Malta as a business destination
Malta is known for its high-class tourism and it might be pretty surprising to hear about Malta being touted as a destination for starting a business. However, the country offers a lot in terms of business environment to foreign investors. The economy has recently been diversified, changing Malta from a primarily agricultural economy to a more diversified economy. The industries in which the country has invested heavily in recent years include pharmaceuticals, IT&C, finance, aviation, technology, shipping, and of course, tourism! The country also has developed its gaming industry, making it one of the best in the world.
Advantages of investing in Malta
Malta offers many opportunities for starting a business due to its great business environment and thriving economy. The country has also developed its infrastructure giving businesses a boost. Another big advantage of investing in the country is that it offers one of the cheapest skilledworkforce in Europe. Foreign companies also receive benefits in terms of not having to pay high taxes and are only liable to register for value added tax.
Foreigners in Malta
Foreign companies are happy starting a business in Malta due to its taxation system, which offers perks to both local and foreign companies for bringing in business. With the lowest tax rates in Europe, Malta is indeed a tax haven for foreigners. Other advantages offered by the country include a high and stable credit rating. Malta is also a member of the European Union and hence, is subject to their laws, making the country more reliable. Doing business in Malta also does not require licensing, making it easier for companies to cut the red tape. Other than a few industries such as finance and medical, most industries are not highly regulated.
Investment programs in Malta
The Maltese government has come up with different programmes for promoting the country as an attractive investment destination. Many of these programmes were aimed at small start-ups to help them starting a business in Malta. These include:
- Micro Invest Incentive – This scheme offers a tax credit that takes in a percentage of expenditure incurred by a new start-up company.
- Strengthening Market Entry and Internationalisation – This scheme provides financing to businesses that take part in international trade fairs, giving them opportunities to establish contacts and exploiting opportunities.
- Venture Capital Malta – Another scheme that helps with funding of businesses with equity capital.
- Business Development Scheme – This programme is for large projects contributing to the development of the country.
- Business Advisory Services – This scheme offers free business advice to those setting up business in the country, irrespective of the stage in which their project is.
- Citizenship by Investment – This programme allows foreigners to invest in Malta and apply for Maltese citizenship on the basis of their investments. The process is completed within 12 months.
All these programmes listed above are aimed at foreign investors who bring in investment to the country and get these perks in return.