Economic development is a crucial criterion in the determination of the country’s development. Since 2001, when the economic reforms in many countries were suggested by the World Bank, governments have different countries have been taking initiatives to make it easier for economic operations within their respective borders.
The period between June 2017 and May 2018, witnessed a record 314 reforms introduced by 128 governments to benefit small and medium business and entrepreneurs.
The world bank makes use of 11 indexed measures to rank the best countries for businesses to flourish. These include ease of starting a business, registering property, scoring credit, tax filing, contractual enforcement, labor market regulations, minority investors’ protection, electrical supplies, construction permits, resolving insolvency, and trade across borders. Based on this matrix, the top 5 countries for setting up business and smooth operations are listed below.
1. New Zealand
The ease of starting a business in New Zealand is unmatched. It takes only a few hours time for an entrepreneur to get together all the necessary paperwork for establishing their business. Ever since the recession in 2009, New Zealand has achieved 2-3% annual growth in its economy. According to the World Bank, minority investors’ protection reforms and free trade agreements along with efficient tax codes are a few contributors to New Zealand’s top-ranked economic model.
This Asian country has emerged as a global leader for investments and business start-ups. With various government grants available and regulatory policies in place such as Startup Enterprise Development Scheme, Early Stage Venture Funds, Productivity and Innovation Credit, and many other schemes alike, Singapore is set to manifest the biggest innovation and technology industry, globally. The government has specifically emphasized on boosting the tourism sector with the help of Business Improvement Fund, which is available to all registered businesses operating in the tourism sector or relating to it.
One of the richest countries in the world and the fastest growing in Europe, Norway offers the best ecosystem for entrepreneurs. With its digitally advanced technology and stable political reforms, it has been offering three types of corporate entities to its entrepreneurial audience. These include Norwegian-registered Foreign Enterprises, Sole proprietorships, and Private Limited Liability Companies.
4. United Kingdoms
The cost of starting up a business in the UK is as low as ￡81 (~100 USD), which is very low as compared to any other country in the world. Low business costs, high labor supplies, and quality of life make it most favorable to the industrial entrepreneurs. According to a study, people in the UK strongly adhere to the thought that hard work can get them ahead in life. The World Bank supports this statement for it to rank amongst the most favorable countries for businesses.
5. Macedonia FYR
This southeastern country, formerly the Yugoslav Republic, has been reforming it’s economic grounds since it’s independence in 1991. World Bank indicates at the pace of economic growth in the country owing to the industry-specific regulations and favorable foreign investment schemes. The country has recently made a mark in its foreign investment policies to encourage non-resident entrepreneurs and businessmen.
For setting up a business, the political atmosphere, the taxation norms, the paperwork, and an insider can prove helpful when establishing a business out of native boundaries.