Top countries for business relocation

In the context of globalization and digitalization, borders between countries are becoming increasingly open, providing entrepreneurs and companies with new opportunities for growth and development. One of the key elements of successful business expansion is choosing the right country for relocation. In this piece, we will look at the top countries that offer the best conditions for doing business, considering factors such as taxation, business environment, infrastructure, access to markets and labor, and legal stability. Whether you're looking to cut operating costs, expand into new markets, or find a more favorable tax environment, our ranking will help you make an informed choice.

Portugal

Portugal attracts foreign entrepreneurs with its simple business registration procedure. No special authorization is required to open a company here, but it is necessary to register a NIF - individual taxpayer number.

You can set up a company in Portugal using the On The Spot Firm online service, which allows you to complete the process within one hour. The cost of registration starts from 360 €, and it is required to specify the organizational and legal form of the future company, such as:

• open-type joint stock company;
• closed type company;
• a company with a single shareholder.

The required list of documents depends on who will be the shareholders - individuals or legal entities. Individuals only need to provide an ID-card or passport, while legal entities need additional documents such as an up-to-date extract from the register, minutes of the shareholders' meeting and constituent documents.

Once all documents are prepared, you need to contact one of the Empresa na Hora offices and make an appointment to finalize the registration process.

If you plan to launch a startup, you will need to enter into an agreement with a local business incubator and submit an innovative project. Also, for foreign entrepreneurs, registering a sole proprietorship is a popular option, especially after obtaining a digital nomad visa, which allows you to reside in Portugal and use all banking services after obtaining a residence permit.

Montenegro

Montenegro is an extremely popular destination for foreigners due to its combination of relaxed visa conditions and very reasonable cost of living. To obtain permanent residence permit status you will need to apply to the consulate and provide all the required documents.

The banking system in Montenegro is open and any foreigner can easily obtain the necessary services and open accounts. This will require a very standard set of documents, which will confirm the legal stay in the country and a small down payment.

In the business sector, Montenegro offers many opportunities, especially in sectors such as tourism and hotel services. The country's economy is oriented towards services, tourism and small-scale manufacturing, and foreign investment, especially in infrastructure and ecotourism, is strongly supported.

The cost of living in Montenegro remains relatively low compared to Western Europe. Living in smaller towns and villages is significantly cheaper than in the capital, making the country an attractive option for relocation.

Hungary

Relocating your business to Hungary offers many opportunities and advantages that can significantly improve your company's efficiency and competitiveness.

• Favorable taxation: Hungary offers one of the lowest corporate tax rates in Europe - only 9%. This creates favorable conditions for business growth and increased profits.
• Strategic location: Hungary is at the crossroads of important transportation routes, which facilitates access to markets in Europe, Asia and the Middle East. This makes the country ideal for logistics and supplies.
• Quality labor force: Hungary is renowned for its highly skilled workforce, especially in IT and engineering. The country also offers many educational programs, which contributes to the continuous skill development of the workforce.
• Access to finance: Hungary is supported by many investment funds, government subsidies and European grants, which allows you to get funding for business development.
• Creating a startup ecosystem: Budapest has become a center for startups. Incubators and gas pedals are actively developing here, which creates an excellent environment for innovative entrepreneurship.
• Simplified administrative processes: Hungary actively simplifies bureaucratic procedures for foreign investors. Registering a business and obtaining licenses is faster and easier compared to many other countries.

Moving your business to Hungary is an opportunity not only to improve your financial performance, but also to become part of a dynamic economy with huge potential. If you are looking for new horizons for your business, Hungary could be your ideal choice.

Andorra

Those wishing to travel to Andorra must obtain a Schengen visa.

Opening a bank account will require a very standard set of documents, including identification, proof of income (legal, of course), and sometimes proof of legal residence in Andorra. The country's banks work with both residents and non-residents, which greatly simplifies the move for business.

As for the labor market, it is mainly focused on tourism, retail and banking. The small size and neighborhood with Spain and France constrain the country's industrial capabilities.

The cost of living in the country is quite high, especially when it comes to living space and other types of real estate. The popularity among rich foreigners and tourists leads to further increase in prices. As for goods, their price is also slightly higher than the EU average.

UAE

In the UAE, foreign businessmen can establish different types of companies: mainland, onshore, offshore, and virtual companies in the “Dubai Metavieworld”. Offshore companies can be registered exclusively in free economic zones and their activities can cover the whole world, except for the Emirates territory itself. All types of business are permitted, except insurance and banking. One shareholder is sufficient for registration.

