Most trusted place to setup company in Europe?

[JohnnyDoe]

This reply might explain why someone with so much money on hand is here on OCT looking for alternative answers, as they mentioned themselves.

It's refreshing to see someone challenge the status quo. While many successful entrepreneurs struggle with mindset issues and cognitive biases that hold them back, OP is smart and took the intelligent step of questioning the advice he received from those he believed are “the best”. Hopefully he will avoid the DIY trap and stay open to learning, he is already on a promising path towards personal growth.

 

[maxmoney]

I honestly thought that people with so much money and businesses of that size would stick to other channels to stay updated and verify the advice of their highly paid advisors.

 

[benq]

As a business owner with a company in Poland seeking a new strategy, even while working with a top-tier advisor like Deloitte for tax and corporate strategies, I believe in the value of seeking a second opinion.

Platforms like OffshoreCorpTalk.com provide unique perspectives from a diverse community of professionals, entrepreneurs, and experts who share practical, real-world insights. These forums allow me to explore alternative strategies, validate advice, and even discover niche solutions that might not be available through traditional channels.

It’s not about questioning the quality of advice from trusted advisors but about ensuring that every angle is covered. By leveraging the experience of others, I can compare strategies, gain community validation, and explore creative approaches, all while being cost efficient and maintaining confidentiality.

This kind of input is invaluable in today’s fast evolving business environment, where staying ahead means considering every possibility.

How much I spend on lawyers and tax advisors, between 50K - 100K euro.

 

[jesuschrist]

Or you can keep the holding company in Poland and try to move the operation to Bulgaria (10%) or Hungary (9%)?
If you are okay with more risks you can try to reduce the tax even more in Estonia or Malta.

 

[Don]

You should use Big Four when you want to make a statement with your auditor or external consultants. It's prestigious only because it shows how much money you could afford to waste. If you're a licensed bank and need to show the central bank or other regulator that your books are in good order, you should use Big Four. Not because it's automatically better, but because people who don't know better think it is.

By the way, several banks credit risk models factor in which kind of auditor you use. In other words you can get better credit conditions if you use BIG4 auditor.
Not that it actually makes sense, but this is how it is.

 

[bountymounty]

How much I spend on lawyers and tax advisors, between 50K - 100K euro.

what!

What Luxembourg, Lichtenstein and Switzerland were one of my first stops if I had the money you have. forming a company costing 10 or 15K is nothing compared what you paid Deliotte.

 

[EliasIT]

I agree with Switzerland, it’s where I’ve chosen to establish my AG, which operates as a holding company. I use Switzerland as a sort of prestige brand, and it works very well in the countries I operate in.

 

[Forester]

Why are you against Deloitte? They have a massive, global tax department that can advise on the strategic placement of companies and how to utilize tax loopholes most effectively.

In my experience, there is no level of advice or type of connections Deloitte can provide that someone cheaper and/or someone more specialized can't do.

You should use Big Four when you want to make a statement with your auditor or external consultants. It's prestigious only because it shows how much money you could afford to waste. If you're a licensed bank and need to show the central bank or other regulator that your books are in good order, you should use Big Four. Not because it's automatically better, but because people who don't know better think it is.

There are good people working at Deloitte and the other Big Four. However, the best ones are ex-Big Four, who have gone on to do other things after building skills and network at Big Four for 5—10+ years.

When you work with companies like Deloitte, they are usually so careful and risk adverse that you can easily miss out on opportunities simply by being overly cautious. This can mean loss of revenue opportunity or simply spending too much money on something that goes above and beyond what's necessary to be compliant.

For those and a few other reasons, I rarely suggest someone go with Big Four. But if your risk appetite is zero or you need to impress someone, they might be the perfect choice.

I completely agree with @Sols. I could not phrase it better.
Perhaps one additional point – general, not relevant for this particular case:
One advantage of Big Four companies is that they are able to offer a really complex service, from accounting via tax, legal to management consulting and much else. So if you are a Big Corp (very often with just a mediocre products/services ) and it seems efficient for you to have one big global partner for any professional services (also very often just mediocre), a Big Four member is the right way to go.

By the way, several banks credit risk models factor in which kind of auditor you use. In other words you can get better credit conditions if you use BIG4 auditor.
Not that it actually makes sense, but this is how it is.

True. Yet especially these banks I would rather do not use; and not only because of this – we talk about rigid structures not driven by the common sense (e.g. SoGe or probably HSBC being examples, I guess).

Or you can keep the holding company in Poland and try to move the operation to Bulgaria (10%) or Hungary (9%)?

Well, unfortunately, I understand perhaps anyone wanting to move his larger-scale business activity out of Poland. If you understand Polish, look e.g. here https://ksiazka.wprost.pl/polowanie. (In general, the business environment there is too unpredictable, politely said.)


Have a nice Sunday, wherever you are

 

[JohnnyDoe]

One advantage of Big Four companies is that they are able to offer a really complex service, from accounting via tax, legal to management consulting and much else.

Yes they are a one stop shop for a wide range of mediocre overpriced service. Eg the most efficient way to waste money.
I would start instead with hiring a good independent lean management advisor.

