Buying a ready-made company is a good alternative to a foreign investor who wants to set up a business in Italy and start immediately. The companies that have been already registered in Italy are called ‘shelf companies’. The ‘shelf company’ needs to have good financial records so you won’t have any problems in the future.
Preferred business types
The preferred business forms are the limited liability company and the joint stock company. You should decide which of these forms are more suitable for your business according to the size of the company, its prospects for development in the future and the possibility to invest the required share capital amount.
Once you have signed the incorporation document of your chosen ‘shelf company’, it will start to engage in commercial activities and function. A bank account will be required for your company. The next important step after transferring the company to the new owner is to transfer the shares of the company from the initial owner to the current shareholders. This is done with a help of a public notary in Italy.
Advantages of buying ready-made company
If you buy a ready-made company it will help you benefit from its credibility on the market. A ‘shelf company’ will have clean records. Regardless of a business sector in which you operate in, a ready-made company can be an excellent business option for you.
Seeking legal advice
It is important to obtain independent valuation and employ an accountant to audit the books. Never sign anything that not fully understood and obtain independent professional advice before buying a business.
If buying an existing business, the buyer may be required to take an existing staff who cannot be dismissed or be faced with paying high redundancy compensation. In Italy, it is very expensive to hire employees, because, in addition to salaries, over 40 % is paid by the employer in social security contributions.