Transmission #9: The European Co 🇪🇺

Why we need a European Delaware and why you should follow power laws

Jun 27, 2024

`Read Time: 4.20 Minutes`

This is a ‘Transmission’ from the Jupiter Dispatch, featuring curated links and stories to provide you with new ideas, growth tactics, and frameworks tailored for european entrepreneurs.

Servus Friend,

In today’s ‘Transmission’ we’ll dive into why Europe needs his own kind of Delaware like the US. 🇪🇺

In addition, the importance of power laws and how to find them.

Keep learning…

Today’s List of Stuff:

🇪🇺 Why we need a European Delaware Inc. 👔
👩‍⚖️ Find your own Power Laws 💪
#Domi's favourite 5 - Random Limited Edition 📂

#1 🇪🇺 Why we need a European Delaware Inc. 👔

If you read the title carefully, you my think: Delaware, that's this tiny state in the US where 500 companies can share a toilet sized room as headquarters and where Joe Biden is from.

You may also think then, Domi why the hell we need something like this in Europe too?

Because I address a different part of Delaware Inc., we need to have in Europe to stay competitive in the today’s business world.

Since years I wish there would be an easy way of building the legal foundation of a new business, fast and comfortable.

If you founding a business today in Europe, you usually choose the best legal form of your local country. But if you want to access other European markets or want to get funded by investors outside of your country, it can get very complicated.

This is where Delaware comes in. If you found a business in the US, almost everyone sets it up a in little D. Not to escape taxes or stuff like this.

Because you only need a couple of hours and can accept investors from everywhere. In Europe you have 27 different laws and investing processes against this.

So you see the pattern here. This is why capital investment don't like Europe so much.

Some weeks ago I read the following blog post of european investor Andreas Klinger, which is explaining the idea in full.

So let's build a European Delaware Inc...

I know there is the legal framework of an SE in Europe, but this only helps big companies…

#2 👩‍⚖️ Find your own Power Laws 💪

If you ever starting out to study business, you will recognise that there is way more math classes in the curriculum when you may think in the first place.

But in the same time, everyone will tell you that knowing the deeps of mathematics and algebra is not really necessary to be a successful entrepreneur.

So at least you can say, there are big debates what is important in terms of math knowledge and what of the stuff you can skip without thinking twice about it.

I have like always, my own take on this.

To be successful in business, you only need basic algebra, plus straight easy thinking. Even the big and complex corporates can be boiled down to a simple equation of success.

But there is one thing for sure. Like in all other topics too, you should never bet against the laws of physics and the math behind this.

That's why understanding power laws is maybe a very important thing, especially for the long run.

But what are the power laws in general and how you find the ones important for you?

I invest some time so you don’t have too. Read the following post from my go to guys in straight thinking, the Farnam Street...

For real. All entrepreneurs I met in my life, which impressed me, are using some simple form of math to make quick impactful decisions. This can’t be an coincidence.