering into contracts and pension contributions.
Practical examples of businesses
There are many categories of companies and different sectors in which one can operate. Let’s see some practical examples:
- Commercial activity: for example, to start a bar and sell drinks and food products without having a kitchen (eg pubs, breweries and cafes). In this case, for the bar you must choose the ATECO code 56.30.00 and have all the required certifications such as the HACCP certificate to treat food and drinks
- Construction company: to construct, for example, residential buildings (houses and family homes) and non-residential buildings (factories and industrial warehouses). In this case, for the activity it is necessary to choose the ATECO code 41.20.00 and have all the authorizations and permits to build
- Cleaning company: for example, to carry out domestic cleaning activities of all kinds of properties and to take care of the hygiene of internal and external areas. In this case, the ATECO code 81.21.00 and registration with a specific insurance are indicated for general cleaning
Open your business with LexDo.it
With LexDo.it, you can start your business so quick and easy. You can try our free quiz to find out which is the best way to open your business. Once we have identified the right solution for your case, we will take care of all the necessary formalities.
The service includes 1 year of 100% online legal support to create tailor-made contracts and request consultations with professionals for any need during the life of your company (e.g. hiring of staff, contracts with suppliers, trademark registration, etc.).