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Canada, Jamaica: Top 10 countries offering easiest processes to startup a new business

Canada, Jamaica: Top 10 countries offering easiest processes to startup a new business

Posted by PanamericanWorld on May 23, 2016

You might be working on a managerial post in a top ranked multinational firm in your country. Perhaps you are doing fine, apparently on a high profile job that not only compensates you well but also gives you some level of authority in making decisions. You may still dream to launch your own company. Eventually, you successfully get the funds and a brilliant idea. And now you find yourself becoming an entrepreneur. Next step is to identify the suitable market and understanding the strategic process to start up a new venture. No matter how invigorating idea itself, it is necessary to analyse it's compatibility with the target market. Depending upon the government policies and economic conditions, state governments have designed business processes that differ in terms of steps and complexity levels.

Here I am sharing a brief review of the report based on the findings of an annual World Bank report (Doing Business 2016) that discusses the position of different countries in the list of top ten countries offering the easiest policies and processes to establish a new setup.

New Zealand sits on the top with one procedure requirement, which is completed in half of a day. The territory got itself recognized to offer the easiest and simplest policies to initiate a setup. They also worked on issuing electricity connections and now it takes 58 days only.

The Republic of Macedonia also demands capitalist complete one procedure only. But it takes the full day to complete the process. The longer duration enlists Macedonia on number 2 in this list. The territory significantly reforms to improve start-up time and protect minority investors.

Canada the well-developed country acquires position 3 in the list of countries offering easiest processes for launching ventures. Two procedures are required, which usually takes one and a half day to be completed. In the year 2015 Canada was enjoying the second position in the list.

Hong Kong SAR, China is numbered 4 in the listing with the same timeline of one and a half day to complete two procedures. What resists them to list with Canada is the highest setup cost of 1.2% of per capita income in Hong Kong, which is significantly higher than Canada's cost 0.4%.

Armenia being listed in third place in the year 2015, this year Armenia secures the 5th position in the list of states with easiest processing steps. Entrepreneurs are requested to complete procedures with two steps that approximately takes more than three days to complete.

Georgia also requires candidates to complete two procedures in two days only. Ranks on number 6 due to the high cost of 3.1% of per capita income.

Azerbaijan showed remarkable improvements in the policies and procedures dealing with construction permits and protection of minority investors. Purposeful efforts enable this territory to come four levels up as compared to its previous position. It's at number 7 this year. The whole process involves 2 step procedure, which is completed in more than three days at the cost of 1.2% per capita income.

Lithuania secures the 8th position in the list and can be the best option due to its low per capita income limits of 0.6%. Administrative authorities further work and introduce an online VAT registration portal and legal enforcement to get electricity connections in a defined time limit. The two-step procedure takes 3.5 days to be completed.

Jamaica has strong potential to secure a better position in the list with its simple two step procedure to setup an enterprise. It is listed at number 9 due to its high set-up cost of 5% per capita income in the city. In addition to improving construction permits, Jamaica also simplified insolvency procedures.

Singapore a world-renowned commercial and trade port comes at 10th position with its three procedural requirement, which is completed in 2.5 days. The territory used to rank on a higher position, but loses its place as no new reforms are observed.

The United Arab Emirates, however, UAE doesn't lie anywhere among the list of top ten countries offering the easiest processes for startups, the UAE ranked at number 1 when it comes to classifying commercial tax payment systems. It only takes 12 hours to complete the tax payments. Previously ranked on 57th position, UAE dropped down to the 60th position in 2016. It takes 8 days to start a business in Dubai at the cost of 6.2 % per capita.

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