notanormalnerd
Joined 6 years ago
Joined 6 years ago
Where is the line?
It also hasn't been raised since 1981 when it was set at 50.000 DM. Which would provide a real trust to customers and suppliers working with a GmbH. This would mean 65.000€ accounting for inflation.
And trust is key in having a smooth running economy.
OP missed six months of opportunities because he is an idiot, that has been scammed by a tax consultancy that is interested in his money.
He should have setup a UG, start the business and invest into building a GmbH.
A lot of the entrepreneurs I meet become tax & social insurance fraudsters as soon as I mention this, because they think they can setup a company somewhere but live in Spain, without paying or registering companies here.
Because a agricultural business and a hotel business are two different things, and Spain has, rightfully so, their thumb on the spread of tourism, because it affects local communities negatively.
Otherwise investors could just come in, buy a random agriculture business and then turn it into luxury hotels/lodging.
> I’ve been involved with startups and small businesses for more than a decade, and I haven’t still heard of any of them doing things 100% by the book, because it’s just impossible.
Because entrepreneurs are notoriously bad thinking further than their own interests. It always, "just" something they want to do.
Zoning rules and regulations have their purpose. Are some of those in some places idiotic? Yes. Do most of them still have their reason? Also yes.
Otherwise we can stop protesting datacenters and the trump family building a eco-luxury resort in a nature reserve.
He wants a company but not put down any assets, but still limited liability, he has to get a UG. But obviously customers don't want to deal with that because there are no assets in case they pay 5.000€ and the company goes belly up.
Customers deal with GmbH, because they know they have at least a little bit of value in assets. So if I buy from you for 5.000€ I know that should be covered by your assets.
The guy is an idiot and has been misconsulted by the law firm and has been pulled over the table by said law firm.
The 25.000€ hasn't been raised since the early 1980s. (50.000 DM back then) So to have the same liability today, you would have to put down 65.000€.
So it has gotten increasingly cheaper to start a GmbH in Germany.
There is a reason why we have so much bureaucracy in Germany (1. because we like it) and second because it is supposed to provide trust, trust that every company I deal with is legit, trust that the system knows who is participating. Without trust nobody would make business or business would be very hard, because you would have to price in the risk of not having trust.
This also signals very clear to investors what this enterprise is about.
Look at some of the poorer places in America and you can see what you can get with no property tax or other contributions.
Suburbia is unnecessarily subsidised.
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