European countries lead the way for quality of life
Business Name Generator has analysed 50 countries to reveal the best places to launch a startup. The study looked at; business tax rates, economic GDP growth, cost of startup procedures, country happiness, cost of living and quality of life.
Economic uncertainty may unnerve budding entrepreneurs, so knowing about the global landscape when starting or expanding a startup is critical.
The top 10 locations in the world to start up a business in 2023
- The Czech Republic was the top country for startups – with low cost of starting a business and procedures costing just 1.1% of Gross National Income (GNI) per capita, combined with reasonable labour costs averaging £1,478.
- The UK ranks sixth in the index, beating all other G7 countries, including the US and Germany. The UK is the only country where business startup procedures don’t cost a penny.
- Germany, France and the US position outside of the top 10. The States placed 17th with startups expected to pay an average tax of 25.8% on capital generated.
Other key findings:
- The Netherlands has the best quality of life rating out of every country in the ranking, with a score of 198 out of a possible 240.
- Finland has the highest labour costs – but the happiest employees, scoring 7.84 out of 10, higher than any other country in the world.
- Sweden placed third, with slightly lower labour costs of £3,531, but still relatively inexpensive start-up procedures at 0.5% of GNI per capita. However, business tax in Sweden is higher at 20.60%.
The Philippines is revealed to be the worst country in which to start a business. The cost of launching a startup is the highest among all the countries analysed, totalling 23.3% of GNI per capita. Businesses are also taxed at a higher rate of 25%.
Egypt comes in second place as the worst place to launch a startup. Despite the availability of low-cost labour, India ranks lowest in terms of happiness and quality of life, with a score of only 3.81 and 118.4. This could greatly impact job satisfaction, productivity, and overall well-being in the workplace. Additionally, the country’s 30% business tax rate may offset some of the savings gained from affordable labour.
Europe leads in terms of happiness and quality of life. However, when it comes to the cost of living, Egypt, India, and Argentina come out on top.
Chloe Chai, the spokesperson for Business Name Generator said: “Entrepreneurs face many important decisions when launching or expanding their business and choosing the right location is one of the most crucial. The location of a business can have a significant impact on its success, affecting access to resources, market demand, and competition. Entrepreneurs must carefully consider the economic, demographic, and cultural factors of potential locations.”
Research data can be found at: https://businessnamegenerator.com/the-global-startup-index/