Choosing a country to register an IT company in 2020: what to pay attention to
The information technology industry has reached a new level in the last five years. Technical specialists in developed countries are in demand, earn good money, and IT is considered a promising area for daring startups. It is possible to take a risk and open an IT-company in 2020; despite the crisis, the success of the company will depend on the right selection of the jurisdiction.
How to understand that the country is suitable for IT-business?
- Loyal tax system. Probability of receiving benefits or state support;
- A legal framework for the registration and regulation of foreign companies, friendly to foreign investors and their presumed business partners;
- Possibility of opening an account in a local bank, availability of credit and operations with foreign currencies and cryptocurrencies;
- Availability of qualified specialists among local residents for recruitment or possibility to work remotely with their team;
- Possibility to protect intellectual property as a result of IT-company's activity on the state level;
- Access to world information technology markets.
The year 2020 is considered to be a crisis-ridden year and quite dangerous for new projects. However, the famous saying "he who does not risk, he does not drink champagne" become quite relevant in this case. Because of the economic downturn, competition among startups is much smaller, and those who can start now will achieve astonishing success during the inevitable rise.
At the planning stage, the entrepreneur will need expert market analysis, which will be easily carried out by qualified IT-OFFSHORE specialists. We have huge experience in the sphere of registration of business projects abroad and we can answer all questions in the shortest terms.
TOP jurisdictions for IT-company creation in 2020
Singapore. One of the few territories in Asia with a good reputation that practices the territorial principle of taxation. In fact, Singapore is a low-tax jurisdiction; it can offer financial support to IT-companies in the form of grants and government programs to support small and medium businesses. The banking system of this country is undergoing a leapfrog and is already considered loyal and progressive. Companies registered in its territory can operate worldwide.
Ireland. Surprisingly, of all the countries in Europe, Microsoft, Apple, and Google have chosen Ireland to host their additional headquarters. Of course, creating and running a business in this territory will cost more than in the mid-shore, but there are also many benefits. Registration of IT-company in Ireland in 2020 under a simplified scheme will give the entrepreneur the opportunity to legally avoid corporate taxes and to submit only part of the mandatory annual financial statements. The protection of intellectual property in this country is at the highest level, and the banking system has dozens of representative offices of reliable European financial organizations.
Cyprus. The representative office of the well-known IT-company is there for a reason. In fact, Cyprus has all the advantages as Ireland, which are complemented by inexpensive labor force and excellent climate, but registration and maintenance of business there is much cheaper.