With the UK’s exit from the EU, UK trading companies may have additional difficulties in sustaining their trade with foreign countries and with a major trading partner country such as Italy.
One of the ways to make foreign trade rules easier is Italy company incorporation. This would give the advantage of being able to have the same rules as other companies that are part of the common market. In fact, since January 2021 the UK has been out of the EU and for the English company it must understand how the rules work for a non-EU company.
The biggest problems to open a company in Italy concern:
- the entry of employees into Italy;
- hiring employees;
- the tax regime to be adopted;
- the tax residence;
- the bank account.
A business in Italy can have different forms. Could be:
- General partnership – S.n.c – all shareholders are jointly and unlimitedly liable for social obligations.
- Limited partnership – S.a.s – The general partners are jointly and severally liable for the social obligations. Limited partners are liable only for the share contributed;
- S.p.A. (joint stock company);
- S.r.l. (limited liability company);
- S.r.l.s. (simplified limited liability company);
- S.a.p.a (limited partnership limited by shares).
Other ways to do business in Italy are:
- open a representative of the company in Italy;
- open a branch of the company in Italy;
- identify a trusted person to be appointed as a shareholder of the company and who has the task of looking after business in Italy;
- identify a trusted lawyer who has the same duties, looking after the business of the UK company in Italy.
- Even if the rules of the EU common market no longer apply to the United Kingdom, which has become a non-EU country, the rules of international law for trade and business still apply to the trade and business of UK companies and free trade deals between countries , which regulate international contracts. The attention that an English company must pay is:
- adopt the safest tools for entering into international contracts;
- include in the contract all the clauses, including extraordinary ones, to always be protected against any unexpected events;
- identify the partners to rely on for the study of the laws of the country with which one enters into business relations.
Some of the advantages that make it convenient to open a company in Italy are suggested by the international law firm Damiani&Damiani located in Italy. In Italy you can open a startup and set up an SRL, due to the long-term benefits that are offered by this type of company. Some of the reasons for opening a company in Italy are:
- Personal assets are not threatened;
In the SRL the shareholders are not directly responsible for the obligations contracted by the company;
- The share capital can also be 1 euro;
You can have members;
- For start-ups there is no need for a notary to open the SRL company, it is very easy and can also be done online;
- The start-up enjoys the tax advantage equal to 30% of the investment;
- The SRL online can complete the amending acts of the statute also online and with electronic procedure;
- Equity crowdfunding is an alternative to the search for capital through private financing or bank loans. All SRLs can finance themselves through crowdfunding campaigns on enabled portals;
- The closure of the SRL company can be activated by simplified liquidation power of attorney;
- The SRL provides for minimum obligations by the shareholders. It is also much easier for the accountant to manage an SRL with much lower expenses.