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Geschäfte im Ausland: Vorteile und Probleme bei der Gründung eines Unternehmens durch Ukrainer in verschiedenen Ländern

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Geschäfte im Ausland: Vorteile und Probleme bei der Gründung eines Unternehmens durch Ukrainer in verschiedenen Ländern

Ukrainian entrepreneurs more and more often think about starting a business abroad. Read in this article which country it is profitable for Ukrainians to open their own business and what problems can be encountered

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Due to the war and the unstable economic situation in Ukraine, many have left the country. Ukrainians are trying to legalize themselves abroad and look for ways to make money. Some decide to start their own business in a new country or think about relocating an existing enterprise. Investing and business emigration are quite popular ways to obtain a residence permit abroad. Also, relocation will allow the business to work steadily, because doing business in war conditions can be a serious challenge for business.

The countries with the most favorable conditions for starting a business, the difficulties of doing business abroad and useful tips we have collected in this article.


Find out all about the rules for obtaining a work visa, its types and the documents required here.


Should I consider the idea of starting a business abroad?


The basis of the market economy of developed countries is a small and medium-sized businesses. Its share of GDP in the EU countries is 67%, and in some states it reaches 80%. Most countries have developed systems of preferential taxation for new businesses. States actively support young businessmen with loans and subsidies, conduct numerous trainings and courses for young businessmen.

Starting a business abroad enables Ukrainians to obtain a residence permit or even citizenship, diversify assets and risks, obtain tax concessions and loans at acceptable rates etc.

At the same time, countries are also interested in foreign entrepreneurs because this process sends more money to the state budget, develops the market, creates new jobs and increases the quality of goods and services through competition.


Read everything you need to know about the European work visa here.


Ways of transferring business interests


Four ways of doing business abroad can be distinguished:

  • Investment in the local economy;
  • Relocating an existing business;
  • Starting a new business from scratch;
  • Acquisition of a company abroad.


In what country is better to open a business Ukrainian?


When choosing a country, the first step is to decide on the form of doing business and the taxation system.

The forms of business organization in each country are determined by its domestic law. However, the most common in the world are private enterprise, partnership and corporation.

At the same time, one of the decisive factors for many entrepreneurs are tax rates. Countries with moderate tax rates include: OAE at 15.9%, Saudi Arabia at 15%, Kazakhstan at 29.2%, South Africa at 20%, Croatia at 20%, New Zealand at 22%, Switzerland at 28.8% and the UK at 32%.

In addition to the level of taxes, when choosing a country one should consider business tax inspections and other inspections by regulatory authorities, qualifications and labor costs, fairness of competition, level of corruption, political risks, security of investment, government support, and so on.


The best in these matters are the U.S. and European countries: despite the high taxes, they provide investors with security for their investments and guarantee their unhindered withdrawal. Also an important advantage of doing business in the EU is the ability to expand the network of branches of his firm on the territory of the European Union. However, it should be noted that the migration laws of Europe is quite strict, so the investor can not always count on getting a permanent residence permit or citizenship when starting any business. For example, in Poland, to get permanent residence permit, a foreigner must open a company with an annual turnover of 10,000 euros.

According to the World Bank's "Doing Business" rating, the countries with the easiest requirements for registering a new business are New Zealand, Canada, Hong Kong, Georgia and Singapore.

Among the popular countries for investment in ready-made business is Germany, Spain, the Czech Republic and Bulgaria.

Analysis shows that Ukrainians who immigrate and open their own business in Eastern Europe, particularly in Latvia, Bulgaria, Poland, Czech Republic and Hungary will have the least problems.


What problems can be encountered when starting a business abroad?


Working in a new jurisdiction

One of the most common challenges is doing business in compliance with all local laws, because each country has its own rules for doing business. These include the terms and procedure for obtaining permits or licenses, the specifics of the conclusion and execution of business contracts, HR policy, taxation of business activities, accounting, etc.


! It is very difficult for an entrepreneur who is just starting out to immediately understand the requirements for doing business in a new environment. Therefore, to successfully launch entrepreneurial activity, it is necessary to turn to professionals. The team of top lawyers will quickly provide professional advice on legal issues at a time convenient to you.


Ignorance of market needs

Usually, these difficulties arise from a lack of prior detailed research on the needs, opportunities and prospects of the new market for your product. Detailed market research before launching is a must and it is better to entrust it to professionals.


Taxation system and income accounting

Businessman should choose before launching the optimal system of taxation and, if necessary, obtain the status of tax residency. For example, in Poland, there is a risk of double taxation, that is, pay taxes in Poland and Ukraine. To avoid this, you need to submit an application for individual interpretation to the tax office. A qualified lawyer can help compose the application and answer questions.


Mentality

Particular attention should be paid to the culture of doing business in the country of future residence, because the way of doing business with the Germans, Italians, Poles and Turks is fundamentally different. Cultural and religious traits should be taken into account at the stage of agreeing the order of relations with the counterparty and concluding a cooperation agreement with it.


Entering foreign markets is a complex and risky, but rather interesting and promising activity. It will help to minimize problems at the start when starting a business abroad by following the recommendations and the support of qualified lawyers.


Learn more about how to move your business to another country here




Products from Visit World for a comfortable trip:


Medical insurance all over the world;

Legal advice from a local specialist on visa and migration issues (to receive the service, select the country of interest and citizenship).




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