Many entrepreneurs and even experienced businesspersons are looking to start foreign businesses. Since the Covid-19 struck the world, there has been a steady economic decline in several countries. Many businesses suffered greatly due to loss of market share, lockdowns, and the inability to shift to an online system.
For most businesspersons, getting investment and starting the sales, doing the marketing, and branding is not very challenging. What is tricky is getting started. What makes this situation even more difficult is starting a business as a foreigner. Many entrepreneurs prefer starting businesses in foreign countries due to a lack of skilled workforce in the home country, poor communication, lack of infrastructure, stringent policies and tax structures, political instability, and many more reasons.
Many countries have become havens for foreign investors and businesspersons. These countries actively make grants and provide tax benefits to foreigners wishing to start businesses.
Shifting or travelling to another country requires a transfer of substantial funds, legal documentation, and paperwork. Businesspersons should take advice from immigration solicitor team in Southampton to help with the legalities, documentation, and paperwork.
Let us look at the five best countries to start your business as a foreigner.
New Zealand is known for its excellent tourism industry. It also has robust export markets and is known to be one of the leaders for agricultural produce. New Zealand was also one of the few countries successful in controlling the spread of the Covid-19 pandemic. This feat was not an ordinary one for a country that relies on trade and tourism.
The economy in New Zealand did undergo a recession, but it bounced back and showed steady growth within a few quarters. It is also excellent for starting a business since there are no capital gains and payroll taxes. The legislature is transparent, and surcharges are conducive to businesses. Incorporating companies take one working day, and the country also possesses a skilled workforce.
Singapore has seen steady growth in the world economy over the past decade. Since Singapore’s economy relies heavily on international trade, the Covid-19 crisis hit the country quite hard. However, it is already back on track and has shown an increase in growth each quarter. Singapore thrives on digital innovation and technology. The people took to a digitized economy extremely fast and curb physical contact and maintain social distancing.
Like New Zealand, Singapore has no capital gains tax. It has a skilled workforce and is strategically placed to help businesses thrive in the South East Asian belt. Most international companies have already shifted their base of operations to Singapore.
Norway has successfully implemented digitization across the country. They have removed bureaucratic hurdles and made the taxation laws conducive to foreign investments. They have also eased industrial regulations and paved the way by eliminating complex taxation instruments.
The infrastructure is sound, with well-established transportation hubs across the country. The local workforce is skilled in IT, design, and finance, with most businesses having strong investment backing. If you want to start your business in Norway, you should think of entering IT and tech.
United Arab Emirates (UAE):
The UAE has shown tremendous growth over the past two decades. Gone are the days of arid sands and camels. Instead, UAE is poised as a significant economy for most ambitious investors and companies. Even though the country went into lockdown, the tourism and real estate sectors did not suffer too severely. The UAE is already showing signs of a full recovery.
The UAE is strategically located to reach India, South East Asia, and the European markets. It also has easy access to Africa and its developing countries.
The tax structures in UAE are modest, and it is relatively straightforward to open a business. It is pretty easy to register a company, obtain permits, tax IDs, register property and assets, and start working.
Switzerland has always been a tax haven for investors and business owners. With a highly developed economy, Switzerland is perfectly poised in Europe. The country is economically and politically stable and has weathered the Covid-19 storm well.
It has lenient business policies that allow for greater room for operations. The industrial facilities are pretty modern, with up to date technology and equipment. It also has a highly skilled workforce of professionals, doctors, accountants, and IT professionals. Most investors look favourably on making investments in Switzerland, especially in the tech-space.
No matter which country you decide to start the business in, always remember that it is best to do due diligence, and research the taxation structures and policies.