Investment in Czech Republic
Foreign investment in Czech Republic
The Government of the Czech Republic together with the Agency of Investment and Business Development, has announced plans to speed up the procedure for issuing work permits and long-term visas to foreigners – non-EU members. Thus the authorities intend to encourage foreign investment in the country’s economy.
Recently, business activity and foreign investment in Czech Republic has increased remarkably. The number of active entrepreneurs in the country is among the leaders of other countries in Europe.
The proposed government program is for foreigners who plan to find a job in the Czech companies operating in the fields of manufacturing, information technology, etc.
Expedited processing of work permits and long-term visas (and registration permit in the future) will allow foreigners to move freely within the Schengen countries , do business in the EU, and possibly – to acquire the status of a citizen subsequently from the Czech Republic or other European countries .
Few unknown facts about foreign investment in Czech Republic
Foreign direct investment alias FDI has evolved to be an important and interesting topic. It is strongly related to both global and domestic economies. If you wish to make a lucrative foreign investment in the Czech Republic, here are few points to lend you a hand of help. FDI flows in a very interesting manner. One should understand this flow to get things working the right way.
The Thin Line
In the collection of Visegrad nations (Poland, Czech Republic, Slovakia and Hungary), Czech Republic has an upper hand. It is filled with a rich workforce and great language skills. However, all these facilities are offered at an affordable price. Czech Republic is considered as the favourite destination of most business men due to its stable political ambience and wonderful business climate.
Foreign investment in Czech Republic would remain incomplete without incentives. These incentives are granted to both existing and newly established companies.
Some manufacturing organisations are delighted with complete or partial income tax benefits for a decade. These incentives are meant to help them create new opportunities and fine tune existing job specifications.
Benefits of FDI in Czech Republic
So, what does a foreign investment incentive in Czech Republic represent?
1) You will be allowed to transfer equipped regions at a favourable rate.
2) Plenty of financial assistance would be given to fuel the creation of new job opportunities.
3) Plenty of financial support would be offered for training personnel and re-training!
4) If you wish to transfer land or realty properties, special attention and rates will be given. These rates and policies are controlled by legal regulations and transfer contracts.
5) Exquisite tax allowance policies for a decade (or less)! Thus, you can save yourself from paying hefty taxes!
However, foreign investment incentives don’t come for free. You should satisfy many conditions and regulations for discreet returns. In order to enjoy amazing incentives, you should belong to a processing industry or high tech division. At least fifty percent of your production line should be related to the cost of machinery. Secondly, the launch should be an extension of a current production or a brand new production unit. Business owners who focus on modernisation would receive a fair amount of investment incentives. Meanwhile, the investment should not be less than CZK 100 million. Also, the proposed line of business should adhere with all Czech legislative requirements.