Economic opportunities and company models in Italy

The opportunities arising from economic investment in Italy should be considered along with favourable factors such as an advanced know-how system, highly qualified human resources and a strategic geographical position between the Mediterranean area and continental Europe. A foreign investor might be particularly interested in a sole proprietorship, an Italian company or a branch of a foreign company.

Company types

Italian company types can be partnerships (without juridical personality) or corporations (with legal personality). A joint stock company (Società per azioni, SpA) and a limited liability company (Società a responsabilità limitata, Srl) can better adapt to the interests and purposes of foreign investors.

In the SpA, participation is represented by shares and a minimum share capital of €50,000 is required. In this corporate structure, the main activities of the company are reserved to specific bodies (mainly the shareholders meeting, the management body and the control body). However, bodies and their respective functions vary according to the system adopted by the company. A SpA can adopt the traditional system or, as alternatives, the so-called dualistic system (where more power is given to the control body) or the monistic system (where more power is given to the administrative body).

Gautam Khurana is the managing partner at India Law Offices in New Delhi. Raffaele Torino is a partner at Bussoletti Nuzzo & Associati Avvocati in Rome. The firms are members of the Warwick Legal Network and collaborate for Italian entry and other legal assistance for Indian companies.