Likewise, founders would do well to determine as precisely as possible how much money they need to run their company. Whoever opens a restaurant needs seed capitalrent rooms and set them up. It needs a POS system, staff, marketing and much more. There is also likely to be a dry spell before the company generates sales high enough to cover costs. It may take even longer before the founder or founders can pay their first salary.
Depending on whether you are forming a sole proprietorship, partnership or corporation, you may also need a capital contribution – with a GmbH, for example, 25,000 euros are due, half of which is to be paid when the company is set up.
Freelancers should also think about this question. You have to though as a sole proprietorship no minimum capital contribute and the costs are sometimes low. However, it is possible that you have to make up for periods of low income (few orders, the customer does not pay on time).
