The 10 least complex jurisdictions for doing business in 2025
Companies considering cross-border expansion are often intimidated by the myriad of complexities they need to overcome. From regulatory uncertainty and compliance risks to hidden costs and financial unpredictability, growing your business internationally can feel overwhelming. It’s therefore essential to have information you can trust.
Our Global Business Complexity Index (GBCI) and its corresponding report explore the key factors impacting the complexity of business environments each year. The report provides an in-depth analysis and ranking of 79 of the world’s most prominent markets.
But which jurisdictions rank as this year’s least complex for doing business? Let’s find out.
Our GBCI ranking aims to provide a clear understanding of the challenges and opportunities that companies are likely to find in their chosen jurisdictions. The markets below are some of the simplest in the world for cross-border expansion, but there are still certain challenges to overcome. Navigating these hurdles successfully, particularly in these 10 jurisdictions, presents businesses with immense opportunities for growth.
The 10 least complex jurisdictions
70. Czech Republic
The Czech Republic moves from 69th to 70th in this year’s GBCI. Over the last twelve months, the jurisdiction has seen efforts to simplify elements of the HRP sector, including adjustments to tax legislation and clearer guidelines on home office arrangements.
Despite these positive changes, and its overall low-complexity, challenges persist, particularly in complying with stringent anti-money laundering and counter-terrorism protocols imposed by banks. These occasionally require physical presence for account setups, adding to operational complexities.
Labour market trends highlight a competitive environment with low unemployment and high employee turnover. The demand for IT professionals remains significantly higher than supply, intensifying recruitment challenges. Additionally, demographic shifts and the influx of skilled workers from Ukraine and mid-Asia due to the Czech Republic’s strategic location are also noteworthy. However, this is off-set by the trend of Czech nationals relocating to other jurisdiction for opportunities.
There are upcoming elections anticipated in approximately one year, with a potential change in government expected in 1.5 years. More populist parties are currently leading the polls as favourites, which suggests potential changes in the political landscape beyond this year. In addition to EU legislation, which uniformly affects member countries, the Czech Republic remains aligned with the broader EU direction. Therefore, the complexity of operating in the Czech Republic is very low.
71. Curacao
Curacao moves from 78th to 71st in this year’s rankings. While the jurisdiction still boasts a generally stable business environment, recent developments have introduced specific complexities, particularly in HRP.
Curacao's HRP complexities come from strict regulations, comparable to those found in the Netherlands. This means more involved processes for activities such as hiring, firing, and managing sick leave. For instance, employee termination requires following strict legal steps and long notice periods. The last twelve months have seen a minimal direct impact on businesses from legislative clarifications, including those regarding substance requirements and the introduction of the Ultimate Global Owner (UGO) register, which aligns with international standards.
Recent regulatory changes like UGO and Anti-money laundering (AML) have enhanced transparency measures in Curacao, bringing the jurisdiction more in line with international standards. While initially requiring more detailed compliance from businesses, these updates ultimately make the jurisdiction more attractive to multinationals without adding further complexity, since these measures are standard in other jurisdictions in which they operate.
We are seeing that Curaçao is becoming a less attractive jurisdiction. This shift is largely due to international developments, making it increasingly challenging for clients to establish tax-driven structures. As a result, creating extensive structures or developing substantial subsets in Curaçao is necessary. However, there is a noticeable decline in interest in choosing Curaçao for such purposes. This trend reflects a broader decline in the market, affecting not only Curaçao but the financial sector as a whole.
72. British Virgin Islands
The British Virgin Islands (BVI) ranks at 72 in GBCI 2025. BVI continues to benefit from regulatory alignment with international standards, providing a stable environment for multinational entities.
The main challenges for international businesses operating in the jurisdiction arise from the complexity of their business structures. While simple operations are straightforward, more intricate structures, especially those involving trusts, necessitate detailed scrutiny, prolonging the intake process and potentially causing client frustration due to delays. Effective expectation management is essential.
Recent legislative changes have also added complexity. From 1st January last year, all companies must submit annual returns via a registered agent, increasing due diligence but adding compliance burdens. Additionally, recent mandates include the private filing of registers of members and beneficial owners, required later in 2025.
Despite these adjustments, BVI remains preferred for its structured compliance system and quick turnaround times, facilitated by its online registry system.
The most challenging aspect are the frequent legislative changes. Each time we believe we have achieved compliance, the regulations evolve. This constant shift is necessary because we compete with other jurisdictions globally, with an obligation to perform on par with international standards. To succeed in this competitive environment, alignment with standards set by organisations such as the OECD is essential. Therefore, the BVI continually adapts and modifies its legislation to meet these external requirements, resulting in regular updates almost every year.
73. Jamaica
Jamaica has seen its ranking improve slightly this year, moving from 70 to 73 for 2025. The country remains one of the simpler jurisdictions globally for GEM, a key strength bolstered by a consistent regulatory framework and stable political environment. While A&T in the region has historically been considered relatively complex, 2024 has seen positive steps towards simplification. All registered companies are now capable of filing taxes online, significantly reducing complexity and enhancing compliance.
