When a new business idea has emerged, and when it has become so intrusive and seemingly safe, you need to think about how to start the practical work and what form of business to choose. Currently the most popular form of business in Latvia is Limited Liability Company (SIA). When thinking about the implementation of a business idea, everything initially sounds quite simple – to establish a limited liability company or SIA. What could be complicated about it? All you have to do is take the specific actions step by step:
- gather information about the start-up capital, plans, and goals of the new company;
- prepare documents and fill in forms;
- clarify and fine-tune all the nuances;
- electronically or manually sign the documents;
- pay the stipulated state fees for everything;
- submit documents to the commercial register institution;
- and finally receive confirmation that the documents are prepared and the company is established;
- all that remains is to implement your ideas and begin the actual operation.
However, unless you are a lawyer or an experienced entrepreneur, this process can lead to a number of confusions and questions that can turn starting of your business into long and even annoying process. For example, the following questions may arise:
- Is SIA the most appropriate form of business in the particular situation?
- Where would it be better to register a legal address?
- Is it necessary to obtain the consent of the owner of the legal address and in what form?
- How to prepare the documents so that they are accepted by the Register of Enterprises?
- How to better organize the signing of documents – electronically or in paper format?
- What is the amount of the share capital that needs to be paid up?
- What taxes will have to be paid?
- Who will undertake material responsibility for the obligations of SIA?
- How many board members can there be?
- Can the manager himself or herself be the accountant?
- Is it mandatory to have a bank account?
- How will the State Revenue Service find out about the new company?
- How long does it take to establish SIA?
- What is a low capital SIA?
- Is the chosen name appropriate?
- When can I start serving the first customers?
Everyone, however, has to do what they do best. Managers of SIA need to think about achieving goals and making profit, and it is safest to entrust “the technical work” to experienced professionals, who will execute the process of establishing a company faster, saving resources, and without any interruptions. The same as in all spheres, also when starting a new company, correcting small mistakes later can take longer and create unforeseen expenses.
And after all – possibly SIA is not the most suitable form of business in your case? Perhaps at the beginning it is enough to register as a self-employed person with the State Revenue Service, as in this case the initial costs will be lower and you will be able to keep accounts yourself.
We are looking forward to our cooperation! We will be happy to help you start a new business and provide tips on how to do it in the fastest and most efficient way.