Why EU Passport Holders Should Set Up Businesses in Georgia

Georgia is fast becoming one of the most attractive destinations for EU citizens looking to establish or expand their businesses outside the European Union. With its strategic location, business-friendly policies, and favourable economic environment, the country offers a range of advantages that make it a top choice for entrepreneurs and investors from Europe.

Visa-Free Entry and Easy Residency Options

One of the greatest advantages for EU passport holders is Georgia’s liberal visa policy. EU citizens can enter Georgia visa-free and stay for up to one year, which allows entrepreneurs ample time to explore business opportunities, network, and start operations without the pressure of visa restrictions. In addition, Georgia offers straightforward processes for obtaining temporary or permanent residency for those seeking to establish a long-term business presence in the country. Georgia Business and Residential Law assists EU citizens in obtaining legal residency in Georgia, providing expert guidance throughout the relocation process.

Simplified and Low-Cost Business Registration

Georgia ranks as one of the easiest countries in the world to start a business. For EU citizens, the process of registering a business can be completed in as little as one day with minimal paperwork and at a low cost. The country has streamlined its bureaucracy, allowing foreign entrepreneurs to quickly and efficiently register their business, acquire necessary permits, and open bank accounts, making the whole process hassle-free.

Low Taxes and Incentives

Georgia offers a highly competitive tax regime, which is particularly beneficial for EU entrepreneurs. The corporate tax rate is only 15%, and there is no corporate tax on reinvested profits, encouraging growth and reinvestment into the business. Additionally, the VAT rate is 18%, but certain industries benefit from exemptions or reduced rates. These tax advantages, combined with Georgia’s free trade agreements, make the country a highly cost-effective base for EU companies looking to operate in and beyond the region. At Georgia Business and Residential Law, our expertise in the Georgian tax system allows us to guide you and your company in maximizing the opportunities it offers.

Access to Key Markets

For EU passport holders, setting up a business in Georgia opens doors to a wide range of markets. The country has free trade agreements with the European Union, Russia, and many CIS countries, allowing businesses in Georgia to benefit from preferential trade terms with over 1 billion potential customers. EU-based companies can use Georgia as a strategic hub to expand into markets in Eastern Europe, Central Asia, and the Middle East, taking full advantage of Georgia’s position as a trade gateway between East and West.

Business-Friendly Environment and Infrastructure

Georgia has created a pro-business environment with minimal bureaucracy and a commitment to supporting entrepreneurs. The government has implemented numerous reforms to reduce red tape, protect investors, and provide legal transparency, making it easier for EU citizens to navigate the business landscape. The country also boasts a well-developed infrastructure, including modern transport networks, growing digital connectivity, and competitive utility costs, all of which support efficient business operations.

Affordable Operational Costs

Setting up and running a business in Georgia comes with significantly lower operational costs compared to many EU countries. The cost of labour, office space, and utilities is much more affordable, allowing EU entrepreneurs to maintain lower overheads while still accessing skilled professionals and a growing market. This cost-efficiency provides a strong foundation for sustainable business growth and profitability.

Stable Economic Environment

Georgia has emerged as one of the most stable and rapidly growing economies in the region. It enjoys political stability, sound economic policies, and robust legal frameworks that protect foreign investors. EU passport holders can feel secure in knowing that Georgia provides a stable environment for conducting business.

Quality of Life and Cultural Appeal

Beyond business, Georgia offers an excellent quality of life for EU citizens. With a low cost of living, vibrant culture, rich history, and stunning natural landscapes, it’s an attractive place to live and work. The country is known for its hospitality, safety, and welcoming environment, making it a desirable location for European entrepreneurs looking to build their businesses while enjoying a high standard of living.