Startup in Europe?

#1

Post by loxs » Tue, Jul 06, 2010, 8:40 AM UTC

We have all read Paul Graham's writings about why the USA and Silicon Valley are the best places to start business. I have no troubles believing him. But some of us are less lucky to have been born in Europe (although it could be far worse). And I know it's possible to start an American company, even if I have no US passport, but still, that involves traveling to the USA (with all the hindrances like visas etc.). I live in one of the newer (cheaper) members of the EU and with the money needed for such a journey, I could easily live for months (and maybe even a year) while developing my product. So I guess, I'll first try doing it here.

Could anyone suggest better (or less worse) European country for starting an IT company? I'm talking about the legal part only, not living there.

Re: Startup in Europe?

#2

Post by drKarl » Tue, Jul 06, 2010, 8:48 AM UTC

Best European country for starting an IT company? Are you talking about taxes? If your question is not related to taxes I don't know why a country would be better than another, specially if your company is all about developing a product and then selling it either as a product or online as a service.

Re: Startup in Europe?

#3

Post by c1sc0 » Tue, Jul 06, 2010, 9:02 AM UTC

What about this:

1) get a high-paying job in a European country 2) after 6 months, start doing a lousy job & get yourself fired. 3) Leach on generous social security until your startup takes off. 4) ... 5) Profit!

Re: Startup in Europe?

#4

Post by c1sc0 » Tue, Jul 06, 2010, 9:04 AM UTC

Does Switzerland count? Pro: stable economy, access to capital, beautiful. Con: expensive

Re: Startup in Europe?

#5

Post by pwim » Tue, Jul 06, 2010, 9:07 AM UTC

c1sc0 wrote: post #3

What about this: 1) get a high-paying job in a European country 2) after 6 months, start doing a lousy job & get yourself fired. 3) Leach on generous social security until your startup takes off. 4) ... 5) Profit!

I've heard in France, you don't even need to do a lousy job. You just need to ask to be "voluntarily fired", and you can receive benefits. If you have a startup, you can receive those benefits indefinitely.

Re: Startup in Europe?

#6

Post by loxs » Tue, Jul 06, 2010, 9:07 AM UTC

drKarl wrote: post #2

Best European country for starting an IT company? Are you talking about taxes? If your question is not related to taxes I don't know why a country would be better than another, specially if your company is all about developing a product and then selling it either as a product or online as a service.

I am talking about less taxes, less beaurocracy, less stupid artificial hindrances.

Re: Startup in Europe?

#7

Post by drKarl » Tue, Jul 06, 2010, 9:09 AM UTC

c1sc0 wrote: post #3

What about this: 1) get a high-paying job in a European country 2) after 6 months, start doing a lousy job & get yourself fired. 3) Leach on generous social security until your startup takes off. 4) ... 5) Profit!

I don't know in another countries, but where I live, social security pays you for unemployment 4 months per worked year. That means that with only 6 months worked you would only receive 2 months of unemployment pay, and if you don't have any children it is only 1000 euro/month (better than nothing...). On the other hand, if you have worked several years (6 or more), you can accumulate up to 2 years of unemployment pay, and if you then decide to become an enterpreneur, you can capitalize all of this and you can have up to 100% of this in cash for your business.

Re: Startup in Europe?

#8

Post by _delirium » Tue, Jul 06, 2010, 9:26 AM UTC

Just staying where you are now seems like the best default option, unless you have a particular reason to believe you'll be better off elsewhere. What kind of business? My impression is that regulation varies quite a bit by type of business. For example, if you want to sell a new piece of hardware, some countries are nearly impossible, while others are somewhat easier. But if you just want to put up some webpages and make income from AdSense, most countries don't care much at all.

Re: Startup in Europe?

#9

Post by loxs » Tue, Jul 06, 2010, 9:31 AM UTC

_delirium wrote: post #8

Just staying where you are now seems like the best default option, unless you have a particular reason to believe you'll be better off elsewhere. What kind of business? My impression is that regulation varies quite a bit by type of business. For example, if you want to sell a new piece of hardware, some countries are nearly impossible, while others are somewhat easier. But if you just want to put up some webpages and…

I am talking about SaaS web application. Where I am now (Bulgaria) is not necessarily the best option. We have lots of leftover laws (from the communist regime) which make life hard, especially for a "modern" company. For example I have to pay to an accountant (the government requires it), so that he can sign up my tax declarations. Of course, Bulgaria is not too bad. I'm just trying to find some better place.

Re: Startup in Europe?

#10

Post by dotcoma » Tue, Jul 06, 2010, 9:35 AM UTC

loxs wrote: post #6

drKarl wrote: post #2

Best European country for starting an IT company? Are you talking about taxes? If your question is not related to taxes I don't know why a country would be better than another, specially if your company is all about developing a product and then selling it either as a product or online as a service.

I am talking about less taxes, less beaurocracy, less stupid artificial hindrances.

I would go to Estonia.