There are many new startups competing for funding and clients; regrettably, not all of them get what they need. According to research on the number of investments of startup enterprises, the best locations to start operating are found throughout Europe.
So if you intend to launch a new business in Europe but need help figuring out where to do it, Europe is a sure win. But not all of the continent has a good ground for building a startup. Keep reading as we will list the best cities in Europe where you can start your company.
Germany is a mixture of many factors and is widely known as a very good business environment. If you run an international marketplace in many countries, you need native speakers, and in Berlin, you have the opportunity to find entrepreneurial native speakers coming from all over Europe.
It has a very healthy economy, excellent access to a well-educated workforce, and quite easy access to venture capital. Berlin is a transportation hub for Europe as well. The central location makes it easily accessible from Scandinavia, Western Europe, and Eastern Europe. This brings a constant infusion of talented workers. Together these factors make Berlin a fantastic location for a start of a new business.
Another positive is the corporate tax structure. Germany has only a 15.28% tax on corporations. This is low enough for most companies to be successful and not spend much money compared to other countries. However, some things that need to be considered before opening a startup here would be the living expenses in Berlin and the more expensive labor force.
London is another great location to consider starting a business. This may come as a surprise considering the UK’s situation after Brexit and its lackluster GDP growth in recent years. However, access to venture capital is the best in Europe. This coupled with a large pool of highly educated and skilled labor force makes staffing not too expensive. The city is also known for its business friendly ecosystem.
Even though London is a small hub in terms of the financial industry, it may be expensive to live in. Furthermore, there is a proliferation of startup help organizations to help entrepreneurs when they need help with their start-ups in the UK.
Switzerland is a very good place to do business. Zurich is considered the economic capital of Switzerland and is where many of the Swiss banks are headquartered. Starting a business within Zurich comes with some challenges, like the cost of living and the salary expectation of the workforce. Swiss workers are some of the highest paid in Europe, but also some of the most productive.
A highly educated and skilled labor force drives Swiss productivity.This is important to entrepreneurs who want to start a business. A skilled and motivated labor force in any shape or form is important for the company to be successful. In addition to favorable labor conditions, the corporate financial situation is also quite friendly. Actually, corporate taxes are among the lowest in Europe.
Spain is very well connected to the rest of the world economically. Additionally, the Spanish language is spoken in many parts of the globe. This gives Spanish speakers an instant market available in South and Central America.
Barcelona has a focus on accelerator hubs, which help startups grow. It is considered to be one of the most attractive startup ecosystems. There are more and more resources, experiences, and mentors that build up the entrepreneurship ecosystem.
This entrepreneurship system can also be very competitive, but that is something positive because you are going to have a lot of movement, a lot of talent, and you are going to have references and support from institutions and hubs. It’s a really mature ecosystem that is perfect for the beginning.
Choosing a Location to Start Your Startup
As Europe has become a very popular location for startups, many European cities have flourished in startup hubs. These give many opportunities for new entrepreneurs who are trying to find ways to make their businesses succeed.
When deciding on where to start or relocate your new business, there are various factors you should think about, like the living expense, the costs of the workforce, and the costs of corporate taxes. Additionally, you can think of things like the economic health of the country the city is located in and how much economic stability the country itself has had over the years, including its growth expectations.