Startups are among the most employed types of enterprises all over Europe and Austria makes no exception. The flexibility, innovation and the easiness in register a business in Austria provide young and seasoned entrepreneurs the necessary tools to launch successful companies on the background of a solid economy.
If you are interested in opening a startup in Austria and need guidance, our company formation agents are at your disposal with various services and information. We can also assist you in creating a startup in Vienna.
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The main characteristics of a startup in Austria
In terms of legal requirements, it should be noted that there are no differences between a startup and any other type of Austrian company. However, what distinguishes the startup from other businesses are the following features:
- it is usually created based on accurate and well-crafted business plan and model;
- the products or services it provides have an innovative character and are meant to serve numerous consumers;
- it usually relies of funds obtained through crowdfunding platforms or from angel investors and business incubators.
Startups in Vienna are among the most successful in country, as many startup hubs operate in the capital-city of Austria.
Our company formation consultants in Austria can help foreign investors create startup companies.
Austrian startup creation steps
Creating a startup in Austria implies the same procedure as any other type of company, which means that there are no special requirements to follow.
Many Vienna startups, for example, are operated by single entrepreneurs through private limited liability companies (GmbH, the most popular legal form in this country). In order to create a startup this way, the following steps need to be completed:
- business name reservation in order to ensure its uniqueness;
- incorporation documents drafting and notarization, which consist in the Articles of Association;
- documents filing with the Austrian Trade Register;
- tax and VAT registration with the local tax office.
Austria also has a special immigration program dedicated to entrepreneurs interested in relocating here by setting up a business. In most countries, it is known as the Startup Visa Program, however, here it was called the Startup Founders scheme, and is dedicated to non-EU investors who want to live in Europe.
Foreign entrepreneurs who want to establish startups in Vienna are invited to join this program. Our Austrian company formation officers can guide them.
The Startup Founders Program in Austria
Startup founders can obtain Red-White Cards under this special immigration programs provided they meet the following requirements:
- – they open Austrian companies that launch innovative products, services, or technologies;
- – they engage personally in the management of the companies;
- – they provide a minimum share capital of 50,000 euros with an equity share of 50%;
- – they gather sufficient points (minimum 50 points) under the score point system.
Here is how foreign applicant can obtain at least 50 points in order to immigrate to Austria and create Vienna startups:
- – a maximum of 30 points can be obtained if the applicant has completed a Bachelor’s or Master’s degree program in Austria;
- – at least 2 years of work experience can bring another 10 points;
- – German or English language skills can bring between 10 and 15 points based on the knowledge level.
It is also possible to earn extra points if the entrepreneur is no more than 35 years old and has been admitted into an Austrian business incubator. Proof of investing more than 50,000 euros can also raise the score to the maximum point possible – 85.
If you want to open a startup in Austria, this could be an option if you are a foreign citizen from a non-EU country. Applications for the Red-White Card are processed by the Austrian Migration Authority.
Why choose Vienna to create a startup?
Vienna is not only the capital of Austria, but also its main business center where many startup incubators are found.
Setting up startups in Vienna can bring a lot of benefits, among which access to numerous tools, angel investors who can help with their expertise and partnerships.
Vienna startups and others from important cities have as core activities information technology, life sciences, and media.
American magazine Forbes has placed Austria among the 7 most important startup hubs in Europe.
If you want to open a company in Austria and decide for a startup, our local representatives are at your service with tailored business incorporation solutions. Do not hesitate to contact us and get an insight on how successful it is to run a company in Austria.