people

How to open a business or a company: requirements, procedures and costs

Do you want to set up on your own?

Opening a business is a process that requires attention because you need to make sure that your business can be sustainable, i.e. able to generate profits and profits.

In this article, we will explain the bureaucratic procedure to follow to open a company, what it takes, the types of companies and the different legal forms.

Let’s get started right away

WHAT DO YOU NEED TO OPEN A BUSINESS?

To open a business you need to have a validated business idea, find a partner or a co-founder (it is not mandatory but often recommended), a team and a business plan, which also contains the strategy customer acquisition.

Opening a company is not too different from opening a startup. In fact, the goal of both is to give life to a project that makes money, however a startup is characterized by very rapid growth (here you can learn more about the life cycle of a startup).

So let’s see in detail what it takes to open a business, be it a company or a startup.

FIND A BUSINESS IDEA AND VALIDATE IT:

What cannot be missing to start a business is the idea. For this reason, before opening a business you need to decide what you want to work on, on a particular solution, product or service. Here you can find some tips to find an innovative idea.

Once you have found the idea to open a business you have to put it under the magnifying glass to understand its potential. This process is called idea validation.

It consists in carrying out some checks, first on the customer and on the problem and then on the solution, to go on to develop and design the product that best meets the expectations of the buyers and avoid wasting time and money.

ESTABLISH BUSINESS PLAN AND CUSTOMER ACQUISITION STRATEGY:

Once the idea has taken shape, to open a business it is necessary to establish a business plan, with which to predict its growth, and a customer acquisition strategy, to which to sell your product or service.

The first will contain key information about the company, such as its business model, competitor analysis and financial economic plan for the coming months and years (the Financial Plan).

The customer acquisition strategy must instead be carefully chosen based on your sales target, to understand which channels and language are most effective for communicating your company’s values. Here you can find 19 channels to acquire new customers.

BUREAUCRATIC PROCESS TO OPEN A COMPANY (+ REQUIREMENTS):

Depending on the legal form chosen to open a business, there are different requirements and procedures.

Taking a traditional business as an example, the bureaucratic process to open it will be as follows:

opening of the VAT number;
registration in the Company Register;
communicate the documents to the Chamber of Commerce;
send the notice of commencement of activity to the municipality;
in the case of personnel recruitment, the opening of positions

As we mentioned before, the requirements and procedures necessary for opening a new business are different for the type of company you want to set up. Not only that, the process also depends on the sector, the type of activity, and the place of the start-up. The advice is therefore to check everything necessary through government portals or by asking for help from consultants. Contact here for workforce skill improvement.

HOW MUCH DOES IT COST TO OPEN A COMPANY?

Clearly opening a company is not free, it has costs and often even important ones. Also in this case the sum requested varies a lot according to your idea, how you intend to develop your project, the infrastructures you may need and the place where you intend to operate. The cost of opening a business also depends on the type of company you choose.

However, when we talk about starting a business, we often talk about figures approaching tens of thousands of usd, especially when you want to create an ad hoc product or service or you need to buy a property.

However, this should not scare aspiring entrepreneurs and/or startuppers, there are many tools for financing a startup or company. All that remains is to demonstrate to investors how much your idea is worth.