Do you want to invest in an EU country, but one that is more affordable and with a growing economy?
Below are 5 reasons why you should choose Romania for this project!
The rising real estate market
Property prices in Romania are currently very good, compared to other European countries.
They are also on the rise, which is a great thing for investors. Therefore, if you get involved in the field early, the investment will grow quickly and will bring you a lot of money in the future. Also, rentals are a good source of passive income and you can diversify your investment portfolio very effectively.
And if you don’t want to live in Romania after buying a property, you can hire someone to take care of the assets for you. It can be a real estate agent or a special company that deals with property management.
It is easy to set up a Romanian company
Opening a Romanian company is quite easy and can be done remotely, with the help of a lawyer. There are two things that a lawyer can’t take care of on your behalf, after the establishment of the company: opening a bank account and the notarized power of attorney for the accountant.
When opening a bank account for your company, you will have to come to the bank in person, given the EU regulations against money laundering and terrorism. In other words, the lawyer cannot sign the papers at the bank for you. If you found a consultant who offers to do this, be aware that they will have to provide a power of attorney from abroad and they will then have signatory rights on the account, which you probably don’t want.
Regarding the book-keeping, it is mandatory to have an accountant in Romania for your company. He will need to receive a special power of attorney from you. This can be obtained in person in Romania, at a notary office with an English interpreter, or abroad – but, in that case, the document must be apostilled and translated, which usually takes more time and money.
We at R&R Partners are lawyers, so we do not do book-keeping ourselves, but we can recommend you a very good accountant to work with.
The Romanian tax system
Another important reason why you should invest in Romania is the local tax system. When it comes to taxes, Romania is almost a tax haven.
At this moment, if you have at least one employee in your company (this can even be yourself), the annual corporate tax is just 1% on company turnover. This makes Romania very attractive for those who want to do business on the European market, but also pay low taxes for their company.
The local workforce
Access to quality labor force is another reason to choose Romania for your investment. As you probably know, the national wages are lower than in most European countries.
This is not necessarily good news for the locals. But, on the other hand, it is an advantage for entrepreneurs who want to hire people here. Moreover, the cost of living is lower anyway, being therefore coordinated with the income level.
Romania is also known for its great universities, especially in the IT and engineering field. So with a Romanian company, you will have access to highly qualified personnel.
Easy access to the rest of Europe
Romania is a European country and EU member since 2007 and this offers many advantages. If you open a Romanian company, it will be considered an EU entity, with all the advantages that result from that.
Easy access to the rest of the EU does not only come in the business area, but also travel. In just a few hours, you can fly to any corner of Europe, but also certain parts of Asia or Africa.
Also, at the time when we are writing this, we expect to become part of the Schengen area soon, which will be another great opportunity.
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