Founders' checklist

When you want to become an entrepreneur, there are several things you need to learn, consider, decide and take care of. Here’s an extensive list to help you!

Business Idea

• What will I sell?
• How will I sell it?
• To whom will I sell?

Skills

• Expertise
• Work experience
• Entrepreneurship training

Profitability?

• Profit
• Fixed costs
• Variable costs
• Your personal income

Form of the company?

• Private entrepreneur = 1 person who is personally liable for the business.
• Partnership = 2 or more partners who are jointly liable for the business.
• Limited partnership = At least 1 accountable partner and 1 silent partner.
• Limited company = At least 1 shareholder.
  • The liability is limited to the capital invested.
  • Liabilities also include board liability and potential guarantee liability.
• Cooperative association = At least 1 person. Official permits.

Obligation to inform authorities

• Is a permit required?

Funding?

• Investments / operating capital
• Finnvera / bank / other instance
• Public funding

Marketing

• Demand?
• Competition?
• Prices?
• Advertising?

Insurance

• Self-employed persons’ pension insurance (YEL): the basis for your social security. You need to find out if the pension insurance is mandatory for you.
• Accident insurance
• Third party liability/legal expenses insurance
• Property insurance
• Other insurance

Unemployment security

• You need to transfer yourself from an employees’ unemployment fund to an entrepreneurs’ unemployment fund within 1 month.
• SYT/AYT fund for entrepreneurs
• The Federation of Unemployment Funds in Finland (TYJ)

Taxation

• You need to pay value-added tax if your company’s annual turnover exceeds 15,000 euros
• Tax account "Oma vero" for VAT etc.
• Advance tax -> visiting a tax adviser

Start-up grants?

• Not available to part-time entrepreneurs.
• Tax debt certificate
• Application
• Business plan
• Visiting a start-up grant adviser
• Loan promise

Registration

• Do not register your company before you have submitted the application for a start-up grant.
• The share capital of a limited company must be deposited prior to the registration, for example in a local register office or tax office.

Bookkeeping?

• Single-entry or double-entry bookkeeping?
• If you are not a bookkeeping professional, you should purchase the service from an accounting firm, for example.

Financial transactions

• Opening an account
• Payment terminal
• Invoice templates

Premises

• Renting or buying?
• Consider the location carefully.
• Suitability / potential official inspections related to the premises

Personnel

• Recruitment: TE Services offer support. See also: Skilled workforce
• Obligations: Finnish law on employment contracts, working hours, annual holidays, occupational safety, occupational health care, etc.
• Costs for the company: Wages + additional costs.
• Ask about pay subsidies from TE Services.

Contracts

• Rent (law on the rent of business premises), suppliers, wholesalers, employees, leasing, etc.
  • Pay attention to what you are committing to.
  • Make all agreements in writing and use professional help when necessary.

Join economic development associations (optional)

• Entrepreneurs’ associations: The Federation of Finnish Enterprises / Päijät-Hämeen Yrittäjät
• Industry associations
• Chamber of Commerce: Häme Chamber of Commerce