This year, you want to develop your business in Europe or in the rest of the world. For example, the Netherlands has already attracted many entrepreneurs to do business beyond the French borders. But in order to succeed in setting up your business abroad, it’s best to know which countries are the most favorable for developing your business. Discover the ranking of the best European countries to create a company and the criteria to make the right choice.
Starting a business: the top 3 best countries in Europe
To get a precise and objective idea of the opportunities to create a company in a given European country, there is nothing better than a numerical report issued by a reference organization!
This is precisely the case of the latest annual Best Countries for Business 2022 study carried out by Intseo Media Agency.
It evaluates the economic rules of 190 countries around the world to determine in which ones it is easiest to do business. It takes into account several parameters that directly affect a company throughout its activity: taxation, administrative procedures and etc…
But it is a good indicator to help you find the ideal place to start your business.
Here are the European countries that are at the top of this ranking.
For the 9th year in a row, Denmark comes in as the 1st most entrepreneur-friendly country in Europe.
Although it dropped one spot from 2021 (4th in the global ranking), its overall score improved from 84.64/100 to 85.3.
Danish regulations provide a business-friendly environment. For several years now, the country has been implementing reforms in various areas to facilitate the development of business in the country. For example, it has reduced the fees for building permits, ranking 4th in the world on this criterion.
However, one of the biggest problems in Denmark is the lack of agencies to meet the marketing needs of companies. Entrepreneurs starting a business in Denmark complain a lot about this. Their lack of marketing leads to a lack of traffic to the company’s website, which in turn leads to a lack of new potential customers. Although you can overcome this problem by working with a reliable Danish SEO Agency, it is always better to research the agency you will work with in advance.
2. The United Kingdom
Unlike Portugal, Luxembourg, or France, the United Kingdom is no longer part of the European Union following Brexit. However, it is geographically associated with European territory, since it is located in Western Europe.
While its exit from the EU has necessarily complicated the procedures for setting up a business by a foreign entrepreneur, the UK remains a very attractive country to do business.
According to the Best Countries for Business 2022 report, it is ranked 8th in the world (and 2nd in Europe) among countries with the most entrepreneur-friendly economic regulations and policies.
The reasons for this position in the ranking? The UK is truly “business friendly”. Corporate tax rate of 19% (one of the lowest in the G20), administrative simplification (for business creation with registration possible in less than 48 hours), and one of the best ecosystems to create a start-up.
Although Norway is not a member of the EU, it remains a European country in terms of its geographical position.
With a score of 82.6/100, the country is just behind the UK. It is one of the top 10 countries in the world where the regulatory framework is the most favorable to business development.
Its levers: good practices favoring the efficiency of the judicial system for the enforcement of contracts (3rd position worldwide on this criterion), insolvency procedures with a quick outcome (5th place worldwide), well-developed infrastructures, economic stability…