Denmark is one of the world’s most beautiful countries. Not many countries have such a rich history as Denmark does. It was a Viking Kingdom for many years before it became a Danish State in 1849. The landscape is incredible and can be breathtaking even if you do not live there. There is such a wide variety of native wildlife including countless bird species, all of which can be seen in their natural habitat. The people themselves are very friendly and welcoming and, as many have discovered, their food is incredibly delicious. In summer, the sun is always shining brightly and it never rains so the days are very pleasant. If you visit Denmark in the summertime, you will not want to leave. There are many ‘must-see’ places to visit including Copenhagen, one of the world’s most beautiful cities. Unfortunately, like most countries, Denmark has climate change on its side. The winters are getting longer and shorter respectively. As a result, not many people enjoy their outdoor activities as much as they used to. It is predicted that by the year 2100, over 9 out of 10 Danes will live in suburbs and commute to work. Who knows – maybe even you! Since working remotely is becoming more and more common, it could be the perfect opportunity for you to discover the charm of Danish society. You might even decide that you want to make the country your new home. Who knows, maybe you have already had an idea. In any case, let’s explore the possibilities of establishing a corporate presence in Denmark.
The Benefits Of Doing Business In Denmark
In this section, we will highlight some of the many benefits of doing business in Denmark rather than another country. We will cover everything from the economy to the business environment along with some invaluable info on taxes and legalities that you need to know before setting up shop in the Danish capital. Let’s get started.
Denmark is classified as a ‘developed country’. This means that, generally, things work quite well for the economy as a whole. Foreign trade, investment, and entrepreneurship are all thriving industries. There is a large consumer market and a lot of job opportunities for business people and entrepreneurs. In fact, since 2010, Denmark has had one of the world’s highest employment rates holding a population of just under five million people. The service sector dominates the economy with the financial, professional, and business services industry providing numerous job opportunities. One of the main reasons for this is that IT and technology play a crucial role within all industries and sectors. From small to large businesses, most sectors have adopted digital transformation in one way or another and there are many job opportunities in emerging sectors such as Blockchain and CryptoCurrency which are booming in popularity. It is, therefore, a lucrative place to invest as there will be a lot of demand for your services. Some of the biggest companies in the world are based in Denmark such as Microsoft, Google, and Facebook.
Dell Computers is also one of the world’s biggest PC manufacturers, mainly because it is such a valuable brand name in Denmark. For years, users have experienced trouble with their computers so much that they have had to send them in for repairs. That is why many companies choose to establish offices in Denmark because they know that their products will get a warm welcome. It is not just about the economy either, as we will discuss in the next section.
Danish infrastructure is first-class and, generally, things work well for the country. This is mainly due to a lot of investment from the state and the private sector meaning that, overall, there is a lot of money around to develop and improve buildings, roads, and transport. In the past, many sectors have benefited from EU funds so much that they have been able to invest heavily in new buildings and facilities for their workers. This has led to a lot of modern and luxurious apartments and offices springing up around Copenhagen. If you are looking for high-quality living, you can have a look at what Copenhagen has to offer. The housing market is thriving with property prices rising year after year. It would not be a bad idea to invest in real estate in Denmark as prices are predicted to keep rising in the next few years.
Danish business owners and managers should feel empowered and encouraged to do business abroad. Due to EU membership, Denmark’s economy is open to the world meaning that there is plenty of opportunity to establish a business overseas. It is a common misconception that all entrepreneurs and business people will struggle to find success abroad. In actual fact, the opposite is true. There is so much opportunity and, as a result, many multinational and global companies have established themselves in Denmark and continue to operate successfully from there. It is often said that the English language is widely spoken in Denmark and people have an inclination to do business with those they can understand. If you are looking to set up a business in Denmark, you should look no further as conditions are very favorable with a lot of support from the government and private sector. There is a lot of English speaking competition so you will need to work hard to stand out from the crowd. In any case, the business environment in Denmark is very receptive to new ideas and entrepreneurs will have an easy time settling into their new ventures.
Danish taxes are among the highest in the world meaning that money is readily available to fund the lavish lifestyles of the country’s citizens. Income tax is at 49% and capital gains tax is at 23% with a top income tax rate of 75% and a top rate of capital gains of 50%. The good thing is that, as a new business owner or manager, you will not have to worry about paying taxes as you will not yet have any income. In fact, the only tax you will need to worry about is value-added tax which is charged at 20% on all goods and services. Overall, taxes in Denmark are not as high as you might think. The good thing is that, as a newcomer, you will not need to worry about payroll tax either as you will be under the payroll protection umbrella.
As mentioned, Denmark is a very welcoming country and the people are quite open to new ideas and innovation. If you decide to set up shop there, it will be a great opportunity to establish yourself as a leading company in your industry. Not only will you get to benefit from the country’s considerable economic output but you will also get to engage with a truly dynamic, innovative, and forward-thinking society.