Why International Founders Choose Italy for a Second Hub

Many founders start with one office in London, Berlin, New York or Singapore. Then the team grows, hiring slows, and costs climb. At that point they look for a second hub. Italy keeps coming up on the shortlist. This article explains why, in three parts: talent, lifestyle and cost.

Talent  

Italy has a strong tradition in engineering, design, manufacturing and applied sciences. Its universities produce graduates in technical fields every year. Many of them speak English well and have studied or worked abroad.

The country is also home to industries that need specialists. Fashion, automotive, machinery, food, pharma and industrial design all have deep local expertise. If your product touches any of these sectors, hiring near the source makes sense.

Software and data skills are growing too. Italian developers, analysts and product people work for local firms and for international teams remotely. Many would take a stable local role with a foreign company if the terms are clear.

There is another point. Competition for senior people is lower in many Italian cities than in the big tech capitals. A good company with a clear offer can stand out. Candidates often care about the work, the team and the contract. They do not only look at brand names.

Lifestyle  

Lifestyle sounds soft, but it affects retention. People stay where life works.

Italian cities offer a daily routine that many people value. Food is good and local. Public spaces are lively. Towns are walkable. Family and friends matter, and employees often want to stay close to them. Offering a job in the place where someone already lives or wants to live is a strong draw.

Italy also attracts people from abroad. Some are Italians who want to return home. Others are foreign professionals who want to relocate for the climate, the culture or personal reasons. A hub in Italy lets you recruit both groups. You can bring in a senior leader from your home market and hire local staff around them.

Founders themselves often like the idea. A hub in Rome, Milan, Turin, Bologna or another city gives the team a base worth visiting. Offsites are easy to plan. Clients and partners enjoy the trip.

Geography helps as well. Italy sits in the middle of Europe and the Mediterranean. Time zones work for teams in Europe, the Middle East and Africa, and overlap with the Americas and Asia for part of the day.

Cost  

Cost needs a careful reading. Italy is not a low-wage country, and employment costs include social contributions that you must plan for. Rules differ by role, sector and collective agreement. You should not assume a flat saving.

The real advantage is value. Salary levels in many Italian cities are often more moderate than in the most expensive tech hubs. Office space and living costs outside the largest centres can also be lower. That lets you build a strong team without matching the pay of the busiest talent markets.

The other cost is complexity. A new legal entity takes time to set up. You need registrations, payroll, benefits, local contracts and reporting. For a small team, this overhead can exceed the savings.

This is why many founders use an Employer of Record (EOR). The EOR hires your people in Italy on your behalf. It handles contracts, payroll, contributions and compliance. You direct the daily work. You skip the entity setup and the admin, and you can test the market before committing to more.

That model fits a second hub well. You can start with a few hires, see how the team performs, and decide later whether to open your own entity. If the pilot does not work, you can scale down without closing a company.

What to check before you decide  

A second hub works best when the reasons are clear. Ask yourself a few questions.

• Which roles will sit in Italy, and why there?
• Do you need people with sector knowledge that is strong locally?
• Will you relocate anyone from abroad? If so, plan for visas and the move itself.
• Who will manage the team day to day?
• Do you want an entity now, or a lighter start?

Write down your answers. They shape the contract type, the budget and the timeline.

The short version  

Italy offers skilled people, a lifestyle that keeps them, and a cost base that can suit a growing team when you plan for local rules. The way you hire matters as much as where you hire. An EOR lets you start quickly, stay compliant and keep your focus on the product.

Find the country site for your market, or request a quote to plan your first hires in Italy.