Wishing to start a business in Europe, but not sure where to do it? Here you can find 4 important things to consider when you are choosing a suitable country for registering a business.
The economic stability of the country enables you to run smoothly a business, decreases uncertainty and encourages the companies and private persons to invest more. The public debt level is one key indicator of the economic situation. In the third quarter of 2015 Estonia, Luxembourg and Bulgaria had the smallest public debt in Europe and Greece, Italy and Portugal had the biggest public debt.
The membership of the European Union and use of single currency contribute to the economic stability. Thanks to the adoption of single currency the business activities carried out in the euro zone are more profitable and with lower risks. The single currency also favours trade and investments and simplifies cooperation with third countries. Most of the Western European countries have adopted euro, the northern and eastern countries having adopted it are Finland, Estonia, Latvia, Lithuania and Slovakia.
If you need to use local labour for running and registering a business, compare also their expenses. In general, the labour expenses are higher in the Western European countries and Scandinavia and lower in the Eastern European and Baltic countries. For example, the labour expenses in Estonia in 2015 were approximately 3.5 times lower than in Luxembourg and about 2.5 times lower than in Great Britain. Bulgaria had the lowest labour expenses among the European Union member states.
Registering a business might take even a couple of weeks in some European country, but Estonia holds a world record here – the fastest registering a business took only 18 minutes.
If you do not need to be present at all times in the country, good spread of internet and abundance of e-services surely simplifies the establishing and running a business. As to the European countries Sweden and Norway have the fastest internet connectivity, Lithuania and Estonia though have the best public WIFI. Estonia as the only country in the world offers also e-Residency which enables the foreigners to use e-services and sign digitally.
See also: 5 reasons why e-Residency simplifies doing business
We invite you to establish a business in Estonia. See also Estonian company formation.