The process of buying or selling a limited company in Italy used to be incredibly complex. However, in 2008, the government introduced a new procedure to make things easier for both local and foreign investors.
Buying or selling a limited company in Italy is primarily a matter of transferring its shares. In the past, this required all parties to be physically present in front of a notary public—an approach that was time-consuming, costly, and often impractical for international transactions.
When the Traditional Process Still Makes Sense
Both the old and new procedures remain available, as the traditional method can still be relevant for certain high-value transactions, such as the sale of a company worth millions. In such cases, the buyer or seller may prefer to be physically present in Italy before a public notary for added security and formal recognition.
If you’re purchasing an existing business rather than starting from scratch, exploring pre-established companies in Italy can be a faster way to enter the market, especially when paired with the streamlined transfer methods introduced by the new legislation.
The Old Way
A share transfer in Italy was traditionally done in person, on paper, in front of a notary public. This involved:
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Notary service fees
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A series of fixed and proportional taxes
For minor transactions, this was often unappealing, as the cost of selling shares could easily outweigh the revenue, sometimes costing ten times more than the actual profit from the sale.
The New Way
While the old procedure is still valid (and often preferable for large, complex sales), the 2008 legislative change introduced a more efficient route. Now, sales can be managed through a chartered accountant or a chartered secretary.
The process now allows you to:
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Sign an agreement that can be sent as a PDF via email, with the original sent separately.
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Complete most steps online, including electronic signatures.
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Finalise the deal through a secure video conference call.
This is especially beneficial when selling to buyers in time zones far from Italy—such as in China, India, or elsewhere in Asia—where coordinating in-person meetings would otherwise be difficult. The entire transaction can now be managed within 24 hours by an accountant.
Taxes remain the same under both procedures, but overall costs are lower since notary fees are no longer required.
Encouraging Foreign Investment
This change in Italian legislation is designed to make Italy more attractive to foreign investors. By simplifying the share transfer process, the government has made it easier for entrepreneurs to buy into the Italian market quickly and with fewer logistical hurdles.
Of course, not every company acquisition is part of a growth strategy; sometimes, business owners decide to wind down operations entirely. In such cases, knowing how to properly liquidate your business in Italy can be just as important as understanding how to acquire one.
Final Thoughts
Whether you are investing in an existing company, selling your own, or even closing a business in Italy, understanding both the old and new share transfer processes is key. The new digital approach offers significant time and cost savings, making Italy a more accessible and competitive market for international business activity.