MG Law has guided 500+ international investors through Italian company formation; from legal structure selection to Commercial Registry filing, without requiring a single trip to Italy.
Trusted by clients from the US, UK, UAE, Germany, and 30+ other countries.
The most expensive mistake foreign investors make in Italy isn’t choosing the wrong city — it’s choosing the wrong company structure. A misjudged choice between an S.r.l., a branch, or a holding entity can cost you years of suboptimal taxation and months of legal corrections.
MG Law’s business setup service starts with legal and tax structuring analysis — before a single document is filed.
What Does Business Setup in Italy Mean for a Foreign Investor?
Business setup in Italy for foreign investors involves incorporating a legal entity — typically an S.r.l. (Società a responsabilità limitata) — before the Italian Notary, registering with the Camera di Commercio, obtaining a Partita IVA and Codice Fiscale, and structuring the corporate and tax position in compliance with Italian law and applicable double taxation treaties.
The entire process can be completed remotely in 7–15 business days via a Power of Attorney, without the investor being physically present in Italy at any stage.
The choice of legal structure — S.r.l., S.r.l.s., S.p.A., branch, or holding — directly impacts your tax exposure, liability protection, and exit options. This decision should precede incorporation, not follow it.
MG Law’s direct recommendation: For the vast majority of foreign individual investors, the S.r.l. is the correct starting point. If you are relocating to Italy and plan to use Italy’s flat tax regime for new residents (€100,000 annual substitute tax on foreign-sourced income), combining the S.r.l. with a proper holding structure often reduces the total tax burden materially. Run the tax analysis before you incorporate — not after.
Not sure which structure fits your situation? Request a Structure Assessment →
Which Company Structure Is Right for Your Italian Investment?
Sr.l. (Limited Liability Company)
best for most foreign investors. Limited liability, flexible governance, minimum capital €10,000. Setup time: 7–15 days.
Sr.l.s. (Simplified S.r.l.)
deal for startups and small ventures. Minimum capital €1, lower notary fees, faster setup.
Sp.A. (Joint-Stock Company)
suited for larger investments or companies planning to raise institutional capital. Minimum capital €50,000.
Branch Office
establish a legal presence in Italy while keeping your existing corporate entity abroad. No new share capital required.
Innovative Startup
dedicated legal status granting access to Italy’s startup incentives, reduced fees, and simplified procedures.
What MG Law's Business Setup Service Covers
End-to-end legal and tax assistance from day one to post-incorporation compliance:
Legal structure analysis
S.r.l., S.p.A., S.r.l.s., innovative startup, branch, or representative office. We advise on the structure before filing anything.
Tax and fiscal structuring
analysis of applicable double taxation treaties, VAT obligations, and flat tax regime eligibility, coordinated with your country of residence.
Company incorporation
drafting of Articles of Association and Memorandum, Notary representation via Power of Attorney.
Commercial Registry filing
registration with the Italian Camera di Commercio.
Tax and VAT registration
Partita IVA, Codice Fiscale, and any sector-specific licensing.
Corporate bank account
coordination with Italian banks for remote account opening.
Power of Attorney management
we handle the full incorporation process on your behalf, with no travel required.
How the Remote Company Formation Process Works — Step by Step
No travel. No delays. Six steps from consultation to active Italian company.
Free Legal Assessment — We evaluate your business model, investment goals, and country of residence to recommend the optimal legal and tax structure. Duration: 30–60 minutes.
Power of Attorney — You sign and apostille a PoA from your home country, authorizing MG Law to act on your behalf before all Italian authorities.
Document Preparation — We draft the Articles of Association, the Memorandum, and all required corporate filings in compliance with Italian law.
Notary and Commercial Registry — We represent you before the Italian Notary, sign the deed of incorporation, and register the company with the Camera di Commercio.
Tax and VAT Registration — We obtain the company’s Partita IVA, Codice Fiscale, and any required licences or sector authorizations
Bank Account Opening — We coordinate with Italian banks on your behalf for remote corporate account opening
Typical timeline: 7–15 business days from Power of Attorney signing.
Timeline varies based on company type, sector, and apostille processing times in your country. We provide a jurisdiction-specific estimate during the initial consultation
Not Sure Which Italian Company Structure Is Right for You?
S.r.l. or branch? Holding or direct investment? Flat tax regime or standard corporate taxation?
These decisions have a 5–10 year financial impact. Getting them wrong at incorporation means costly restructuring later — when your business is already operating and your assets are already exposed.
Book a free 30-minute structure assessment. Our lawyers will review your business model, country of residence, and investment goals — and give you a clear recommendation before you commit to anything.
Request Your Free Structure Assessment →
No commitment. No fee. A clear answer on what structure fits your situation.
Book Your Consultation
Speak with our Italian corporate law experts today.
FAQ: Business Setup in Italy for Foreign Investors
How long does it take to set up a company in Italy?
For a standard S.r.l., the process takes 7–15 business days from the moment the signed and apostilled Power of Attorney is received by MG Law. This timeline covers incorporation, Commercial Registry filing, and Partita IVA registration. Timelines may vary for S.p.A. structures, sector-regulated businesses, or jurisdictions with slower apostille processing.
Can a foreigner own 100% of an Italian company?
Yes. Italian law places no restrictions on foreign ownership of Italian companies. A non-Italian individual or foreign entity can be the sole shareholder of an S.r.l., S.p.A., or other Italian corporate structure. There are no minimum local ownership requirements for most sectors, subject to applicable EU and sector-specific regulations.
Do I need to be physically present in Italy to incorporate a company?
No. MG Law manages the entire incorporation process remotely via a Power of Attorney. You sign and apostille the PoA in your country of residence, courier it to us, and we act on your behalf before the Italian Notary and all public authorities. No trip to Italy required at any stage.
What is the minimum capital required for an Italian S.r.l.?
The minimum share capital for an S.r.l. is €10,000, of which at least 25% (€2,500) must be paid in at incorporation. For an S.r.l.s. (Simplified S.r.l.), the minimum capital is €1, making it accessible for startups and early-stage ventures. The S.p.A. requires a minimum capital of €50,000, fully subscribed at incorporation.
What taxes does an Italian S.r.l. pay?
An Italian S.r.l. is subject to IRES (Corporate Income Tax) at a standard rate of 24%, and IRAP (Regional Production Tax) at approximately 3.9%, which varies by region and sector. VAT (IVA) applies at 22% for most goods and services. Additional benefits may apply under double taxation treaties, Italy’s flat tax regime for new residents, or Startup and PMI Innovativa incentives. A tax structuring analysis is recommended before incorporation.
Can I open an Italian corporate bank account remotely?
Yes. MG Law coordinates corporate bank account opening with Italian banks on behalf of our clients. The process is fully remote. Timelines and requirements vary by bank and client profile. We recommend starting the bank account process in parallel with the incorporation to avoid post-registration delays.
What is the difference between a branch and an S.r.l. for a foreign company entering Italy?
A branch (Sede Secondaria) is an extension of the foreign parent company in Italy — no separate legal entity, no new share capital, but the parent assumes full liability for Italian operations. An S.r.l. is a separate Italian legal entity with limited liability, independent corporate governance, and its own balance sheet. The branch is faster and cheaper to set up; the S.r.l. offers better liability protection and is generally preferred for long-term Italian operations.
Do I need an Italian address to register a company in Italy?
Yes. An Italian legal address (Sede Legale) is required for all Italian companies at the time of incorporation. MG Law provides registered office address services as part of the setup package where needed, or coordinates with the client’s Italian property or operational address.
