Why you should start a virtual company instead of a real one

Written by Xolo
on October 01, 2020

We believe that every person should have the opportunity to run a business. They shouldn’t be stopped by red tape, bureaucracy and endless admin. Whether you, a freelancer, have side-gigs or you’re a full-time contractor, Xolo Go is the way to go.

You can get started with your own Xolo Go account in minutes - but before you do, we want to explain what a virtual company is, what it isn’t and how it could help you.

What is a virtual company?

Perhaps the first, and most important thing to clarify - it’s not an actual company. Signing up with Xolo Go won’t make you a business owner, and bring with it the responsibilities that come with that.

A virtual company gives you everything you need to run a business, without needing to own a company. And as the word ‘virtual’ implies, it’s totally paperless, you can work without worrying about the potential paperwork that can come with a legal entity.

So what can you do with your virtual company exactly?

  • Send invoices
  • Receive payments from your customers to a business account
  • Retain income in your account
  • Withdraw money for personal use (like a salary, but not quite)
  • Manage business expenses and pay them from the business account

Why should you want one?

A virtual company lets you find out if your business idea will generate income with minimal commitment. You can see if you’ll enjoy being your own boss, and take your first steps as an entrepreneur. Or, if you love the ease of doing business this way then you can stick with it - you’re free to choose.

You’ll also have invoicing with automatic VAT calculation at your fingertips from the moment you sign up. Here are a few more of the reasons to sign up with Xolo Go and get your virtual company:

  • No commitment, you can opt-out anytime at no cost
  • No fixed monthly fees - only pay when you’re paying out
  • Start in minutes
  • Go completely paperless
  • Less hassle

How you can get Xolo Go and how to get started

Signing up with Xolo Go couldn’t be easier, in fact you can click the button above, and you’ll have your account in no time. You’ll need to be verified, but that’s dead easy - just make sure you’ve got a government-issued ID handy.

Create projects and send invoices

And once you’re in, you can start working. We don’t even need to write a long walkthrough - you can just watch our video guide so you know how to create your very first project.

How do I get paid?

You might ask how you get your hands on your money once you’ve been paid - and that’s simple too. You have two ways to use your company’s money, you can pay directly for business expenses, or you can withdraw money to your personal account (similar to a salary).

This is also how you’ll pay your Xolo Go fee, as we take 5% from all outgoing payments from your account - meaning you won’t pay anything until you’re paying money out. You can read more about outgoing payments from our extensive FAQs.

Walter Story Image (1)

"Xolo Go provides exactly what I needed - starting an account easily, assistance with taxes, and my first project was created in under a minute. I’m totally satisfied."

Dr. Walter L. Kuehnlein
- Xolo Go Customer

What if it goes well and you want a real company?

Well, we can help you with that too!

So let’s say you sign up with Xolo Go, and your freelance work is flying. You’re getting paid well, and creating your own company starts to make a lot of sense. If you want the freedom to work from anywhere, and a company that you can track online, then our second product Xolo Leap is perfect for you.

With Xolo Leap, you can:

  • Own your own EU-based limited company with the help of e-Residency (it’s an Estonian OÜ)
  • Build your brand - you can work for the long-term, making your business credible and trustworthy
  • Pay a fixed fee - Xolo Leap starts at €49 (+VAT).

Why not compare Go and Leap to see what you get with each?

What are you waiting for?

Launch your virtual company in 10 minutes and save up to 15 hours a month on business admin!