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Philippines Ranks as the Most Difficult Place to Start a Business – Your take?

You may agree or disagree, but the Philippines is the most challenging country to launch startups this 2024, based on a study that analyzed 52 cities around the world.

Together with Italy and Brazil, the country has formed a trio of the “least favorable” countries for startups, according to Business Name Generator (BNG), an online think tank for business name ideas.

“The Philippines ranks as the most challenging country to launch a startup with legal proceedings for registering a business taking 33 days, high business tax rates (25 percent) and the second lowest quality of life score (85.72),” said the recent BNG research.

However, the country has the second highest projected economic growth rate this 2024 at 5.9 percent, which BNG noted as a “positive sign for future startups.”

Italy was ranked the second most difficult place for startups, with the third lowest projected economic growth rate at just 0.7 percent in 2024, alongside a fairly high business tax rate of 27.8 percent.

Brazil came in third, with the second-highest business tax rate (34 percent) in the entire ranking. There, it takes up to 17 days to complete the legal proceedings for starting a new business.

On the other hand, Hungary was named the “best country” to launch a startup in 2024, with the second lowest corporate tax rate of 9 percent and a low cost of living at $694 per month.

The Netherlands and United Arab Emirates (UAE) ranked next in this honor roll.

The Netherlands has the highest economic output among the top 10 countries, at $51,052 per capita, indicating a stable economy. It also obtained the third-highest happiness score (7.4), and came second for the best quality of life (198.16 out of 240), suggesting there was a positive landscape for employee productivity.

UAE, along with Hungary, has the second lowest corporate tax rate (9 percent) and an estimated 4 percent growth this year.

In analyzing 52 countries, BNG considered metrics that included business tax rates, the average time it takes to legally set up a business, predicted economic growth, the monthly cost of living, WiFi speed, cost of hot-desking as well as the quality of life and happiness scores.

Read more: https://business.inquirer.net/458784/biz-buzz-ph-worst-place-to-launch-a-startup#ixzz8bKWON4AW
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