In 2025, global entrepreneurship continues to grow rapidly as technology, digitalization, and remote work reshape how people do business. Entrepreneurs are no longer limited to their home countries – they can establish companies anywhere that offers a strong legal framework, tax advantages, and growth potential.
Finding the best country to start a business can make all the difference in long-term success. From Europe’s digital hubs to Asia’s trade giants, certain nations stand out for making company formation simple and rewarding.
In this guide, we explore the best countries to start a business in 2025, the easiest options for foreigners, and why Lithuania is emerging as one of Europe’s most promising destinations for entrepreneurs.
What Makes a Country the Best Place to Start a Business?
When deciding where to open a company, entrepreneurs should look beyond just tax rates. The overall business environment, legal structure, and long-term support systems matter just as much as initial setup speed.
Here are the key factors that make a country an attractive place to start and operate a business.
1. Ease of Doing Business
The best countries to start a business minimize bureaucracy. This includes fast company registration, online filing systems, and clear legal procedures. When the process is simple, you save time and avoid unnecessary costs.
2. Tax Efficiency
Low or moderate tax rates, tax exemptions for start-ups, and double taxation treaties can help businesses grow faster. Entrepreneurs should also consider the overall cost of employment and social contributions.
3. Legal Stability and Transparency
Countries with transparent regulations and predictable legal systems are safer for foreign investors. Strong protections for intellectual property, shareholder rights, and contracts build confidence.
4. Access to Markets
A country’s trade relationships can determine your growth potential. For example, EU member states like Lithuania and Ireland give access to a single market of more than 400 million consumers, while Singapore and the UAE offer gateways to Asia, Africa, and the Middle East.
5. Skilled Workforce and Digital Infrastructure
A strong educational base, high internet penetration, and digital government services are major advantages. In many top countries, you can handle company formation, banking, and taxes entirely online.
6. Support for Entrepreneurs
Business incentives, start-up incubators, and government grants help new companies thrive. Nations like Canada, Lithuania, and Singapore actively encourage innovation and offer support for small and medium enterprises.
When these elements come together, the country becomes not only a great place to start a business – but also to sustain and scale it.
Best Countries to Start a Business in 2025
Let’s take a closer look at the countries offering the best environments for entrepreneurs in 2025.
These nations stand out for their business-friendly regulations, tax advantages, and opportunities for growth.
1. Lithuania – Europe’s Emerging Business Hub
Lithuania is gaining global recognition as one of the best countries to start a business in Europe. It offers a combination of low taxes, advanced digital infrastructure, and an innovation-driven economy.
Company registration is quick – often completed in 3 to 5 business days – and small companies can qualify for a reduced 6% corporate tax rate. Lithuania’s government has invested heavily in technology, making it a fintech and IT hotspot.
As a member of the EU and Eurozone, Lithuania offers full access to the European market, while maintaining lower operating costs than many Western European countries. English is widely spoken in business, and foreign investors enjoy legal protections under EU law.
For international entrepreneurs looking to establish a legal, low-cost base in the EU, Lithuania is an outstanding choice.
2. Estonia – The Digital Nation
Estonia is famous for its e-Residency program, which allows global entrepreneurs to establish and run an EU-based company entirely online. The digital infrastructure is world-class, enabling secure online banking, document signing, and tax filing.
Reinvested profits are tax-free, encouraging long-term growth and reinvestment. The transparent government system and minimal bureaucracy make Estonia one of the easiest countries for digital entrepreneurs, freelancers, and start-ups focused on remote operations.
3. Singapore – Asia’s Global Business Powerhouse
Singapore consistently ranks among the best countries to open a business due to its pro-business environment and strategic location. Its economy is built on innovation, trade, and technology, and its government supports new ventures through grants and accelerators.
Corporate taxes are capped at 17%, and there are many double-taxation agreements that benefit international entrepreneurs. Singapore’s strong legal system and reliable infrastructure make it an ideal base for companies looking to expand across Asia.
4. United Arab Emirates (UAE) – A Low-Tax Global Hub
The UAE offers one of the most attractive business environments in the world, especially in its free zones, where foreign investors can enjoy 100% ownership and 0% personal income tax.
Company formation is straightforward, often completed within a week. The country’s strategic location between Europe, Asia, and Africa makes it a powerful trade hub.
Entrepreneurs benefit from excellent logistics, a multicultural workforce, and a booming start-up scene, especially in Dubai and Abu Dhabi.
5. United States – The World’s Innovation Engine
The U.S. remains a global leader for start-ups thanks to its massive consumer market, venture capital availability, and entrepreneurial culture.
While the process and taxes vary by state, some – like Delaware and Wyoming – are particularly business-friendly, with low costs and flexible legal structures.
The U.S. is especially attractive for tech start-ups, product-based businesses, and entrepreneurs seeking investment and rapid scale.