Jamaica is also strategically positioning itself as a logistics hub, connecting the Panama Canal, the Caribbean, and South America. This move aims to leverage the country’s geographic advantages to boost economic growth. However, there are challenges in managing supply chain risks through diversification and stockpiling essential materials. The country faces ongoing issues with the migration of skilled workers, particularly in the construction industry, prompting the recruitment of foreign labour to fill gaps.
Jamaica has also been progressive in adopting remote work policies. Legislative measures supporting flexible working hours and remote work have been instrumental in maintaining productivity and reducing workplace complexity. The overall business environment has seen improvements through digitalisation and strategic economic positioning, though challenges in the labour market and supply chain management require ongoing attention.
Jamaica’s objective is to establish ourselves as a central hub, connecting the Panama Canal, the Caribbean, and South America. Recently, there have been significant developments at Kingston Harbour, which is recognised as the seventh-largest natural harbour globally. The ongoing dredging and deepening efforts are aimed at accommodating larger vessels, enhancing their ability to dock at our ports, and facilitating smoother transitions to subsequent destinations.
74. Netherlands
The Netherlands remains one of the least complex jurisdictions for business operations, maintaining its position in the bottom 10 and matching the same ranking from 2024. This stability is primarily due to its client-friendly approach to laws, regulations, and processes, despite some growing difficulties in specific service lines.
GEM services have become more challenging, due mainly to increased regulatory requirements related to anti-money laundering and counter-terrorism financing measures, complicating directorship and domiciliation services. However, A&T services remain relatively straightforward, benefitting from the standardised IFRS framework.
In the HRP sector, unique local tax regulations contribute to its complexity, making it the country’s most challenging service line. Despite this, the country’s new government, though still in the early stages of tenure, appears more business-minded with intentions to attract international businesses - an alignment with the nation’s tradition of bilateral investment treaties (BITs) that protect international investments.
Labour market trends show a more stable employer's market, with flexible hybrid working models becoming the norm post-Covid. This flexibility in employment and the attractive legal framework continue to draw multinational investments, particularly in the Dutch holding companies, supported by the country’s mature and extensive infrastructure.
Stability and certainty are important to many companies, which is something that the Netherlands can offer. The country is an attractive option for foreign investment and increasingly, UK and US private equity investment firms want to acquire an asset in the Netherlands.
75. Jersey
Jersey places 75th in this year’s rankings, shifting from 72nd in 2024. However, challenges are ongoing, largely due to the EU and non-EU regulatory landscape and shifts in international financial regulations. The recent visit from MONEYVAL, the Committee of Experts on the Evaluation of ANTI-Money Laundering Measure and the Financing of Terrorism, has meant increased scrutiny and regulatory actions which, while intended to strengthen the jurisdiction, have added further complexity for businesses. Efforts by the Jersey Financial Services Commission (JFSC) and Jersey Finance Association to improve collaborative efforts with the industry are commendable, yet the path forward remains convoluted. Increased regulatory scrutiny has particular impact on local business operations and poses questions about the rationale for using Jersey as a base.
Opportunities exist, particularly in the Mainland of China, while the historic US corridor faces potential changes due to shifts in US trade policies. European relations remain vital but are complicated by evolving regulations. The high cost of living, housing crisis, and attrition rates (of around 20%) continue to pressure local businesses. Larger firms benefit from broader resource pools and regional delivery centres, which are facilities or locations used by firms to deliver and manage services, helping to mitigate some of the pressures faced by local businesses. Remote work has also alleviated some pressures by broadening the resource pool, albeit constraints remain due to aforementioned pressures. As such, Jersey continues to wrestle with maintaining its attractiveness amid regulatory and macroeconomic challenges, striving to balance compliance and operational viability.
Scrutiny on local businesses regarding their operational structures and use of the jurisdiction is intensifying, with regulators questioning clients with no direct ties to Jersey using this location. Global perceptions of International Financial Centres like Jersey being tax havens and changes due to BEPS taxation are driving these concerns. Additionally, Labour's intent to align capital gains tax with income tax rates in the UK also adds complexity.
76. Hong Kong, SAR
Hong Kong, SAR retains 76th position in the GBCI for 2025. The region offers a stable and favourable business environment, characterised by a straightforward and low tax regime that appeals to international businesses. The simplicity in the country’s tax system remains a strong point, making it one of the least complex jurisdictions for A&T. The regime is stable with minimal changes, meaning predictability for businesses. Noteworthy is the new regulation allowing offshore companies to re-domicile in Hong Kong, SAR, which, despite adding a level of complexity, still benefits from the low tax rates.
