Business Opportunities in Malta (for 2019)

    Business Opportunities in Malta (for 2019)

     The Maltese Island is one of the fastest growing economies in the European Union.

    Although on the smaller side, Malta makes up for its size in the abundance of opportunities that are waiting to be discovered.

    For the purpose of this article, we will shed light on some of the business opportunities in Malta that you can start today.

    We will also describe why Malta is a unique island to foster both new businesses and expats looking to move to Malta.

    Malta is bustling with culture and the sought after the Mediterranean lifestyle. The island is home to an exuberant lifestyle and exclusive cuisines that bode well with those looking to venture into a new business.

    It is also in your benefit to begin a business in Malta since the island facilitates trade and freedom of movement within the European Union.

    Find out what are the best business opportunities in Malta for you right here.

    Business Opportunities in Malta

    Top Business Opportunities in Malta (for 2019)

    Malta has gained international recognition as a brand denoting excellence in financial services.

    With attributes based on cost, tax and human resource effectiveness. This provides financial service operators with an EU-compliant, yet flexible domicile.

    Malta has notched up an impressive record in attracting foreign investors.

    It offers exceptional advantages in various sectors for starting a business like:

    Malta has adopted an optimistic approach to business elevation, expansion and standard of living within the EU. This makes the island a favourable destination of choice for relocation for business purposes.

    Malta's strength lies in its:

    • Excellent telecommunications;
    • Strategic location and marketing advantages;
    • Economic and political stability;
    • State of the art transhipment and distribution facilities;
    • Social and economic stability;
    • Highly skilled workforce;
    • Dedicated and competitively priced human resources;
    • A safe, secure and pleasant lifestyle, rich in culture and entertainment;
    • Top business support services; and
    • Corporate tax benefits

    To find out more about your Business opportunities in Malta,

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    Why is Malta better for business?

    Over recent years, Malta has become a lucrative dominion to conduct business affairs. This is because of its strong geographic position and its strong GDP growth amidst a time of global recession.

    Located in the heart of the Mediterranean, with neighbouring lands being

    •  Sicily,
    • North Africa, and
    • Gibraltar.

    Establishing the Maltese archipelago as a doorway to the European, African and Middle Eastern markets.

    Despite being a small island nation, Malta's impact on the broader European sectors is a significant one.

    Its consistent regulatory and professional environment attracts businesses not only from Europe but also from the rest of the world.

    Malta Enterprise is the national development agency committed to promoting and facilitating international investments in Malta.

    Businesses incorporated in Malta uses it as a tax-efficient Mediterranean initiation platform to passport services throughout the EU.

    Malta offers remarkable benefits to individuals and investors who are in search of an attractive yet safe business environment. Consequently, making Business opportunities in Malta grow steadily.

    Related: A Guide To Malta Corporate Tax in 2019

    Holding Company in Malta

    Why set up a Holding Company in Malta?

    Malta as a member of the EU has formulated its Laws as per the European Acquis. This offers protection of the European system to all its settlers.

    Malta holds an upper hand when it comes to the Taxation system.

    It offers a competitive 35% Corporate Tax Rate on the worldwide income to all the Businesses incorporated in Malta.

    Shareholders can claim a refund of six-sevenths of the tax paid by the company to Malta. Thus, making it one of the most favourable jurisdictions for business opportunities.

    Sector-specific tax incentives are also provided by the Business Promotion Regulation for businesses in:

    • Biotechnology,
    • Electronics,
    • Plastics,
    • Pharmaceuticals, and
    • Electrical equipment.

    The incentives include tax rebates which are staggered based on the duration of an operation. Tax rebates start at 5% for the first 7 years and can increase up to 15%.

    All the holding companies’ resident in Malta can benefit from several factors, making Malta an attractive option for Holding Companies.

    Moreover, Malta has a network of over 70 double tax treaties most of which are based on the OECD Model Convention.

     

    Related

     

    Nexia BT can help you in setting up your company in Malta.

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    What is the Minimum Investment to Start a Business in Malta?

    For any new business, the most important thing is the estimation of expenses and revenue.

    The pre-handed calculations help you decide if the business is viable or not.

    Whilst also how quickly the break-even point can be achieved.

    The minimum investment to start a business and stay in business differs for every business.

    It’s advisable to estimate the expenses 20-30% higher rather falling short.

    Unforeseen bills or price increases can quickly add up.

    Below are some common steps to help consider all factors.

