By Caitlyn Buchanan, 26.06.18
There are many factors to consider when choosing the right jurisdiction to incorporate your business. This can be an exciting yet challenging time for international entrepreneurs. There are a multitude of start-up locations to consider and multiple factors such as culture, language and ease of doing business. Euro Company Formations have vast experience incorporating companies for our clients in multiple European jurisdictions and we are pleased to share our insight with you.
Why Europe?
Many entrepreneurs are attracted to European cities looking to enjoy the economic benefits of a ‘single market.’ The European single market is comprised of multiple countries who have agreed on common practices and product regulations to remove trade barriers (ie. tariffs) allowing free movement of products and services. European countries also offer access to emerging markets and the Americas.
It is obvious that Europe is an attractive destination to setup and naturally, the large major cities such as London, Paris, Berlin, Lisbon, Amsterdam, Barcelona and Madrid are highly sought-after. But there are many other viable options that often get overlooked.
Brexit
The UK looks set to be leaving the European single market in 2019, there are still a lot of details yet to be decided and the implications are not fully clear. For this reason, many UK based companies are moving or setting up operations in other European jurisdictions. However, despite the uncertainty of what the final Brexit agreement entails, new companies are being formed in the UK every day. Statistics show that UK start-up businesses raised £5.41 billion (€6.14 billion) in investment income in 2017.
Learn how to Set up a Business in the UK.
What are the locations that often get overlooked?
Romania
Throughout history, many battles were fought over what is now Romanian territory. The country was oppressed under communist rule until the people revolted in 1989. Romania began to stabilise and joined the EU in 2007 resulting in more transparent business practices and government structure. When Romania first joined the EU there were restrictions around the ability to move and work, fortunately, the restrictions were lifted in 2014 and since then Romania has been slowing gaining popularity with international entrepreneurs. The country is home to modern offices and the low cost of living make it an ideal location to work remotely. Currently the service industry makes up over 50% of the economy and other sectors are rapidly growing such as industrial services, IT and communications. The country is also investing heavily in biotech. Learn more about how to Set a Company in Romania.
Portugal
Already a popular tourist destination offering sunny beaches and architectural beauty Portugal is now gaining recognition with international entrepreneurs. With affordable, quality telecommunications network and available office space, Portugal’s start-up ecosystem is growing at twice the European average. The Portuguese capital of Lisbon was named 4th best city to form a new business in 2017. The cost of living in Portugal is estimated to be 20% lower than Berlin, 50% lower than London, and 60% less than New York and San Francisco
Various foreign companies are drawn to Portugal and there has been a recent influx in the establishment of tech hubs in the region. Learn more about how to Set up a Company in Portugal.
Switzerland
Switzerland has maintained a leading position on the Global Innovation Index for many years now and consistently ranks in the top 10 in terms of quality of life, work balance and safety but still the start-up scene in Switzerland is often overlooked by entrepreneurs.
Access to early-stage funding has improved over the last few years in Switzerland; investment in start-ups nearly tripled between 2012 and 2017. Last year the government announced a new private fund to support Swiss start-ups; the fund aims to raise as much as CHF 500 million (€432 million) from several large banks and insurance funds such as Credit Suisse and Mobiliar.
Switzerland boasts the highest number of patents per person in the world with the rapidly developing local ecosystem creating innovative products and companies.
Learn more about how to Setting up a Company in Switzerland.
Conclusion
These are just a few of the viable European locations that are often overlooked when international entrepreneurs are starting out. Contact our expert team today to learn more about your country of choice. Call +353 (0) 16461627 or click here to complete our contact form.