At first glance, Europe might seem like a confusing place to navigate, with such a large number of countries to choose from, well known large economies such as Germany and France, all speaking a myriad of languages, and using countless different currencies. If one is looking for the best place to settle, Hungary or Austria might be good choices.
Why Austria?
Even at first glance, it’s easy to see the country’s advantages. Given its location in the middle of Europe, it provides easy access to the European market as a whole. It doesn’t just make it easy to reach many of its capitals—thereby reducing the amount of time and resources spent on traveling and planning—but also makes shipping rates and times a lot more accessible both to the provider and the consumers as well.
In the last few years, a growth can be observed in the number of companies in Austria, and that fact is at least partly thanks to the stable business environment it provides to its companies. It is a reliable, ideal place to start up, due, among other things, to its beneficial tax system.
However, the tax system isn’t the only financial benefit to settling in Austria. Setting up a company always comes at a cost—quite literally. The share capital required for company formation in Austria is 35 000 euros, which is admittedly a rather large sum to pay. And thus, one of the biggest pros of setting up a company in a foreign country is that you don’t need to pay the whole share capital all at once to start the process. 5000 euros is all you need, and the rest can wait a while. And the Austrian company can be formed also online.
Why Hungary?
Hungary is one of the smaller European countries; however, overlooking it as an option can be very easily proved to be a mistake. It possesses all the benefits Austria does from a location point of view and every opportunity provided by it—the shipping, the traveling, and access to the VAT-free European market.
However, the biggest advantage of the company formation Hungary cannot be found on the map. Hungary has the lowest corporate tax rate at 9%, which is not only the cheapest in the European Union but also a flat rate. Meaning it will not increase with time or with your company growing and extending. It will continue to prove a steady rate for your corporate future. Also remote company formation is possible without any additional administration.
In case of a remote process, the only thing you will have to do personally is the bank account opening after the registration. As due to the EU legislation, the personal presence is necessary for the bank account opening in all countries in the European Union.
So, if you are planning on expanding or forming a company in Europe, both Hungary and Austria have much to offer. Not just an easy and fast registration process, but financial benefits as well, such as the lowest corporate tax rate in Europe, favorable shipping rates, and affordable real estate prices. You don’t have to struggle through the process of starting up, and you can continue to thrive off all the financial advantages the countries have to offer.