Complete Guide to Open Your Software Development Company
Turning your passion for programming into a profitable business requires more than technical skills. We will explore the crucial aspects to open and manage a software development company.
To start, the best option is usually to open a Limited Society (LTDA), even though it is the only partner. This offers more flexibility and credibility in the technology market. By registering your company, you will need to choose the right CNAEs. The main ones for software development are:
• 6201-5/01 - Development of custom computer programs
• 6201-5/02 - Web design
• 6202-3/00 - Development and licensing of customizable computer programs
• 6203-1/00 - Development and licensing of non-customable computer programs
As for taxes, software companies generally fall within Annex III to the National Simple, with rates ranging from 6% to 33%, depending on the billing. However, it is crucial to consult an accountant, as some services may fall within Annex V with different rates.
An important aspect is the need for a tax address. Many entrepreneurs opt for coworking spaces, which in addition to providing a commercial address, offer infrastructure and networking. This can be an economical and flexible solution to start your business.
About remuneration, you can opt for pro-labor (fixed salary) or distribution of profits. The pro-laboration is taxed, while the distribution of profits, if done correctly, can be tax-free. Appropriate tax planning can help optimize your remuneration.
The main taxes to be paid include:
• IRPJ (Level Tax Legal Person)
• CSLL (Social Contribution on Net Profit)
• PIS (Social Integration Programme)
• COFINS (Social Security Funding Contribution)
• ISS (Service Tax)
If you choose the National Simple, these taxes are unified in a single guide.
By providing services abroad, you can benefit from ISS and PIS/COFINS exemption on export earnings. This may result in a significantly lower tax burden compared to services provided in Brazil.
The Digital Certificate is essential for your company. It is necessary to issue tax notes, access government systems and sign documents electronically. There are different types, such as e-CNPJ and e-CPF, so choose the most suitable for your needs.
Speaking of accounting, online accounting has become a popular option for technology companies. It offers practicality, accessibility and often lower costs. When choosing an accounting service, consider:
1. Experience with technology companies
2. Knowledge about tax benefits for the IT sector
3. Support for tax planning
4. Easiness of reporting and access to reports
5. Integration with management tools you already use
Finally, it is important to understand the differences between being a Juridical Person (PJ) and working in regime CLT (Consolidation of Labor Laws):
• Like PJ, you have greater flexibility and potential for bigger gains, but also more responsibilities. You need to manage your own taxes, social security and benefits.
• At CLT, you have more stability, guaranteed labor rights (such as paid holidays, 13th salary, FGTS), but usually a lower salary ceiling.
• PJs often have a lower tax burden, but they need to deal with company management and income uncertainty.
• CLT professionals have more legal protections, but less autonomy about how and when they work.
The choice between PJ and CLT depends on your career goals, risk tolerance and personal preferences.
Remember: opening a software development company is more than just coding. It's about creating a solid structure that allows your creativity and technical skills to flourish. With the right CNPJ, appropriate CNAEs, efficient accounting and a good understanding of your tax obligations and work options, you will be well positioned to turn your code lines into a successful business.
Technology is better when it brings people together.
-Matt Mullenweg, Automattic CEO and WordPress founder
- Choose the appropriate type of company
- Select the right CNAEs
- Understand the taxation of your sector
- Set a tax address
- Consider Services Outside
- Choose an appropriate accounting service
- Compare the advantages of PJ vs. CLT