What business certificates and tax registrations are required during the early stages of a startup?
  1. Business Certificate Application: The business certificate IC card serves as an online identity verification tool for companies, branches, limited partnerships, or businesses. Eligible applicants include companies (and their branches) registered under the Company Act and Limited Partnership Act, as well as businesses registered under the Business Registration Act. However, entities that are dissolved, revoked, abolished, bankrupt, or have ceased operations cannot apply for a business certificate.
  2. Business (Tax) Registration: For operators who are exempt from company, business, or limited partnership registration, tax registration must be completed with the local tax authority before commencing operations to facilitate government taxation and audit procedures.

    Note: This information is based on current regulations in Taiwan.

 
What should a startup pay attention to regarding equity structure and financial accounting in its early stages?
For the equity structure, it is recommended to clearly define conditions for share transfers and voting rights agreements, while maintaining flexibility to accommodate future employee stock option plans or similar policies.

On the financial side, establishing basic accounting policies, record-keeping, and internal controls is essential to properly separate company funds from personal finances.

It is advisable to engage a bookkeeping professional, accounting firm, or experienced management consulting company for assistance.
 
Can a company's registered address be a residential home? What issues might arise?
The most direct impact is the difference in tax rates. If a company is registered at a residential property, the property tax rate will change from the residential rate of 1.2% to the commercial rate of 3% to 5%. Meanwhile, the land value tax will be adjusted based on the approved area, possibly increasing from 0.2% to a commercial rate of 1% to 5.5%.

Additionally, if the property is sold in the future, a land value increment tax may also apply.
Currently, many startups choose to register their company address at innovation hubs or co-working spaces to avoid these issues.

Note: This information is based on current regulations in Taiwan.
Are startups required to provide labor and health insurance for their employees? How should they enroll?
A company must first establish an insurance enrollment unit and is legally required to enroll employees in National Health Insurance, Labor Insurance, and make contributions to the Labor Pension Fund.

If the company consists of only one person (the owner), it is temporarily not required and cannot establish a labor insurance enrollment unit; however, if the owner is not employed elsewhere, the company must still establish a National Health Insurance enrollment unit.

If the company has more than one but fewer than five employees, it is recommended under the Labor Insurance Act to establish an enrollment unit. If not, the company must at least enroll employees in Employment Insurance and Occupational Accident Insurance and contribute to the Labor Pension Fund.

For companies with five or more employees, according to Article 6 of the Labor Insurance Act, the company must establish an enrollment unit and insure all employees.

Important: Company owners are not considered employed workers and are therefore not obligated to contribute to the labor pension. However, they can voluntarily contribute 6% of their salary to an individual retirement account.

Note: This information is based on current regulations in Taiwan.
 
Do probationary (trial-period) employees need to be enrolled in labor and health insurance?
Yes. Employers are required to enroll employees in National Health Insurance, Labor Insurance, and begin contributing to the Labor Pension Fund starting from the employee's first day of work, regardless of whether they are in a probationary period.

Note: This information is based on current regulations in Taiwan.
Is a company required to issue uniform invoices after registration?
According to Taiwan's Value-Added and Non-Value-Added Business Tax Act, businesses that sell goods or provide services are generally required to issue uniform invoices.

However, certain small-scale businesses (e.g., freelancers, individual studios, small shops) whose annual revenue falls below a specified threshold and are not designated by the tax authority to issue uniform invoices may be exempt. Instead, they may issue receipts or use other approved alternatives — these are referred to as small-scale business entities exempt from issuing uniform invoices.

Note: This information is based on current regulations in Taiwan.
 
If we receive a government subsidy, is it considered income? Is it taxable?
Whether a government subsidy is considered taxable income depends on the nature of the subsidy and the terms of the agreement. In general, unless otherwise specified by tax-exempt provisions, subsidies granted to for-profit enterprises that meet legal requirements should be reported as “other income” in the year they are received and included in taxable income according to the Income Tax Act.

If the subsidy is related to the purchase or expansion of depreciable fixed assets (such as equipment), the income should be recognized evenly over the asset's useful life and included in taxable income each year through depreciation.

Note: This information is based on current regulations in Taiwan.
 
My company needs capital for expansion. Besides bank loans, what other financing options can we consider?
Bank loans are the most common option. Depending on the company’s development stage, industry characteristics, and other factors, other funding options include:
  • Equity financing (e.g., private equity, venture capital)
  • Government grants
  • Supply chain financing
  • Asset-backed loans
  • Issuing corporate bonds
When a company faces shareholder changes (such as a shareholder withdrawing or a new shareholder joining), what financial and accounting matters need attention?
Shareholder changes can affect the company’s capital structure and equity composition, and may further impact corporate governance. In terms of financial accounting, attention should be paid to share valuation (especially for companies without a public market price), tax implications of equity transfers (such as personal income tax and securities transaction tax), and related corporate registration procedures.
For a newly established company, which type of accounting firm should be chosen to handle tax filings? What are the differences between large and small firms?
Choosing the right firm is very important for a company, especially a startup. Large firms (such as the Big Four) usually have more extensive resources and diverse professional teams (e.g., international tax, IT audit), suitable for larger companies or those planning to go public. Small to mid-sized firms may provide more flexible and customized services tailored to client compliance needs (such as meeting regulatory requirements), with relatively lower costs and a more precise scope, suitable for newly established SMEs.