Where you start a business affects how quickly you can register, how profits are taxed, how easily you can raise money and hire, and whether you can get a visa to live there. The World Bank discontinued its well-known "Doing Business" ranking in 2021 and has since launched a successor, Business Ready (B-READY), which assesses regulation and public services for firms. Drawing on official sources for each country, this guide compares nine of the best countries to start a business in 2026, including the visa route for foreign founders in each.

Singapore

Singapore combines fast online company registration through ACRA, a 17% headline corporate tax rate with partial exemptions for smaller profits and new start-ups, strong legal protections and a position as the gateway to Southeast Asia. Foreign founders usually need an EntrePass or Employment Pass, and a local resident director is required. Costs — especially salaries and office rent — are high.

Estonia

Estonia is the most digital country in Europe. Its e-Residency programme lets non-residents set up and manage an EU company entirely online, although e-Residency is not a visa or residence permit. Estonia taxes company profits only when they are distributed, at 22% from 2025, so reinvested profits are not taxed. Founders who want to live there can apply for the Startup Visa for businesses assessed by the Startup Estonia committee.

United States

The US offers the world's largest consumer market and deepest venture capital pool. Delaware corporations are the standard structure for venture-backed start-ups because of their well-developed corporate law. The federal corporate tax rate is 21%, plus state taxes. The main obstacle for foreign founders is immigration: there is no dedicated start-up visa, so founders use routes such as the E-2 treaty investor visa (for eligible nationalities), O-1 visa for extraordinary ability, or L-1 transfers from an existing foreign company.

United Kingdom

Registering a company with Companies House takes minutes online and costs £50. London is Europe's biggest start-up hub, with deep investor networks, and the Seed Enterprise Investment Scheme (SEIS) and Enterprise Investment Scheme (EIS) offer investors generous tax relief. Corporation tax is 25% on profits above £250,000, with a 19% small profits rate. Foreign founders can use the Innovator Founder visa, which requires endorsement by an approved body, or the Global Talent visa.

United Arab Emirates

Dubai and Abu Dhabi offer 100% foreign ownership, a large number of free zones, fast setup and no personal income tax. Corporate tax is 9% on profits above AED 375,000, and qualifying free zone income can be taxed at 0%, according to the Federal Tax Authority. Setting up a company usually brings residence visas for the owner, and the Golden Visa is available for qualifying entrepreneurs. Costs of licences, visas and office space add up.

Germany

Germany gives access to Europe's largest economy, a highly skilled workforce and a strong industrial base, especially valuable for hardware, climate tech and deep tech start-ups. Berlin and Munich are the main hubs. Setting up a GmbH requires €25,000 share capital (half payable at incorporation) and a notary, while the UG is a lower-capital alternative. Corporate tax plus trade tax is roughly 30%. Non-EU founders can apply for a self-employment residence permit, and the Opportunity Card lets qualified people come to look for work or start projects. See Make it in Germany.

Canada

Canada offers access to North American markets, a multicultural talent pool and generous research and development tax credits through the SR&ED programme. Its Start-up Visa programme stopped accepting most new applications in 2026 after large backlogs built up, and the government has said a new entrepreneur pilot is planned, according to IRCC. Until then, many foreign founders use work permits or Express Entry.

Sweden

Stockholm has produced an unusually large number of billion-dollar tech companies for its size, including Spotify, Klarna and Skype, helped by a strong engineering culture, early digital adoption and a social safety net that reduces personal risk. Corporate tax is 20.6%. Non-EU founders can apply for a self-employment residence permit, which requires a viable business plan and sufficient funds.

New Zealand

New Zealand has one of the simplest company registration processes in the world through the Companies Office, low corruption and strong property rights. Corporate tax is 28%. Its small domestic market means many founders target Australia and the US from the start. Investor and entrepreneur visas require significant capital.

Other countries worth considering

  • Ireland: English-speaking EU member with a 12.5% corporate tax rate on trading income for most smaller companies and a large tech sector in Dublin.
  • The Netherlands: strong logistics, English-speaking workforce and an innovation box regime that taxes qualifying IP profits at a reduced rate.
  • Portugal: lower costs, a growing Lisbon start-up scene and a Tech Visa programme for qualifying companies to hire foreign talent.
  • Georgia: very low costs and simple small-business tax status for freelancers and micro-businesses.

Common mistakes foreign founders make

  • Choosing a country for tax rates alone, then struggling to hire, bank or sell there.
  • Underestimating ongoing compliance: annual accounts, audits in some countries, VAT returns and payroll taxes.
  • Mixing personal and company finances, which creates tax problems in most jurisdictions.
  • Forming a company in one country while living in another, which can create a "permanent establishment" and tax the company where you actually work.
  • Relying on residence-by-investment or start-up visa routes that can change or close with little notice.

How to choose

  • Market: build where your first customers are, or where you can reach them easily.
  • Funding: the US, UK and Singapore have the deepest venture capital markets; elsewhere, government grants and angel networks matter more.
  • Talent: check hiring costs, labour law and how easily you can sponsor foreign employees.
  • Tax: headline rates matter less than incentives such as R&D credits, start-up exemptions and investor reliefs.
  • Visa: make sure you can legally live and work in the country as a founder; some routes, like Canada's Start-up Visa, can close suddenly.
  • Banking: opening business bank accounts can be slow for non-residents; digital banks and payment providers can help.

Company formation is only the first step. Talk to a local accountant or lawyer about ongoing compliance, payroll, VAT and annual filings before you choose a country, and use our tax calculator to compare personal tax on the salary or dividends you plan to pay yourself.