3 questions.
1) I own a (not yet incorporated) software business startup in europe and im building software for american clients for now with a friend of mine. What is the best way to learn how to find more clients to build software for, what skills do i need to have for that? I'm primarily a developer but i want to migrate to the business side of the company and hire other engineers to do the work for me but that would mean i would need constant work and projects on the plate - so how can i do that? i'm afraid of running out of projects in which case everything would collapse and the company would die. my question is how can i always have clients coming in with new projects so i can pay my employees?
2) How can i correctly determine the price to charge the client per project so that i can pay the employee and also leaving me (as the owner) left over profit, after paying taxes, fees, accountant and other bullshit? in a proportion, how much is the company owner supposed to earn in comparison to the employee?
3) If taxes in my country are 50%, does that mean i have to increase the total project price a 100% so that i can cover the taxes? For example if a project costs $100 and I have to pay the employee $50 while keeping $50 to myself, but i can't do that because 50% of that (which is $50) will go to the taxes so i would be in profit $50 - so the math doesn't add up, i won't have enough money to pay the employee and myself. That means i would actually need to charge the client double the price of the actual project which is $200. Now the 50% of that ($100) goes to taxes and i am left with $100 of profit, leaving $50 to the employee and $50 to me.
But what about in the real world example, a project of $5000 USD or $15,000 USD? That means i would need to charge the client $10,000 USD or $30,000 USD just to cover the dumb tax loss money so that company would survive and not die.... that is outrageous charging even for me and i don't know how to approach this correctly... I need advice. Thank you
1) I own a (not yet incorporated) software business startup in europe and im building software for american clients for now with a friend of mine. What is the best way to learn how to find more clients to build software for, what skills do i need to have for that? I'm primarily a developer but i want to migrate to the business side of the company and hire other engineers to do the work for me but that would mean i would need constant work and projects on the plate - so how can i do that? i'm afraid of running out of projects in which case everything would collapse and the company would die. my question is how can i always have clients coming in with new projects so i can pay my employees?
2) How can i correctly determine the price to charge the client per project so that i can pay the employee and also leaving me (as the owner) left over profit, after paying taxes, fees, accountant and other bullshit? in a proportion, how much is the company owner supposed to earn in comparison to the employee?
3) If taxes in my country are 50%, does that mean i have to increase the total project price a 100% so that i can cover the taxes? For example if a project costs $100 and I have to pay the employee $50 while keeping $50 to myself, but i can't do that because 50% of that (which is $50) will go to the taxes so i would be in profit $50 - so the math doesn't add up, i won't have enough money to pay the employee and myself. That means i would actually need to charge the client double the price of the actual project which is $200. Now the 50% of that ($100) goes to taxes and i am left with $100 of profit, leaving $50 to the employee and $50 to me.
But what about in the real world example, a project of $5000 USD or $15,000 USD? That means i would need to charge the client $10,000 USD or $30,000 USD just to cover the dumb tax loss money so that company would survive and not die.... that is outrageous charging even for me and i don't know how to approach this correctly... I need advice. Thank you