For the first time, New Zealand topped the World Bank’s Doing Business report in 2017. Here are the top 5 reasons why. New Zealand has been an attraction for tourists, investors and also for students. Many students after completing their studies or during it start their own businesses too these students often also provide in business homework help. If you’re thinking about starting a new business but aren’t sure where to start, here are five reasons why doing business in New Zealand is appealing and, ultimately, the ideal destination in the Asia Pacific area.
A Conducive Economic Climate
In spite of its status as a small nation, New Zealand has established itself as one of the top places to start a business due to its economic stability and potential for growth. The steady GDP growth of 3.3% last year shows that consumer spending has been growing steadily over the past year and shows no signs of slowing down. This makes it an ideal place for you to ride on this wave of economic success.
Furthermore, the New Zealand government appears to be willing and capable of promoting entrepreneurship and industry. It has long provided substantial infrastructure support for such activities, including funding from the New Zealand government for startups, mentoring, and low-cost legal assistance for business owners on how to organise and operate their companies.
Furthermore, New Zealand has a long history of good relations with Asia Pacific countries. Close ties with Australia, for example, have resulted in the Closer Economic Relations Agreement, an Unrestricted Trade Agreement that allows each country free access to the other’s markets. Essentially, this implies that no tariffs will be imposed on exports to and imports from Australia to New Zealand, among other benefits for businesses. If you plan to expand into other markets in the future, this would be perfect. These two characteristics are crucial to consider, especially when planning for your company’s long-term future.
Legal Requirements Are Simple
When it comes to launching a business in New Zealand, there is also no need to be concerned about being slowed down by excessive bureaucracy and regulatory constraints.
Depending on which business form you choose – partnership, limited partnership, corporation, or solo trader – somewhat different regulations may apply to each individual. To be able to operate the firm, you must first register to pay Goods and Services Tax (GST), then register as an employer, and then apply for an Inland Revenue (IRD) number. Nonetheless, the documentation required to start a business can be performed online in a matter of hours and with great ease.
A Startup Community That Cares
When you go headfirst into launching a business, you’ll need all the help you can get. That’s why it’s critical to have access to a community with resources. New Zealand’s startup environment appears to be able to deliver exactly that, with plenty of working spaces and a welcoming, close-knit network of like-minded colleagues. When you need counsel, a listening ear, or just someone to bounce ideas off of, there will be no shortage.
This is just the tip of the iceberg; for more information on the New Zealand startup ecosystem, see our Ultimate Guide to the New Zealand Startup Community.
A Tax System That Is Forgiving
Unfortunately, taxation is an unavoidable part of life. Because of its impact on a company’s income, tax is typically a source of anxiety for small enterprises. A company’s net profit is taxed based on the number of goods and services it sells. This is determined by the type of business you run and the amount of money you earn over the year.
Fortunately, New Zealand’s tax regime is relatively forgiving. Individuals in self-employed or partnership roles are eligible for a 6.7 percent tax discount, as well as a number of rebates for sole traders and partners in partnerships whose yearly income is less than NZD 38,000.
For someone planning to start a business, the subject of work-life balance may seem counterintuitive. After all, if you want to succeed in the sometimes-brutal startup world, you’ll have to work as hard as you can.
However, you might want to think about ways to be more productive in a more meaningful and deliberate approach, and achieving a healthy work-life balance could assist. The natural environment, one’s commitments to their family, and social connectedness, to name a few, can all have an impact on one’s productivity. Your own lifestyle is one thing that sticks out. Maintaining a healthy work-life balance that allows you to set aside time to recover may increase your productivity in the long run, allowing you to work more efficiently and help your ideas take flight.
According to the HSBC Expat Explorer Survey, New Zealand is ranked 6th in the world for Work-Life Balance and first in Asia Pacific. This is unsurprising, given the abundance of leisure activities on the island and enough opportunities to interact with the local community. New Zealand is an excellent location from which to run your business. You can also provide others help to other students who keep wondering, “Who will write my assignment for me?”, and make money off of it.
The Benefits of Owning a Small Business
- Independence. Entrepreneurs are in charge of their own destiny. They are the ones who make the decisions. They get to choose who they do business with and what kind of work they do. They select how long they will work, how much they will be paid, and whether or not they will take holidays. The ability to control one’s own future is enough for many entrepreneurs to outweigh the hazards.
- Monetary gain working for someone else has a lower chance of attaining big financial rewards than entrepreneurship. Being your own boss eliminates the economic constraints that come with working for someone else. Today’s mega-millionaire entrepreneurs, such as Steve Jobs, Elon Musk, Jeff Bezos, and Mark Zuckerberg, inspire many entrepreneurs.
- Control. It allows you to be a part of the entire business activity, from concept to design to creation, from sales to business operations to customer service. Entrepreneurs that are driven by passion and creativity and have a “vision” of what they want to achieve will find this ability to be completely engaged in the business incredibly fulfilling. The business owner may actually develop something with this level of participation.
- Prestige. It gives you the authority to make decisions. The thought of being the boss appeals to some entrepreneurs. However, there is also the status and pride of ownership to consider. When asked, “Who did this?” the entrepreneur can confidently respond, “I did.”
- Equity. It allows a person to accumulate equity that can be preserved, sold, or passed down to the next generation. Entrepreneurs frequently own many firms during the course of their careers. They start a business, manage it for a period, and then sell it to another person. This sale’s proceeds can then be utilized to fund the next enterprise. If they don’t want to sell the company, the goal may be to create something that they can hand on to their children to help secure their financial future. One thing is certain: you must be the owner of a firm in order to completely reap the financial benefits.
• Opportunity. Entrepreneurship provides people with the opportunity to make a difference. The majority of new entrepreneurs contribute to the local economy. A select few make a positive contribution to society as a whole through their innovations.