The labour market in Hong Kong, SAR is dynamic, with low unemployment rates and a sufficient talent pool. However, there is an observable trend of local talent emigrating, balanced by an influx of professionals from China’s Mainland. There is also increased demand for technological skillsets, including AI and digital transformation expertise. Hong Kong, SAR offers flexibility in working conditions, but unlike the Mainland of China, the need for extensive remote working is less pronounced due to shorter commutes and less spacious living conditions. Many employees prefer working from the office for greater efficiency.
The geopolitical landscape, particularly the trade tensions between the US and the Mainland of China, affects Hong Kong, SAR’s position as an intermediary in global trade. The complexity of trade routes and interest rate also has an impact due to the currency link to the US dollar.
When comparing payroll operations across various jurisdictions, such as Japan, China’s Mainland, and Australia, Hong Kong SAR stands out for its ease and simplicity, particularly for employers. The business environment here is conducive for new ventures, as establishing a corporate entity is straightforward, and local employment laws are easy to navigate. Additionally, the lack of social security contributions further simplifies payroll, with only a minimal Mandatory Provident Fund (MPF) contribution required from employers. These factors collectively contribute to Hong Kong’s appeal as a simple location for businesses.
77. New Zealand
New Zealand places 77th in GBCI 2025, maintaining its reputation as a straightforward place for business operations. This is largely due to the government's proactive approach in welcoming foreign investments and streamlined administrative processes. While the ease of company registration and payroll setup remains unchanged from last year, the high cost of living continues to be a significant barrier, affecting operational costs and expansion efforts.
The focus remains on supporting SMEs, as they continue to dominate the market. Multinational companies (MNCs) see minimal policy changes, reflecting a focus on domestic rather than international interests. While New Zealand has sophisticated and efficient third-party logistics (3PL) solutions available for supply chain management, it still lags behind other jurisdictions in overall technological advancements. Trade reliance, especially in dairy and forestry, underscores the need for stable agreements to mitigate supply chain risks.
Meanwhile, the labour market has shifted, making it harder for job seekers to find employment, contrasting with last year's challenges in talent attraction amidst high wage demands. Flexible working remains common, but there is a move towards increasing on-site work to boost productivity. Upcoming legislation to attract wealthy investors may slightly impact the business landscape, but significant reforms are not expected.
Upcoming legislation will ease investment visa requirements, enabling individuals to invest $10-$15 million in managed funds or businesses. By maintaining these investments for four years, investors can secure a visa to live in New Zealand. This legislative change is part of the government's strategy to attract wealthy individuals to migrate to New Zealand.
78. Denmark
Denmark, ranks at 78th in GBCI 2025, down from 77th in 2024, and remains committed to a streamlined business environment characterised by stable laws, regulations, and economic conditions. A focus on digitisation continues to facilitate business setup and reporting, reducing both time and complexity. Moreover, significant investments in AI and technology further support the ease of doing business.
Challenges persist in opening bank accounts due to stringent regulations and Know Your Customer (KYC) requirements, though improvements have been noted in this process over recent years. Denmark continues to deregulate locally to off-set the added complexity from EU regulations, enhancing its appeal for foreign investments.
The labour market in Denmark is experiencing shifts post-Covid, with a slight increase in ease of finding staff. Remote working remains prevalent, though companies are recalibrating towards more balanced home-office hybrid models.
Compared to 2024, the primary focus remains on maintaining a seamless digital environment and stable conditions for business operations. The political and social landscape has remained steady, with efforts directed at legislative simplification. Looking forward, Denmark's proactive approach towards innovation and efficiency in operations positions it favourably in the global market.
Denmark is known for its political and economic stability, making it an attractive location for business operations. The country is also recognised as one of the leading nations in digitalisation, with significant efforts underway to streamline business processes and attract foreign investment. Furthermore, both government and private sectors are actively investing substantially in artificial intelligence and technology initiatives, further enhancing Denmark’s position in the technology sector.
79. The Cayman Islands
The Cayman Islands continues to rank as our least complex jurisdiction, securing the bottom position in the GBCI for another year. This stable ranking is attributed to the maturity of its financial systems, stable political environment, and high levels of digitalisation.
The jurisdiction's focus on financial services and tourism has streamlined operations, particularly through a tax-neutral status and well-developed digital infrastructure, enabling efficient remote operations. However, challenges remain, particularly in compliance understanding and the skills gap in regulatory and compliance expertise.
There have been minor regulatory updates, such as changes in beneficial ownership regulations, but these did not significantly affect operational complexity. Meanwhile, international trade remains primarily influenced by the US, and labour market challenges persist due to a tight, experienced workforce and difficulties in retaining both local and expatriate talent.
The Cayman Islands has a highly developed financial system and a mature environment, both politically and economically. In the finance sector, our islands are perhaps the most familiar to the United States from a Caribbean perspective. This distinction arises from the Cayman Islands' strategic focus over the years on key industries, particularly finance and tourism.
The Global Business Complexity Index 2025
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This article is an extract from the latest edition of the Global Business Complexity Index. Download the report in full here - GBCI 2025: Sink or swim – charting successful business growth in an increasingly uncertain world.
