The Italian government passed legislation in 2012 to support innovative startups. The law defines innovative startups as companies less than 4 years old with turnover under 5 million euros that develop innovative technologies. It provides benefits like tax credits for hiring qualified employees, simplified registration, stock options for employees, and access to funding sources. The goal is to promote sustainable growth, technology development, and attract foreign investment through support of innovative startups.

1. “Innovative start-ups”
main content of new italian legislation
March 2014
www.incubatoreimpresa.it

2. Executive summary
• On 4th October 2012, the Italian Government approved the
“Further urgent measures for Italy’s economic growth” (Law
Decree n.179, 18 october 2012)
• This legislation recognizes that ‘innovative start-ups’ are
important for sustainable growth, technological development and
employment, in all sectors, as well as attracting to Italy
investments and talented people from abroad.
• The Law Decree has defined specific support measures for
‘innovative start-ups’
• ‘innovative start-ups’ is linked to innovation and technology
Monica Forconi, Chief Operative Officer, www.incubatoreimpresa.it;
forconi@polotecnologico.it; +39 050 754702
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3. …..definition of a ‘innovative start-up’
• The core business consists of innovative goods or services of
high technological value
• It must have been established for no longer than 48 months
• It must reside or be subject to taxation in italy
• It has no turnover or has a turnover that does not exceed 5
million €
• It does not distribute profits in the first 4 years of its life
• It does not generate from a merger, demerger or divestment
process
MAIN REQUIREMENTS (art.25 DL. 179)
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Monica Forconi, Chief Operative Officer, www.incubatoreimpresa.it;
forconi@polotecnologico.it; +39 050 754702

4. …..definition of a ‘innovative start-up’
• START UP CAN BE QUALIFIED ‘INNOVATIVE’ IF HAS 1 OF THE
FOLLOWING REQUIREMENTS
OTHER REQUIREMENTS (art.25 DL. 179)
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a) 15% of its costs are related to R&D
b) At least 1/3 of the team is made up of people who either hold a PhD or
are PhD candidates at an Italian or foreign university or have conducted
researches for at least three yars, or at least 2/3 of the team is made up of
people holding a Master’s degree
c) It is owner or the licensee of a patent or a registered software
Monica Forconi, Chief Operative Officer, www.incubatoreimpresa.it;
forconi@polotecnologico.it; +39 050 754702

5. Main support measures (1)
• ‘innovative start-ups’ do not pay anything for their own creation
and registration at the Chambers of Commerce
No registration fees (art.26 DL. 179)
• ‘innovative start-ups’ can hire personnel through contracts wich
last at least 6 months and no longer than 36 months. After 36
months, start-ups can renew the contract for no longer than 12
months. Within this time frame, the contract can be renewed more
than once.
Labour law for ‘innovative start-ups’
(art.28 DL. 179)
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Monica Forconi, Chief Operative Officer, www.incubatoreimpresa.it;
forconi@polotecnologico.it; +39 050 754702

6. Main support measures (2)
•priority access is granted to facilitations for the employment of
highly qualified personnel in innovative start-ups
•The credit is the 35% of labour cost (maximum credit amount:
200.000 €)
Credit deriving from tax return (art.27 bis DL. 179)
•‘innovative start-ups’ can remunerate their team members with stock
options
Stock options for the team (art.27art.27 bis DL. 179)
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Monica Forconi, Chief Operative Officer, www.incubatoreimpresa.it;
forconi@polotecnologico.it; +39 050 754702

7. Main support measures (3)
• ‘innovative start-ups’ can remunerate the providers of external
services (eg: lawyers, accountants, etc..) with work for equity
Work for equity (art.27 DL. 179)
• For direct and indirect investments in ‘innovative start-ups’
• Tax incentive for years 2013, 2014, 2015, 2016
Tax incentives for corporate and private
investments in ‘innovative start-ups’
(art.29 DL. 179)
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Monica Forconi, Chief Operative Officer, www.incubatoreimpresa.it;
forconi@polotecnologico.it; +39 050 754702

8. Main support measures (4)
• CONSOB, the equivalent of American SEC, has publish a specific
Regulation of equity-based crowdfunding. ‘StarsUp’ (www.starsup.it)
is the #1 Italian portal authorized by Consob for the on-line collection
of risk capital by innovative start-ups
Crowdfunding (art.30 DL. 179)
• Procedures semplified and free-of-charge access for ‘innovative
start-ups’ to the Government Fund that supports access to credit
through guarantees on bank loan
Access to Fondo Centrale di Garanzia (art. 30 DL. 179)
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Monica Forconi, Chief Operative Officer, www.incubatoreimpresa.it;
forconi@polotecnologico.it; +39 050 754702

9. Main support measures (5)
•By ‘ICE’, the Italian Trade Promotion Agency.
•Support measures include free-of-charge participation to
international fairs and event, and assistance in the legal, corporate and
fiscal activities, etc.
Support to the internationalisation process
(art.30 DL. 179)
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Monica Forconi, Chief Operative Officer, www.incubatoreimpresa.it;
forconi@polotecnologico.it; +39 050 754702

10. law reference
• http://www.sviluppoeconomico.gov.it
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Monica Forconi, Chief Operative Officer, www.incubatoreimpresa.it;
forconi@polotecnologico.it; +39 050 754702