How to start a Startup: the documents to develop your company?

How to start a Startup: the documents to develop your company?

develop your company

Have you had an idea and want to find out how to start a startup? Our guide will accompany you in the necessary steps to develop your business: here are the documents and legal aspects to start your startup business!

How to start a Startup: the documents to develop your company

The first steps

To start working on your project, until you have established the company, you can immediately regulate relations with your collaborators and future partners. To do this, you can create a letter of intent with which to write down the conditions and points of understanding agreed with your partners.

Alternatively, it is possible to create a real partnership through a joint venture agreement. This very flexible agreement allows for temporary cooperation in which multiple parties provide resources and capabilities to achieve a common goal.

How to start a startup?

The startup is first and foremost a company. When you are ready to set up it, it will be essential to choose the type of company that best suits your business. Generally, the limited liability company (Sal) is chosen as it allows to minimize the economic risk. The assets are separate from that of the shareholders and you can start with a minimum share capital of € 1. It is a very flexible type of company that can be used for any type of business (e.g. e-commerce activities, marketing services, IT consultancy, etc.).

Based on the activity carried out, different types of companies can be chosen:

  • Innovative Startup: which develops and markets products or services with a high technological value
  • Ordinary Sal or Simplified Sal: which can carry out any other activity

To set up your company you will need to create the statute to regulate its functioning and go to a notary to sign the deed of incorporation. If you wish, you can choose our innovative startup constitution or SRL constitution service.

Protect your idea and protect your brand

After having found the answer to the question “how to start a startup”, to defend your brand, proceed immediately with the registration of the trademark that will allow you to use your distinctive sign exclusively (eg. Logo, letters, graphic signs, etc.). It is an essential tool for fighting competition in a constantly growing sector such as that of startups. To learn more, we have written an article on all the advantages of trademark registration.

The brand can also be a potential source of revenue as it can be economically exploited through a license agreement. With this document it will in fact be possible to grant the use and exploitation to third parties of an intellectual property (e.g. brand, software, know-howdesign, etc.). The user license can be used by the startup to monetize their idea without selling it or to exploit eg. patents and know-how of other companies.

Another protection that a startup typically uses is the confidentiality agreement. This document ensures that confidential information shared with third parties remains confidential. The ideas of your company will be protected during private negotiations, a fundamental point, for example, for relations with consultants, collaborators, investors, suppliers and other external parties.

Put your website online

To promote the business of your startup on the web, it is important to make sure you have a site that is always up to standard. The documents generally required for a website are the following:

  • Terms and Conditions: which governs the relationship between website or app users and the company. It can be used for any type of startup site such as eg. for information platforms, e-commerce, e-marketplaces, etc.
  • Privacy Policy of a Website or an App: which informs the users of a website or an app about the use that will be made of their personal information. It is a mandatory document in case of processing of users’ personal data (GDPR compliance)
  • Cookie policy: which informs site visitors of the cookies you will save on their browser. This is a mandatory information in the event that even a single cookie is used (Cookie law compliance)

Resources, collaborators and suppliers for the company

One of the most important moments in the life of the startup is the formation of a team of collaborators to grow with. To entrust projects to resources external to the startup, eg. to commission the creation of a site / app, a work contract is generally used. For continuous or periodic collaborations, a service provision contract is used, for example for consultancy or assistance and maintenance services.

Alternatively, you can choose the employment contracts (both temporary and permanent employment). With permanent employment contracts you will be able to permanently hire a resource that is valuable to you. Q NY startups awarded a b onus young assumptions which saves 50% of the INPS contributions to the open-ended contracts (up to a maximum of EUR 3000 per year for three years). Furthermore, for the personnel employed in research and development activities, the startups enjoy a tax credit of the cost incurred in the period 2017-2020.

Find your workspace:  co-working or rental?

How to start a startup without a space to carry out your business? At the beginning of the company’s journey, a shared workspace or leased property is typically used as an alternative to buying a home.

In the first case, a co-working (or office sharing) contract is used to regulate the relationship between the startup and the space manager. You can use this document when, in addition to the room, you are offered a series of ancillary services connected to the work activity (eg Wi-Fi, meeting rooms, relaxation areas, cleaning, etc.).

In the second case, however, only the property is offered and a commercial lease contract can be used. This document allows the startup to carry out any work activity within the premises (e.g. commercial, industrial, craft, office use, etc.). You can freely determine the duration of the lease, choosing between a temporary lease (max 18 months) and a traditional lease (max 30 years).

Investments and growth for your startup

The contribution of new capital by an investor can be vital to finance the growth of the startup by pushing it beyond the boundaries of the early stages of life. To get an investment for your startup it may be useful to first fix the main points of the investment negotiations. To do this you can use an investment contract term sheet.