UK revealed as the cheapest country in Europe to start a business

New research has found that the UK is the cheapest destination in Europe for aspiring entrepreneurs.

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New research from Tide, the business finance platform, has revealed that the United Kingdom is the cheapest country in Europe, alongside Slovenia, for entrepreneurs to set up a new business.

On average, start-up procedure in the UK – also identified as the price of registering a business – was found to cost an average of 0% of gross national income (GNI) per capita.

Cost is a large influencing factor when it comes to setting up a new business, and can be a big deterrent for prospective entrepreneurs. The research also looked at national performance indicators for 28 countries within Europe, basing their results on the size of their economy, unemployment rate, and ease of doing business.

Where is the best country to start a business overall?

According to the research, the UK scored highest overall as the best European country for startups, followed by Ireland. However, the category the UK scored poorest in was for gender pay gap, coming in outside of the top 10. Luxembourg was ranked as highest in this category.

Other countries in the top 5 for starting a business were, in order, Ireland, Netherlands, Denmark, and Estonia.

The full rankings can be viewed in the chart below:

Cheapest places to start a business chart

Image by Tide via tide.co

Thinking of launching your own business?

As the economy is beginning to show signs of recovery post-pandemic, now is an excellent time to start a business.

There are also lots of new business trends emerging. Ecommerce websites have skyrocketed as consumers moved online during the national lockdowns, while the demand for ethical and sustainable products has also surged.

To help you get started, read our guide to learn more about the top 10 business ideas for 2021.

Want to know more about low-budget ways to start a business? Read our comprehensive guide to the top 10 business ideas for a shoestring budget.

Helena is from Yorkshire and joined Startups in 2021 from a background in B2B communications. She has previously written for a popular fintech startup covering everything from money-saving tips to cultural reviews.

She is particularly interested in project management software and the films of Peter Jackson.

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