Business Startup Procedures: A Comprehensive Guide

Posted on Aug 2, 2024 in Economy

Business Startup Procedures

1. Procedures Relating to the Constitution of the Company

  • Certification Refusal of the Name: Verifies the availability of the company name.
  • Granting of the Public: Formalizes the company’s establishment through a notarized deed.
  • Liquidation of ITP and AJD: Pays taxes on the company’s formation.
  • Registration of Public Deed in the Register: Grants the company legal personality.

2. Fiscal Procedures

  • High in the IAE: Registers the company for the tax on business activities.
  • Tax Identification Number: Identifies the company for tax purposes.
  • Census Declaration: Notifies the tax authorities of the company’s activities.

3. Steps in the Local Administration

  • License Works: Obtains permission for any necessary construction or renovations.
  • License for the Opening: Grants authorization to operate the business.

4. Business Procedures

  • Communication of the Opening of the Workplace: Notifies the authorities of the business’s opening or resumption of activity.
  • Guestbook: Records inquiries and inspections.
  • Registration Book: Documents employee information and changes.
  • Registration of the Company on Social Security: Ensures compliance with social security obligations.
  • High in the Special Scheme for Self-Employed: Registers self-employed individuals for social security.
  • High and Affiliation of Workers to Social Security: Enrolls employees in the social security system.

5. Financial Obligations

  • Mandatory Books: Includes the book of inventories and accounts, journal, and book of records.
  • Auxiliary Books: Provides additional information, such as the general ledger.

6. Economic and Financial Performance

Economic Performance

  • Profit Before Interest and Taxes (EBIT): Measures the company’s operating performance.
  • Increase the Margin: Enhances profitability by increasing sales prices or reducing costs.
  • Increased Turnover: Improves profitability by increasing sales or reducing investments.

Financial Performance

  • Return on Capital (RF): Indicates the profit generated relative to the capital invested.
  • Increase the Margin: Enhances RF by raising prices or cutting costs.
  • Increasing the Rotation: Improves RF by reducing assets or increasing sales.
  • Increasing Leverage: Raises RF by increasing debt relative to equity.