Car dealers in Italy offer a wide range of vehicles to their customers. While some specialize in certain types of cars or manufacturers, others diversify their range and provide large or small vehicles for sale, as well as motorcycles.
When investors set up a business for the sale of motor vehicles in Italy, they need to draw up a business plan and prepare to make the initial investment in a fleet of cars, either new card by working as a franchised motor dealer or a fleet of used and/or reconditioned cars. The wider the range of options will be presented at the car shop, the larger the pool of clients is likely to be.
Company formation in Italy is a simple process that can be assisted by our team of experts. We provide incorporation services to local and foreign investors and can help entrepreneurs during the pre-incorporation phase and during the post-incorporation stages.
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Open a company for the sale of motor vehicles in Italy
A business for the sale of motor vehicles in Italy can be set up as a franchised motor dealership or it can function as an independent company that buys used vehicles and then sells them to new owners. Some companies will also provide services for the reconditioning of the cars or they will sell vehicles that have already been reconditioned.
In summary, car dealers in Italy can offer some of the following services:
- New car sales: by working as an official dealership, the company can offer new cars for sale, with an advantageous payment plan, if desired.
- Reconditioned cars: vehicles that have been purchased from their former owners and have been reconditioned and/or have had certain parts upgraded or changed.
- Used cars: second-hand cars offered for sale; the company buys the car form the former owner and sells it to the new one.
- Auto parts: some companies can also provide auto car parts, original pieces or parts that have been recovered or salvaged from old vehicles before they were sent to a scrapyard.
- Others: some car dealerships will also provide additional services to their clients, such as offering car insurance, in partnership with an auto insurance firm.
These are just some examples of services that can be provided by investors who open a company in Italy in the car dealership field. Some companies may even organize auctions for some cars as well as offer short term rentals. The exact types of services can be set out in the original business plan.
Investors should take into consideration the initial startup costs in Italy, which, in this case, will also include a budget for purchasing the initial car fleet. In any case, investors will also need to handle the steps for company incorporation in Italy.
For the smooth running of a business, accounting services are needed. We recommend our accountants in Italy with experience in bookkeeping, audits, payroll, tax registration, debt monitoring, tax planning, and full financial reports. Moreover, we can offer you HR management services to ensure the quality of your company’s employees. If you contact us online, you can apply for a free case evaluation.
Requirements for companies that sell vehicles in Italy
When starting a car dealership business investors will need to follow the general steps to open a company in Italy as well as comply with the ongoing regulations for companies. Some of the general aspects that need to be taken into consideration include the following:
- • Functioning requirements: the company will need to have a registered office in Italy whose address will be mentioned in the incorporation documents.
- • Taxation: the company pays the corporate income tax, the value-added tax, and other local taxes as may be required.
- • Accounting: the company will need to keep books and records of accounts as well as the original invoices and other documents.
- • Auditing: required when the business checks two of the three: total assets in excess of 4,400,000 EUR, the average number of employees over 50 or the sales and services revenue of 8,800,000 EUR.
- • Employment: the employer needs to maintain a non-discriminatory work environment and observe the Employment Law.
Our team of agents who specialize in company registration in Italy can provide investors with more details about each of these points of interest.
Investments in Italy
The number of companies in Italy, as per four analyzed regions, was the following in 2017:
- – the south region and the islands: 2,009,093 companies;
- – the northwest region had 1,564,700 companies;
- – in the central region there were 1,324,898 companies;
- – in the northeast region, there were 1,155,588 companies.
According to a monthly report on the economic situation in the country, issued by the National Statistical Institute, the overall economy maintains a moderate growth trend as purchasing power continues to improve.
Investors can contact us if they wish to open a company in Italy for the sale of vehicles. We can also assist investors who wish to open companies in other business fields.