Creating a company in Europe gives you instant access to one of the most important business hubs in the world. It has a sophisticated infrastructure, strong legal defenses, and a skilled workforce. With a nominal GDP of $15.6 trillion, the EU is still the second-largest economy and the largest trading bloc in the world. Nine European countries ranked among the top 20 in 2020’s “Ease to do business” ranking by the World Bank. Europe is still a desirable destination for international business and investment.
Let’s go over some of the key indicators that were used to assess the ease of opening a business in different European countries: number of businesses that are created each year, opening a bank account for a business is easy, complexity, and tax levels, digital acceptance levels and English language proliferation (A business that relies on personal relationships between people may have trouble communicating with those who only speak a different language).
Denmark
The World Bank Europe ranks Denmark first in ease of doing business. This is a very good ranking. Denmark’s economic system is very similar to that of its neighbor Sweden. It has a market economy and strong welfare programs. It is 7th on the list for being the most open country to capital investment, despite its emphasis on welfare.
Danemark is easy for foreign investors to enter. However, Denmark also has unique advantages in terms of staff operations. First, there are many multilingual professionals who speak English. Its flexible laws make it easy to hire and fire staff, which allows you to avoid many of the bureaucratic processes that are common in Western countries. Its infrastructure is not as good as the Swedish. Denmark is a world leader in biotech, life sciences, and food innovation. Education, media, mass transportation, and many other sectors remain attractive investment opportunities. Denmark offers low-interest rates and steady economic growth that encourage businesses to expand and grow.
Switzerland
According to the CIA World Factbook, Switzerland has low unemployment and a skilled workforce. It also boasts one of the highest per capita gross domestic product figures in the world. Low corporate tax rates and a highly developed service sector, led by financial services, are the key to Switzerland’s strong economy.
Switzerland is a federal republic that consists of 26 cantons, and Bern is its administrative capital. The majority of citizens of Switzerland live in cities and towns. The largest is Zurich, which is the most cosmopolitan city in the country. This country is proud of its diversity and has many regions that have their own cultural identities. National status is granted to all languages, including Romansh, French, Italian, and German.
The European countries that surround Switzerland have long respected its neutrality. Switzerland didn’t participate in any of the world wars and is not a member of the European Union. Because of this, Switzerland, especially Geneva, has become a popular location for international organizations such as the International Committee of the Red Cross and the United Nations. However, Switzerland didn’t join the latter until 2002. The country is also a member of the IMF, WTO, and World Bank.
Norway
Norway has GDP Growth: 1.1%, Per-Capita GDP: $75,000, Public Debt/GDP: 36%, Population: 5.3M, Unemployment: 4.7%, Trade Balance/GDP: 5% and Inflation: 3.6%.
Communication with the government is possible online, which is one of Norway’s best features. It is easy to register a domain or a brick-and-mortar company. You will also find it very simple to comply with tax laws in Norway.
A Norwegian business can also be a great option because they are highly technologically advanced and have a lot of people who are willing to pay for new technology. This means you can easily find skilled labor, especially in IT, design, and finance.
The following are some other things that make this country one of the most desirable places to do business:
The population is usually wealthy, meaning they have lots of disposable income; It is also politically stable; Norway has well-developed communication and transport infrastructure; It is a major player in the EU, and has long-standing trade relations with other EU countries.
Norway is transparent and has low levels of corruption. Norway is a great option for anyone looking to start a business.
Czech Republic
The Czech Republic was ranked 41 among 190 countries in the 2020 World Bank Ease of Doing Business Survey. Due to its moderate corporate tax rate of 19%, and double taxation agreements with different countries around the globe, several European companies have their headquarters in the Czech Republic. The Czech Republic is a country with a lower cost of living than other European countries. It also has a strong reputation in Central & Eastern Europe for business. Czech entities have access to a competitive incentive called the Research and Development Allowance. This makes it a cost-effective country to establish a company or do business.
With new travel regulations coming soon, it will be easier to travel to these European countries. Learn more.
Final Thoughts
The European market offers a safe, promising, and attractive opportunity to start a business. You can’t go wrong choosing Europe as an investment option, with many countries to choose from and easy access to one European market.
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