A Società a Responsabilità Limitata, or SRL, is a limited liability company in Italy. This is a popular choice for any foreign business opening an Italian presence. As a limited liability company, an SRL will be a separate legal entity from your parent business. It’s cheaper to set up, will incur less tax, and offers more trading flexibility – though the company must be folded if the named directors wish to move on.   A Società per Azioni (SpA) is a corporation. This is the kind of business you would need if you plan to open a branch of a major international company in Italy. While this will bring greater brand recognition, you will be taxed on your profits on a global level and will be subject to considerably more rigorous financial regulation.