The advantages of opening a company in Europe will differ for every business owner. To some, having access to the geographically important trade routes in Poland or Portugal may be of paramount importance. For others, being able to pay 0% corporate tax for the first three years of incorporation may be such a huge benefit that Ireland becomes home to their newly founded company. And still other non-resident business owners will be swayed by the extremely limited amount of regulation regarding foreign ownership and business operations in Sweden, where profits can be freely remitted abroad tax free. But in general, there are usually 4 main benefits of opening a company in Europe that attract most foreign business owners.
Tax-friendly attitude
To attract overseas investors and help bolster their economy, many of the 47 EU countries allow for much more tax-friendly status for non-resident businesses than their own resident-owned companies. Romania and the aforementioned Ireland are just two of the EU countries offering tax levels below 4% if certain criteria are met.
Trade routes
One of the ages-old advantages of opening a company in Europe is access to the trade routes that have existed for centuries. Spain and Portugal used to be world economic powers thanks to their perfect positioning for exploitation of the
Trade Winds that made access to North America possible. Today Portugal and Spain still provide that valuable North American connection, and other land trade routes are enviable as well.
Non-residency ownership
This is one of the biggest advantages of opening a company in Europe. Many EU countries allow a non-resident to be listed as the owner in the titles of incorporation. This means you don’t have to list nominee directors or owners. The safety and peace of mind of 100% ownership of your business can not be overstated, and makes this benefit of opening a company in Europe available to business owners around the globe.
Asset protection
When you file as a Limited Liability Corporation (LLC), you experience one of the most powerful advantages of opening a company in Europe. Different countries in the EU have different filing requirements, and some call this corporate entity by another name, but all LLCs provide limited personal exposure to the business owner. There are often other benefits as well, depending on the country offering LLC status.
There are many other personal and corporate advantages of opening a company in Europe, but the four above provide the biggest incentives for non-residents to file for corporate registration in the EU. How easy is it to set up a company in Europe? Consult a seasoned EU Business Formation specialist today, and begin to enjoy the many diverse advantages of opening a company in Europe.
Please don’t hesitate to call us on +44 (0) 20 8421 7470 or contact us via the website for help and advice.