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(In response) 1. These are not separate markets. Incorporate in Germany, calculate the added value tax differently, add some i18n to be sure, and that's it. Tr
by cookiengineer 3y ago
(In response)
1. These are not separate markets. Incorporate in Germany, calculate the added value tax differently, add some i18n to be sure, and that's it. Trade union ftw. Your online SaaS product is pretty much the same everywhere. Where things are getting complicated is different taxes for different types of products; so in general the trade of physical products.
11. A lot of VC funds use the structure of a Kommanditgesellschaft (GmbH & Co KG) because they cannot be taxed once the shareholders move to a different country. This avoids the potential double taxation problem. Gmbh & Co KG > Holding GmbH > Operative GmbH is usually the tax layout. But I agree, it's a burden for startups that cannot afford to waste 80k + legal fees just for the legal setup.
What I like to add to the problems:
- capital is owned by banks, not by tech VCs and neither by tech people that got rich by doing tech stuff in the past. In a state wide competition, the best voted startup was doing an online email phishing presentation for corporates. Place number 2 was a hobby baker that needed a second oven. (Not kidding you, it's _that_ absurd). All startups with actual potential in terms of scalability and impact usually get lost in the first pitch competitions in the lower ranks, and they cannot get up because the regional village bank manager who is part of the jury doesn't know shit about computers or smartphones.
- usually the incentive for lead devs or early engineers to join the startup isn't existing. If you cannot pay a competitive salary (which you can't as a startup) they won't join, or rather go back to their cushy consultancy jobs.
- ...which leads to the next problem. A lot of people abuse startups as a jump in their career path, where their immediate goal is to work for "the big five" which are consultancies like KPMG, Accenture, PwC Global and the like. Those types have grown in size over the last years and the response usually is "I heard this is how to get hired by them..."
- angel investors are a joke here. The offers are as ridiculous as "20% for 50k", because they have no idea how quickly a software dev can make that kind of money while freelancing. And they specifically target early stage startups fresh from university. It's almost a scam scheme.