The beginning of the business activity, we will be building solid foundations that will allow the business to grow, without fear of encountering obstacles that hinder its expansion. In addition, the creators of the company will be able to focus on what really matters: having a profitable business. Therefore, below we will see the legal issues for entrepreneurs that you should take into account. Legalize your activity When a business idea materializes and you are going to operate in the market, you need to create your company, in legal terms.

You will have to decide if you want to operate through

Acompany or do it yourself, as a freelancer. At this point, it must be clarified that there are different types of companies, although the most common is the Limited Company, whose constitution is carried out before a notary, requires at least one administrator, and must be registered in the Commercial Registry. In both cases, whether you are self-employed or create a company, you will have accounting and tax obligations France WhatsApp Data every three months, including the quarterly VAT submission. A fundamental difference between both forms of company is the difference in responsibility: If you establish a company, your financial liability will be limited to that of the company. However, your responsibility as a self-employed person is unlimited and you will respond with your personal assets.

Likewise, there are tax differences

As a self-employed person, you will pay taxes on income through personal income tax, which works in sections. Thus, the greater the benefit, the greater the tax burden you will have. This is different for companies, which pay Corporate Tax, which is a fixed fee. Be a sole founder or have partners Starting Iceland WhatsApp Number List alone.  Or doing it with other people also influences the type of company we will build. If we have several partners, it is convenient to have a common company. Since this implies assuming certain obligations and rights together. However, there is also the possibility of creating a company in which you are the only partner. These companies are called “Single-Person Companies.