The application for opening a company is submitted through the website of the selected free economic zone. The standard package of documents includes the charter, memorandum of association, information on the founders, data on the amount of authorized capital, number of shares and nominal value of the company's shares.

Onshore companies allow to conduct business both within the selected free economic zone and outside it. In order to register them, a license must be obtained.

After submitting an application and receiving approval, the entrepreneur opens a bank account, deposits the authorized capital and pays state fees. The list of required documents depends on the type of the company's activity and the requirements of a particular free zone.

Mainland companies are able to operate throughout the UAE and offer more than 2,000 types of businesses. Registration can be done in any emirate, but will require authorization from the General Directorate of Residents and Foreigners.

In addition, to register a mainland company, it is necessary to rent or buy an office and enter into an agreement with a service agent who will represent the interests of the company before the UAE government authorities.

Spain

Company registration in Spain takes about a month and is available to foreign entrepreneurs without any restrictions.
The process of company registration varies depending on the chosen legal form of organization, but usually includes five main stages:

1. Selection and approval of the company name with obtaining a certificate of uniqueness.
2. Obtaining a taxpayer identification number (NIF).
3. Preparation of incorporation documents.
4. Opening a bank account in the name of the company.
5. Registration with the tax and social security authorities.

Foreign citizens can open joint stock companies, limited liability companies or register as an individual entrepreneur in Spain, which provides flexibility in choosing the form of doing business.

Turkey

The company registration process in Turkey starts with an online application and ends with registration at the local commercial registry office, which takes no more than an hour. Various forms of companies can be opened in Turkey including:

• limited liability company,
• joint stock company,
• a partnership or a collective company,
• limited liability partnership,
• cooperative.

Foreign companies may also establish subsidiaries, branches or representative offices in Turkey.

To register a company, you will need to provide a passport or residence permit card, as well as specimen signatures of all founders, which are notarized. Although there is no fee for company registration itself, the founders incur associated costs such as intermediary services.

Kazakhstan

For foreigners planning to do business in Kazakhstan, there are opportunities to open a joint stock company or LLP (Limited Liability Partnership). In addition, it is possible to establish only a branch or a subsidiary.

An LLP can be established even with zero authorized capital, provided that it does not go beyond the concept of “small business”. For large businesses, the minimum authorized capital is calculated annually and is 100 monthly calculation indices (MCI). In 2023, the amount of MZP is 3,450 tenge.

A joint-stock company may be established either by a single foreigner or by a group of persons. The requirements to the authorized capital here are much higher than for LLP and amount to 50,000 MZP.

To open a representative office in Kazakhstan, it is sufficient to undergo registration. The parent company develops regulations for branches and appoints local managers who act on the basis of a power of attorney.

Armenia

To register a company or individual entrepreneur in Armenia, foreigners must first obtain a social card, which takes from two days to a week. After that you can submit documents for opening a company. The registration process itself takes only 10-15 minutes.

According to Armenian legislation, foreign citizens can register:

• limited liability company;
• joint stock company
• business partnership;
• a branch of a company.

Documents for company registration are submitted to the Agency for Registration of Legal Entities under the Ministry of Justice of the Republic of Armenia. The standard package of documents includes:

• company address;
• Articles of Association and information on the authorized capital and shares of the founders;
• information on the founders;
• the decision of the founder or minutes of the meeting of the founders;
• a statement on the ultimate beneficiary of the company.

All documents must be translated into Armenian.

Advantages of doing business

Doing business in another country offers a number of important advantages:

1. Many countries willingly host businessmen, which gives you the opportunity to obtain a residence permit or citizenship.
2. Countries where businessmen are welcomed willingly have a number of special rules and conditions that are aimed at facilitating work and development. Special free economic zones, where there may be either a reduced or no tax rate at all, are worth mentioning.
3. Visiting businessmen are often provided with tax relief to make it easier for them to get involved in the work in the new land.
4. A new country means not only different conditions, but also new markets. And if the country also has a number of agreements with other countries or entire blocs (for example - the European Union), it gives even more opportunities for the development of their business.
5. Greater diversity of labor resources. As a rule, in countries where foreign business is encouraged, there is a large number of strong specialists from all over the world.

Possible pitfalls

Relocating a business can face a number of challenges:

• Adapting to a new market. Entering a new market can be challenging, such as unfamiliar business etiquette and local business cultures.
• High costs. Moving a business to another jurisdiction and relocating employees can require significant financial outlays.
• Difficulties with legal and tax aspects. Understanding and complying with the legal and tax requirements of a new country can be challenging without professional assistance.
• Language barriers. Not knowing the local language can make it difficult to negotiate, close deals and understand legal requirements.