Startups have greeted proposals from the European Commission geared toward cutting red tape and contracting cross-border barriers for small companies as part of a new EU industrial strategy plan with a focus on digital and green transitions revealed today.
Among the bundle of steps being recommended by the EU’s executive body are for the Member States to subscribe to a “Startup Nations Standard” — which might aim to promote best practices to assist startups, equivalent to one-stop shops, beneficial employee stock-options preparations and visa processing to mitigate cross-border friction for entrepreneurs starting and developing businesses in the bloc.
In recent times, European startups have organized to campaign for reforms to rules around stock options –with 30 CEOs from homegrown startups, along with TransferWise, GetYourGuide, Revolut, Delivery Hero, TypeForm and Supercell signing an open letter to legislators two years ago calling for policymakers to mend what they named “the patchy, inconsistent and often punitive guidelines that govern employee ownership.”
The effort seems to have made a dent in the EU policymaking universe. Both regulatory and sensible obstacles are now in the Commission’s sights, with it recommending a joint task force to work on dealing with business obstacles.
It reiterated a perennial warning against the Member States “gold-plating” pan-EU guidelines by adding their own conditions on top.
In a letter answering to the Commission’s plan for an EU Startup Nations Standard, 14 European startup founders and several European startup coalitions greeted the proposal — urging the EU Member States to get behind it.