- Novara Capital Group
Atari Founder Nolan Bushnell, Why Global Digital Companies are Setting Up Here?
Atari Founder Nolan Bushnell…
Why Global Digital Companies are placing their International Offices here?
You’d be forgiven for thinking every Tech Company with a global potential sets up in Silicon Valley, after all it is a hotbed for innovative and disruptive technologies!
Since 2010, Novara Capital Group has advocated the Canary Islands as the perfect location to position European and international, operations. Today, companies are utilizing the Canaries for global trade and expansion, so much so in June 2015 Novara Capital Group relocated the R&D operation of a Silicon Valley company to Santa Cruz de Tenerife.
By coincidence, a few months later, Atari Founder, Nolan Bushnell, spoke at a conference on the Spanish Islands stating “If I were to set up a Tech Company now, I would choose the Canaries over Silicon Valley”!
Shared below are the 5 key reasons why online, digital, and tech companies have chosen the Canary Islands as their preferred location, becoming home to international companies for their back offices, customer contact support, and commercial expansion operations.
The Canary Islands is part of Spain meaning they benefit from the European Union’s political and legal framework. Spain’s economy is the 5thlargest in the EU and 14thglobally, providing Investors and Entrepreneurs with confidence when growing a company.
Access to talent
The Canary Islands has two internationally recognised universities, a large young European educated workforce with many people speaking in both Castellano Spanish & English.
Not many people know the Canary Islands actually have the lowest onshore corporate tax rate in Europe, just 4% for qualifying companies. Due to the extensive Tax Treaty network Spain has with other nations, repatriated dividends to other onshore jurisdictions are free from Withholding Tax. VAT, when invoicing within the Canaries, is just 7%, in many cases no VAT is applied when invoicing internationally.
Located approximately 1000 miles south of Southern Spain the Canaries have always been a logistical place of importance. They are the place where Christopher Columbus set sail to discover the New World, and in 2005 President Bill Clinton announced them as a Tri-Continental Platform connecting the Americas, Europe & Africa. With more than 400 weekly flights to the UK, and hundreds of weekly flights to other European Cities, it’s easy to see why they’re a Key European Investment Hub.
As you might imagine from the logistical position, the Canaries are blessed with year round spring weather. Known to the Romans as the “Fortunate Islands” since the 70’s tourism figures have risen to 13 million per year. The modern cosmopolitan culture in the Canaries consists of Al Fresco dining, outdoor sports and activities, additionally the cost of living and employment is considerably lower than mainland Europe, some estimations state 35-40% lower. This leads to a generally happier, more efficient and productive workforce.
Novara Capital Group is an international tax & capital investment consulting firm. We specialise in Corporate Structuring, European Union Tax Incentives, IP Positioning, and Transactions / M&A. We provide intelligent corporate structures, advice, and an integrated service which cross delivers in businesses. We advise companies globally to accelerate international growth, optimise net profits, and enhance equity value leveraging Intellectual Property and Licences. Our in-house experts specialise in International Tax Law, Company Law & Cross Border Jurisdiction, Investment & Asset Management, Mergers & Acquisitions, and Operational Management.
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