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A comment on Fixing Italy, a little bit at a time.

Re:Fixing Italy, a little bit at a time by Animats on Friday April 17, 2015 @01:31PM (#9395832)
The real questions with the creation of corporate forms are 1) how do taxes work, 2) how does bankruptcy work, and 3) what rights and powers do investors have. Most startups fail, so 2) is an important issue. Policies vary by country. The US is lenient on corporate bankruptcies; Ireland is very tough.

There are a number of rackets associated with easy corporate creation. Ordering stuff and then going bankrupt with the stuff missing is a classic. (The usual strategy is order a little stuff, pay for it, order more stuff, pay for it, order a lot of stuff, disappear with the stuff. Popular in New Jersey.)

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Re:Fixing Italy, a little bit at a time by davidw on Friday April 17, 2015 @03:42PM (#9396721)
> There are a number of rackets associated with easy corporate creation.

This is an interesting point. Italy tends to optimize for the 'worst case'... "well, this could go wrong, so we'll make everyone do X, Y, and Z". Therefore, all the honest people have to pay extra in terms of time and bureaucracy to the detriment of society as a whole.

My take is to make things easy for honest people, and come down on the dishonest/fraudulent ones fairly hard.

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