Business startup in EU
Neil Blumenthal from Warby Parker, while being a cofounder and co-CEO of the company, commented startup is a company working to solve a problem where the solution is not obvious and success is not guaranteed as it is mentioned in Forbes. More common description of a startup is a business or undertaking that has recently begun operation as it is suggested by the American Heritage Dictionary.
Possible revenues, profits and employment numbers play an important role when it comes to establishing a business startup in EU, especially, when it comes to establishing a business startup in EU. Businessmen can also explore 2015 year study, showing a progress by each EU country in order to reduce the time and cost of paperwork required to start a business. There are also many different blogs and websites providing ratings, numbers, opinions regarding the best business startup destinations which can be really helpful for businessmen, searching for information.
There are also different rights and obligations for EU citizens willing to do business in EU which can be referred to setting up a business (also as a sole trader) in any EU country as well as Norway, Iceland or Liechtenstein.
Setting up a business in EU
Startups usually require lots of work on developing, testing and marketing the business idea. This means that financing plays an important role in establishing business. It is possible to fund startups by receiving small bank business loans or credit unions, government-sponsored Small Business Administration loans or grants from nonprofit organizations and state governments. Therefore, there are several different funding programs that businessmen may be able to apply for, depending on the type of their business such as direct funding (grants and contracts) and indirect funding (European Structural and Investment Funds).
1 in 5 EU founders have started a company abroad as some of the newest researches show. An access to capital plays an important role, while also being the strongest driver of startup migration in Europe. Another important factor is startup location. Startup Heatmap Europe 2017 study mentions Munich and Berlin as some of the best places in Europe where o start business. Survey offered a question to businessmen Where would you startup if you could begin all over again? and most of the participants (351) ticked Berlin, London (347), Amsterdam (241), Barcelona (162) and Lisbon (110) as 5 most desirable places. More than 1,000 founders did participate in the study.
Berlin is appreciated for its pool of experts, well-functional ecosystem, high standard of living and high co-working culture, low overheads. Berlin is also considered to be a good place for high tech startups: hardware, fintech, biotech, big data, IoT, VR as well as Internet startups: SaaS solutions, mobile apps and e-commerce. One more German city Munich also gained high rating rated favorably for its high tech startups, Hamburg gained attention on startup media.
London provides great business opportunities for capital-intensive startups. It also has long been credited for its standard of living with low living costs, youthful population and international appeal. France and Netherlands are both also considered to be powerhouses for investments. Munich (88%), TelAviv (82%) and Prague (82%) were mentioned as best places when it comes to finding talent. Tallinn (83%), Helsinki (71%) and Prague as well (64%) were standing out regarding the ease and cost of doing business. Best access to capital can be provided best in London (87%), TelAviv (82%) and Berlin (72%).
Taking into account all the given information, businessmen all over the world are about to choose which startup business destination suits they better or which country, city is better for the implementation of their cherished business ideas.