Those In the Know

Finding finance in Italy can be notoriously difficult, unless you happen to have rich relatives. The banks here are cautious to say the least, and rather reluctant to invest in anything too new. A recent article in the Financial Times referred to Italy’s banking system as being ‘relatively unsophisticated’, and this comment says it all.

However, despite the reluctance of Italian banks to support new Italian business ventures, Italian entrepreneurs who know English well enough, and are able to produce a convincing business plan, can look elsewhere. London for example. Businessisin is aware of one at least one major Italian start-up, and now, successful on-line business that sought and obtained finance from far-sighted investors in the United Kingdom. The company concerned was MutuiOnline, and from small beginnings, the site has grown to become one of Italy’s foremost on-line residential mortgage services.

Despite being affected by worldwide caution stemming from the American sub-prime crisis, MutuiOnline is a shining example of what Italian entrepreneurs can achieve.

If you are an Italian businessman with a concrete idea, which is backed up by a comprehensive business plan, and you can understand this article, then you stand a fighting chance of getting your idea off the ground.

Even if you are not Italian, but would like to set up a business venture, or wish to expand into Italy, then bypass Italian banks and head straight for the real movers and shakers. London would be a good place to start, even if sub-prime induced worries may mean that investors may be reluctant to invest in all but the most innovative and potentially lucrative business ideas.

For those who find that their idea does not catch the eye of venture capitalists or angel investors based in London, there is always New York.

Doing business in Italy

At the time of writing, Italy is not enjoying a great reputation, and much foreign media has been at pains to both highlight the countries problems. Yes, there are problems here, but then there were problems in the United Kingdom in the 1970’s and 80’s, but the UK recovered. Italy too, will recover.

However, despite Italy’s present situation, and despite Italy’s, well deserved, reputation for red tape, Italy is a country with a large number of thriving entrepreneurs.

You may be asking why this is the case . The answer is simple: Local knowledge. Italians know their onions, as the old saying goes, and this means that they are highly adept at working within the constraints of their complex systems, or they will be able to find a work-round, in true Italian fashion.

Foreign businesses looking to expand into Italy, or who wish to market Italian products in their own markets really could benefit from developing a relationship with innovative Italian entrepreneurs. Such Italians could even help with penetration into other bureaucracy ridden countries by employing the techniques and creative reasoning processes that had contributed to their success in their home market. This is something that potential overseas business partners would do well not to overlook.

Another aspect, or rather area of Italy that is often overlooked, is the much maligned south of the country. Effectively this often controversial area begins somewhere above Naples and ends at the southern most tip of Sicily. This area of Italy holds vast potential, and is not as impoverished as some would have you believe. And this is an area of Italy in which local knowledge is really worth its weight in gold. There is no shortage of entrepreneurs in this area either, and such people are often as keen as any other Italian business to move into new markets, both inside and outside Italy.

One of the aims of this site is to track down and identify forward thinking southern Italian businesses and to write about them here. Some contacts of Businessisin have already mentioned the names of certain businesses from the south that are looking to expand. Businessisin sincerely hopes that over time word will spread, which will lead to southern Italian businesses making contact.

However, Businessisin is not solely interested in businesses looking to develop relationships with firms both within and out of Italy. This site also wants to know about enterprises offering services that will be useful to any foreign company wishing to set up operations in Italy. To this end, Businessisin also wants to find out about Italian law firms, IT companies, and consultancies.

The aim is to create an extensive network of contacts and relationships which can be used to smooth the process of working from Italy. If such a network can be developed, then finding assistance and resources will become much easier and may make the opening a factory or office in Italy more feasible that it was in the past.

One should not forget that the ‘Made in Italy’ brand carries a lot of weight the world over, and associating foreign brands with those in Italy will help develop overall brand awareness and lead to increased sales. Businessisin will work towards this goal too, and attempt to provide the contacts and resources needed to maximise exploitation of the ‘Made in Italy’ brand on an international scale.