    1. The first thing to do is to analyse if you can afford to start a business. It can be done by assessing all of your fixed plus miscellaneous expenses.
    2. After personal expense analysis then the business cost is calculated i.e.  How much it will cost to get your business up and running. It should include several costs like:
      • Fixed costs, like
        • Insurance;
        • Utilities, electricity and the internet;
        • Rent or mortgage payments;
        • Wages/salaries, etc.
      • Variable costs, like
        • Raw ingredients;
        • Production materials;
        • Stock orders, etc.
      • Start-up costs like,
        • Lease or purchase of buildings or land;
        • Permits, licenses or other compliance costs;
        • Equipment and/or machinery;
        • Vehicles, etc.
    3. The next thing is to decide the cash flow for the 1st year of business. It will forecast all the expenses and business income. This will help to predict if further financial support is required or not. Data on the industry type and competitors in that industry can help with income prediction.
    4. A good advisor or an accountant can guide and advise you on how much money is needed to get started.

     

    Related

     

     Nexia BT can advice you at every step in setting up your Business in Malta.

    Contact Us

     

    Best Locations to set up a business in Malta

    Best Locations to set up a business in Malta (for 2019)

    Location plays a major role in any business to be a success. Therefore, it should be selected keeping in mind maximum exposure and a constant footfall. Whilst, local competition can be risky but healthy engagement helps in improvement.

    As already mentioned above, Malta is sitting in a prime location within the Mediterranean, covering some of the largest shipping lanes.

    In recent years sectors like finance, igaming, information technology etc. have experienced an accelerated growth rate. Consequently, making Malta a hub for new business ideas, entrepreneurs, and creativity.

    The whole island is full of opportunities but below mentioned are some of the prime locations for business and commercial property.

    Sliema

    Sliema is a lively seaside town located in the North of Malta. 

    It has many residential areas along with options for good food and entertainment.

    There are many shopping opportunities as well with consistent visitors, making it the hub of tourism.

    Sliema Best Locations to set up a business in Malta

    St Julians Bay

    It would be meaningless to say that the Business Opportunities in Malta without mentioning one of its busiest hotspots.

    St Julians is well-known for its thriving, busy nightlife, and the wealth of opportunities for pleasure.

    Though it is busiest during the summer season, St Julians Bay is also very popular among locals. Throughout the year, making this a brilliant opportunity for a steady, sustainable business.

    St Julians Best Locations to set up a business in Malta 

    San Gwann

    Another notable town to mention is no other than San Gwann. 

    San Gwann fits people who enjoy the bustle of everyday life with the top amenities only a short walk away.

    This location is ideal for those who would like to cut commuting time work to a minimum since it is situated in a highly central part of Malta.

    san gwann Best Locations to set up a business in Malta 

    Mriehel

    Mriehel is an industrial centre bordering with Birkirkara and Fleur de Lys.

    It is located in the central region of Malta and features a Mediterranean climate.

    mriehel Best Locations to set up a business in Malta 

    Qormi

    It is a mesmerizing blend of old and new and is located on the Southern coast of Malta. It has a rich and intricate history with a strong culture and has the largest residential towns.

    Known as the capital of Maltese bread making, the town provides opportunities in abundance for new businesses in this area.

    qormi Best Locations to set up a business in Malta 

    Gzira

    It is almost centrally located and is close to both Valletta, the capital of Malta and the University of Malta. Thus, it yields mainly from the service industry such as hotels, restaurants etc.

    Gzira is still considered to be growing and developing. Therefore a perfect opportunity for a start-up to make their mark.

    gzira Best Locations to set up a business in Malta 

    Hamrun

    It is known to be the commercial hub of Malta with plenty of offices and showrooms.

    Harmun as an area consists of very long roads attracting commercial projects within the region.

    Each area has its own specific set of strong points and interests. With careful research, you can guarantee that you position your company in the ideal location, and where it is most desired.

    hamrun Best Locations to set up a business in Malta

     

    Conclusion

    With the probabilities and possibilities to build your business in almost any sector, Malta has become a hub for business opportunities.

    Malta is a buzzing tourist industry with good connections within the island. The island also invites year-round residents and boasts a tax-efficient system. Making Malta the perfect location to develop and grow your business into something extraordinary.

     

    Why Choose Nexia BT as your advisor?

    Established by Brian Tonna, managing partner, Nexia BT is a corporate and private client advisory, audit, accounting and tax firm. Our clients are local and international blue chip companies, financial and other institutions, SMEs, high-net-worth-individuals, the public sector and high-end organisations.

    As a reputable organisation of over 20 years standing, and forming part of a worldwide network of independent business advisors, consultants, auditors and accounting firms present in over 120 countries, we are optimally positioned to offer global expertise. Along these years, we have built client loyalty around a credible reputation for delivering results whilst working to the highest professional standards.

    Nexia BT’s strength lies in the technically competent staff with experience across a varied range of industry sectors. We deliver solutions to our clients through a high calibre customised service reflected in the professional work approach and ethics of our staff and driven by our ethos ’Closer to you’. With the backing of this business approach, we confidently present you Nexia BT as your trustworthy, dependable and reliable partner in Malta.

    Find out more about your Business opportunities in Malta today.

     Key Contact

    key contact malta holding companies advisor

    Karl Cini

    Partner 
    Tax and International Client Services

    karl.cini@nexiabt.com
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