When businesses are ready to expand internationally, Europe remains a top priority for many. From the stable economies, to a wide talent pool and a mature and consistent legal system. Europe offers businesses an array of benefits when it comes to expanding overseas.
The freedom of movement the EU brings, means when you’re advertising for employees, you can do so across the continent. So, your business will never be short of a variety of skills that each country has to offer. In addition to the large and prosperous population, some of the highest-rated colleges and universities, such as the University of Oxford, are in Europe.
When looking at expanding overseas, a destination in Europe should be considered. In more detail, here is why.
Access to top talent
In 2019, over 40% of the 30-34 year olds had completed tertiary education and 80% of Europeans between the ages of 25 and 54 had completed secondary education 1. And, when it comes to universities, Europe have some of the top institutions. All this means access to an incredibly skilled and disciplined workforce. This is backed up by the World Population Review, which shows some of the most educated countries in the world, reside in the region 2 Therefore, finding talented and driven individuals for your business, won’t be a problem when you’re expanding overseas in Europe.
A stable economy
Despite the pandemic, there is still forecasted growth of 4.2% in 2021 and 3% in 2022 on average for the European economy 3. Alongside a stable economy, the use of the euro amongst many member states is a further benefit. This helps mitigate fluctuation risks and eliminate exchange costs making for a more stable currency and economy. In turn, it provides greater security and more opportunities for businesses and markets 4. Furthermore, the one shared currency makes trading and selling products and services easier.
Where should you consider expanding in Europe?
Sweden has the fourth most competitive economy in Europe with an ease of business rating of 10th out of 190 countries 5. The government actively fosters innovation and competition and its reputation as a hub for innovation is recognised worldwide. The country has strong placement in the Global Innovation Index, European Innovation Scoreboard and the Bloomberg Innovation Index.
Sweden is second only to Silicon Valley for more billion-dollar firms headquartered in the region per capita. And, being a smaller market, it’s the perfect place to test out new ideas and products before introducing them to larger markets.
Despite Brexit, the UK boasts economic stability and a talented workforce. 2019 saw a record-breaking year in investment in the tech sector, despite the economic uncertainty.
UK’s tax rate is third lowest in the G20 6. The country has double taxation agreements with destinations including Ireland, India and France. For US businesses, it allows freedom to trade with other countries without worrying about doubling the tax on the same income.
Cutting edge technological advancements and an innovative workforce provide major benefits to businesses. The government is currently funding research into AI. This includes providing funding for students completing relevant PHDs.
Digital Minister Matt Warman said: “It’s fantastic to see Britain continue to be the best place in Europe to start and grow a tech business. With record-breaking investment and the creation of eight new billion-dollar companies last year.”
Ireland has one of the most educated workforces in the world. The share of 30-34-year olds in Ireland with a third level qualification is 56.3%, compared to an EU average of 40.7%.
Its location in the Greenwich Mean Time Zone (GMT) mean easy access of western and eastern markets during the working day. Its membership of the EU means free circulation of capital, people, goods and services. Plus, access to one of the strongest economic areas in the world.
The country has the only US Pre-Clearance facilities in Europe. These are located at Dublin and Shannon Airports, offering a key advantage for transatlantic travel.
Ireland’s pro-business attitude, stable economy and strong and consistent growth make it the perfect country for business expansion.
Ireland is becoming a world leader in tech, software, pharmaceuticals and financial services. 14 of the top 15 medical technology companies and the top five global software companies are currently operating in the country 7.
Are you ready to expand into Europe?
If you want access to the European market, a PEO like Procorre Global can help you get set-up in country quickly and seamlessly without having to set up an entity.
There is arduous admin that comes with global expansion, including compliance, payroll, taxes and ensuring you’re keeping up to date with the frequently changing in-country regulations. Managing all this can be a full-time job in itself. With a PEO, this is handled for you, so you don’t have to waste your valuable time and resources. Instead, you can focus on the important things like growing your business.