 

[SCHLOSSFINANZ]

Germany, effective DTA with Poland and nobody really nobody counts them as tax evasion lol

 

[Marzio]

I agree with Switzerland, it’s where I’ve chosen to establish my AG, which operates as a holding company.

Swiss holding is problematic unless you are a Swiss resident.

Sure there's perceived prestige that comes with Swiss AG but also comes with 35% WHT on dividends for non residents and if you want to distribute dividends tax free you have to put another company into the mix.

 

[PhantomOf ThePits]

Swiss holding is problematic unless you are a Swiss resident.

Sure there's perceived prestige that comes with Swiss AG but also comes with 35% WHT on dividends for non residents and if you want to distribute dividends tax free you have to put another company into the mix.

Yes Liechtenstein Holding AG better option for that part as no WithHoldingTax.

Here's a good comparison between CH and Liechtenstein:
https://www.ftrust.ch/news/switzerl...rland has a,paid to non-resident shareholders.

I'm not affiliated or anything with them, just good overview (if posting not allowed please delete).

 

[EliasIT]

Swiss holding is problematic unless you are a Swiss resident.

Sure there's perceived prestige that comes with Swiss AG but also comes with 35% WHT on dividends for non residents and if you want to distribute dividends tax free you have to put another company into the mix.

Explain, because they removed the holding company privileges in 2020 and you have to run it as a regular trading ? as I said many times before, for me has this been the best move ever. And if you have to do business with any one in one or another way, people say "Switzerland okay" no one is looking down to you or ask questions why or how, nor do you get refused by the banks.

 

[EliasIT]

Yes Liechtenstein Holding AG better option for that part as no WithHoldingTax.

Here's a good comparison between CH and Liechtenstein:
https://www.ftrust.ch/news/switzerland-vs-liechtenstein#:~:text=Withholding Tax - Switzerland has a,paid to non-resident shareholders.

I'm not affiliated or anything with them, just good overview (if posting not allowed please delete).

very good, in that case Lichtenstein makes sense for non resident people. It could also be possible to register a Lichtenstein Holding which then register a Switzerland trading AG, so you would be able to distribute profits.

 

[Marzio]

Explain, because they removed the holding company privileges in 2020 and you have to run it as a regular trading ?

This has nothing to do with company holding status.

If you are the non resident shareholder of a Swiss company you'll find that, depending on your tax residency, when you distribute dividends to yourself Switzerland will withhold from 5% (in the best cases) to 35% (in worst cases) on those dividends.

To avoid that scenario you have to setup another company in a treaty country to lower WHT on dividends to 0% and from what i heard they will not accept a company with a simple nominee director or a company that act merely as portfolio holding.

So they make it easy to bring money into Switzerland but hard to take money out without getting a piece of the pie.

As I said, Swiss holding is only good as long as you are a Swiss tax resident (which you are if i'm not mistaken) because that 35% WHT on dividends gets automatically refunded when you declare your taxes.

 

[EliasIT]

This has nothing to do with company holding status.

If you are the non resident shareholder of a Swiss company you'll find that, depending on your tax residency, when you distribute dividends to yourself Switzerland will withhold from 5% (in the best cases) to 35% (in worst cases) on those dividends.

To avoid that scenario you have to setup another company in a treaty country to lower WHT on dividends to 0% and from what i heard they will not accept a company with a simple nominee director or a company that act merely as portfolio holding.

So they make it easy to bring money into Switzerland but hard to take money out without getting a piece of the pie.

As I said, Swiss holding is only good as long as you are a Swiss tax resident (which you are if i'm not mistaken) because that 35% WHT on dividends gets automatically refunded when you declare your taxes.

What you’re saying makes so much sense. I hadn’t really considered the detail you mentioned, whether someone lives in Switzerland or not.

So for OP it would make more sense to follow the advise of Lichtenstein!

 

[Don]

What you’re saying makes so much sense. I hadn’t really considered the detail you mentioned, whether someone lives in Switzerland or not.

So for OP it would make more sense to follow the advise of Lichtenstein!

It can be a great choice if you can obtain residence, but they only issue around 100 permits per year.
Otherwise, you will rely on hiring someone locally as director, which can be complicated. Building substance in Lichtenstein might not be as easy (nor cheaper) as in some other countries.

 

[EliasIT]

It can be a great choice if you can obtain residence, but they only issue around 100 permits per year.

You mean Lichtenstein right ? Because in Switzerland there is no problems at all.

But why would he want to be resident in Lichtenstein, it was not what he initially said as I understood it.

 

[Don]

You mean Lichtenstein right ? Because in Switzerland there is no problems at all.

But why would he want to be resident in Lichtenstein, it was not what he initially said as I understood it.

Because Lichtenstein requires a minimum of 1 local resident board member.

 

[Forester]

Otherwise, you will rely on hiring someone locally as director, which can be complicated. Building substance in Lichtenstein might not be as easy (nor cheaper) as in some other countries.

Certainly; yet I guessed that for @benq (OP) it would not be a problem, in his situation....