Choosing the legal form
Most startups choose a Limited Liability Company (SL) for its limited liability and minimum capital of 1€ (since 2022). The SL New Tech offers tax advantages for innovative startups.
Company formation in 24h
The CIRCE system allows creating an SL online in 24-48 hours if you use standard bylaws. Total cost is around €100-200. You don't need to visit a notary physically.
Shareholder agreement and vesting
The shareholder agreement is more important than the bylaws. Define: equity %, vesting (4 years with 1-year cliff), drag-along rights, preference on sale, and exit clauses.
Intellectual property
If you develop software, register intellectual property. Ensure freelance developers sign rights assignment agreements. Register your name and logo as trademarks. Patent if applicable.
Tax incentives for startups
Startups Law: reduced corporate tax rate of 15% for the first 4 years with profits. Income tax exemption for stock options up to €50,000. R&D tax deduction of 42% in certain cases.
Initial hiring
First hires: use temporary or internship contracts. Specialized payroll tools for startups can help with social security filings and paperwork.
Data protection from day one
If your startup handles personal data (and almost all do), you need to comply with GDPR from day one. Appoint a DPO if necessary. Have a privacy policy and explicit consent mechanisms.
At Vynta we advise startups on legal aspects and company formation. We connect you with the best law firms specialized in digital law.