Skip to content
Italy

Steps to Set Up a Company:

Italy

Choose a Business Structure

  1. Sole Proprietorship (Ditta Individuale): Single owner, full liability.
  2. General Partnership (Società in Nome Collettivo - SNC): Two or more partners, shared liability.
  3. Limited Partnership (Società in Accomandita Semplice - SAS): General and limited partners.
  4. Limited Liability Company (Società a Responsabilità Limitata - SRL): Separate legal entity, limited liability.
  5. Simplified Limited Liability Company (Società a Responsabilità Limitata Semplificata - SRLS): Simplified version of SRL with lower setup costs.
  6. Joint-Stock Company (Società per Azioni - SPA): Separate legal entity, limited liability, suitable for larger businesses.
  7. Branch (Filiale): A branch of a foreign company operating in Italy.
  8. Representative Office (Ufficio di Rappresentanza): Limited to marketing and promotional activities, cannot conduct business transactions.

Register Your Company

  1. Choose a Company Name: Ensure it is unique and follows naming regulations.
  2. Prepare the Articles of Association: Outlining the company’s structure and rules.
  3. Notarize the Articles of Association: Required for certain company types.
  4. Open a Bank Account: Deposit the initial capital required for the company type.
  5. Register with the Italian Business Register: Submit the incorporation documents and pay the registration fee.
  6. Obtain a Tax Identification Number (Codice Fiscale) from the Revenue Agency (Agenzia delle Entrate): For tax purposes.
  7. Register for Value Added Tax (VAT) with the Revenue Agency: If applicable.

Open an Italian Bank Account

  1. Set Up a Business Bank Account: Necessary for managing business finances.

Obtain Necessary Licenses and Permits

  1. Check Industry-Specific Requirements: Depending on the nature of your business, you may need specific licenses or permits.

Comply with Italian Employment Laws

  1. Employment Contracts: Draft contracts that comply with Italian labor laws.
  2. Register with the National Institute for Social Security (INPS): For social security purposes.
  3. Register with the National Institute for Insurance against Accidents at Work (INAIL): For workplace insurance.
  4. Health and Safety Regulations: Follow guidelines from the Ministry of Labour and Social Policies.

Accounting and Reporting

  1. Set Up an Accounting System: Maintain accurate financial records in compliance with Italian accounting standards.
  2. Annual Financial Statements: Prepare and file annual financial statements.
  3. File Annual Tax Returns: Submit annual tax returns to the Revenue Agency.

 

Laws and Regulations to Consider

Corporate Law

  1. Civil Code (Codice Civile): Governs the formation and operation of companies.
  2. Legislative Decree No. 58/1998 (Consolidated Law on Finance): Governs financial markets and securities.

Tax Law

  1. Income Tax Code (Testo Unico delle Imposte sui Redditi - TUIR): Governs corporate income taxation.
  2. Value Added Tax (VAT) Decree (DPR 633/1972): Governs VAT regulations.

Employment Law

  1. Labour Law (Statuto dei Lavoratori - Law No. 300/1970): Governs the terms and conditions of employment contracts.
  2. Social Security Law (Legislative Decree No. 151/2001): Governs social security contributions.
  3. Occupational Health and Safety Regulations (Legislative Decree No. 81/2008): Sets health and safety standards for workplaces.

Data Protection Law

  1. Personal Data Protection Code (Legislative Decree No. 196/2003): Governs data protection and privacy.

Environmental Law

  1. Environmental Code (Legislative Decree No. 152/2006): Governs environmental protection and sustainability practices.

Intellectual Property Law

  1. Industrial Property Code (Legislative Decree No. 30/2005): Governs the protection of patents, trademarks, and industrial designs.
  2. Copyright Law (Law No. 633/1941): Governs the protection of copyrights.

By following these steps and adhering to the relevant laws and regulations, you can successfully establish and operate a company in Italy. It’s advisable to consult with legal and financial experts to ensure full compliance and smooth setup.

When to Consider Setting Up a Company in Italy:

  1. Strategic Geographic Location: Italy’s location provides access to markets in Europe, the Middle East, and Africa.
  2. Large Consumer Market: Italy has a large and affluent consumer market.
  3. Favorable Investment Climate: Italy offers various incentives for foreign investment and a supportive regulatory environment.
  4. Skilled Workforce: Access to a highly educated and skilled labor pool, particularly in fashion, design, engineering, and technology.
  5. Developed Infrastructure: Italy has a well-developed infrastructure, including transportation, telecommunications, and energy.
  6. Innovation and Technology: Italy has a strong focus on innovation and technology, with numerous research institutions and tech hubs.
  7. Quality of Life: Italy offers a high standard of living, excellent healthcare, and a rich cultural heritage, making it attractive for expatriates and international employees.
  8. Access to EU Market: As an EU member state, Italy provides access to the EU single market, facilitating trade and business operations within the EU.
  9. Tourism Industry: Italy's thriving tourism industry offers opportunities in hospitality, travel, and related services.

By considering these factors and aligning them with your business goals, you can determine if setting up a company in Italy is the right move for your organization.

DALL·E 2024-07-08 12.02.10 - An illustration promoting Grant and Grahams global support for setting up companies. The image features a globe with various business icons around it
How to Set Up a Company

Step-by-Step Guide: How to set up a Company

Setting up a company involves a series of crucial steps that require careful planning and execution. From choosing the right business structure to understanding legal and tax obligations, each stage is vital to the successful launch and operation of your business. This step-by-step guide provides a comprehensive overview of the key processes involved in establishing a company, ensuring you have the knowledge and tools needed to navigate the complexities of business formation.