Have you ever wondered what it takes to set up your own company? In this podcast episode, I share my personal journey of starting UserQuest and the obstacles I encountered along the way. One of the biggest challenges was finding accountants who truly understood my software-as-a-service business model and the complexities of taxation. It was frustrating to navigate through the options for managing taxes, such as setting up the company in Estonia, only to realize the potential risks involved.
Join me as I share my experiences and insights, and hopefully, you'll find inspiration for your own entrepreneurial journey.
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Timestamps
Setting up a company [00:02:04]
Tiago discusses the process of setting up a company, specifically in Portugal or Europe, and shares his experience and learnings.
Challenges with finding an accountant [00:04:05]
Tiago talks about the difficulties they faced in finding an accountant who understood their business model and could provide accurate tax advice.
Reducing taxes [00:06:48]
Tiago explains the research and efforts they made to try and reduce their taxes, as they were being taxed at a high rate that didn't align with their online business model.
The frustrations of setting up a company [00:07:46]
Tiago discusses the frustrations he faced when seeking advice on setting up a company and the simplicity that others claimed it to be.
Investigating options in Singapore [00:08:44]
Tiago explores the idea of setting up a company in Singapore, including the lower taxes and the requirement for a stakeholder to live in Singapore.
Exploring Madeira as an option [00:09:45]
Tiago considers Madeira as a potential location for their company, the concept of fiscal paradises, and the need to live in Madeira for tax benefits.
Setting up a company in Estonia [00:15:37]
Discusses the options and tax implications of setting up a company in Estonia, including paying taxes on dividends and profits.
Double taxation and treaties [00:17:42]
Explains the issue of double taxation when living in one country and having a company in another, and how treaties can help mitigate this problem.
Legal concerns and hiring a lawyer [00:19:39]
Details the decision to hire a lawyer to determine the legality of having a company in Estonia while living in Portugal, and the potential consequences of not paying taxes in the correct jurisdiction.
Deciding on Estonia or Portugal [00:23:16]
Tiago discusses the pros and cons of setting up a company in Estonia and Portugal, including the risks and potential benefits.
Affordability of fines [00:25:29]
Tiago reflects on the ability to afford fines and how it influenced the decision to choose Portugal for their company.
Challenges with company registration in Portugal [00:27:20]
Tiago shares the frustrating process of registering a company name in Portugal, including the slow bureaucracy and issues with the registration tool.
Setting up the company [00:30:14]
The speaker discusses the challenges they faced while trying to set up their company and the decision to physically go to the finance department.
Setting up a business bank account [00:31:09]
The speaker talks about the process of setting up a business bank account and their decision to go with Revolut, an online bank.
Managing company expenses and taxes [00:33:06]
The speaker explains the concept of minimizing company profits to reduce taxes and discusses strategies to take money out of the company as expenses.
Lessons learned from the process [00:38:22]
Tiago discusses the importance of doing your own research and asking questions when it comes to finances and taxes.
The value of consulting a lawyer [00:39:30]
Tiago explains the benefits of seeking professional advice from a lawyer who understands the law and can provide reliable information.
Utilizing Chat GPT for assistance [00:40:30]
Tiago shares how they used Chat GPT for calculations and comparisons, emphasizing its helpfulness in testing different scenarios.