6. Ireland – Europe’s Tax-Friendly Gateway
Ireland combines the benefits of EU membership with a 12.5% corporate tax rate, making it one of Europe’s most competitive jurisdictions.
Its English-speaking workforce, business transparency, and strong connection to the tech industry attract major international companies and start-ups alike.
For entrepreneurs targeting European markets, Ireland offers stability, credibility, and easy access to international trade.
7. Bulgaria – Low Taxes and Strategic EU Location
Bulgaria is emerging as one of Europe’s most affordable and efficient places to start a business. With a flat 10% corporate tax rate and low operational costs, it’s ideal for entrepreneurs seeking profitability and simplicity.
Company registration is fast, fully digital, and open to non-residents. Its strategic location between Europe and Asia, along with a growing digital economy, makes Bulgaria attractive for tech, logistics, and manufacturing ventures.
Lawhill.bg provides expert assistance with company formation, compliance, and tax registration, helping investors launch and manage businesses in Bulgaria smoothly.
8. Canada – Supportive and Diverse
Canada offers a supportive environment for startups, including access to skilled talent, innovation grants, and trade access to the U.S. and EU.
The government’s Start-up Visa Program and incentives for small business owners make it an appealing option for international founders.
Its multicultural society and transparent business environment make Canada a trusted choice for sustainable business growth.
Comparing the Top Business-Friendly Countries
Here’s a quick comparison of the best countries to start a business in 2025:
| Country | Key Advantages | Corporate Tax | Ideal For |
|---|---|---|---|
| Lithuania | Fast registration, low taxes, EU access | 6–16% | Foreign investors, tech startups |
| Estonia | e-Residency, digital setup | 0% on reinvested profits | Remote founders |
| Singapore | Global trade hub, low tax | 17% | Asian market access |
| UAE | Zero income tax, free zones | 0–9% | Global investors |
| USA | Large market, investor network | 21% (federal) | High-growth start-ups |
| Ireland | Low tax, EU market | 12.5% | Tech & finance firms |
| Bulgaria | Low EU tax rate, fast setup, EU market access | 10% | Cost-conscious entrepreneurs & SMEs |
| Canada | Grants, skilled workforce, stable economy | 15% (federal) + provincial rates | Start-ups & innovative ventures |
Easiest Countries to Start a Business as a Foreigner
For foreign entrepreneurs, ease of registration, remote setup, and legal protection are critical. The following countries stand out as the easiest countries to start a business as a foreigner:
- Lithuania: Foreigners can register a company remotely with full legal support from Lawhill. The process is simple, transparent, and backed by EU law.
- Estonia: The e-Residency program lets anyone create and manage an EU-based company entirely online.
- Singapore: Streamlined registration and open banking systems make it foreign-investor friendly.
- Ireland: Offers an English-speaking environment, EU market access, and a low 12.5% corporate tax rate. Company formation is quick and fully digital, making it attractive for both start-ups and global firms.
These nations remove barriers for non-residents, offering secure, digital-first frameworks for international business management.
How to Choose the Best Country for Your Business
Choosing where to establish your business depends on your goals, market, and resources. To make the best decision:
- Define your long-term objectives: Are you targeting a local or international audience?
- Evaluate the tax and legal systems: Compare not just rates, but compliance costs and transparency.
- Consider digital access: Can you manage your company remotely? Does the country offer e-government services?
- Check market access: Choose a country strategically located near your customer base or major trade routes.
- Seek expert legal advice: Professional guidance helps avoid costly mistakes.
Lawhill’s legal experts can help you assess your options, handle documentation, and establish a compliant company structure in Lithuania or abroad.
By combining global insight with local expertise, you can start and grow your business with confidence – backed by solid legal protection and transparent regulations.
Why Lithuania Deserves Special Attention
Lithuania offers a rare balance of affordability, speed, and EU-level credibility. The country’s digital-first administration and simplified legal system make it one of the most efficient business destinations in Europe.
Start-ups benefit from low corporate taxes, access to the EU single market, and a thriving environment for technology, logistics, and financial services. In fact, companies with an annual turnover below €300,000 qualify for a reduced corporate income tax rate of 6%, and even 0% during their first year if the turnover stays under that threshold. Since most small and medium enterprises meet these criteria, this tax advantage often becomes a welcome surprise for new business owners.
Lawhill plays a crucial role in helping both local and international entrepreneurs succeed in Lithuania. We ensure that foreign investors can start doing business in Lithuania quickly – even remotely – without navigating complex bureaucracy.
Conclusion: Turn Global Opportunity Into Action
Starting a business internationally has never been easier – but choosing the right country is essential.
If you’re searching for the best place to launch your business in 2025, a simple setup option for international founders, or a secure environment to expand, countries like Lithuania, Estonia, Singapore, and the UAE stand out for their world-class business potential.
Build your future with Lawhill – your trusted partner in global company formation and corporate law.
