Nigeria ranked 5th among top 10 countries for startups in 2024

Canada has been ranked the top country for young entrepreneurs, offering the youngest average age of startup founders, the fastest business setup time of just two days, and the highest ease of doing business score of 98. These findings are part of a recent study conducted by Hostinger, which evaluated global startup environments to identify the most entrepreneur-friendly nations.

Portugal and South Africa emerged as notable contenders, standing out for their exceptionally low startup costs. In Portugal, starting a business costs nothing, while in South Africa, it requires only $13, making these countries highly accessible for first-time entrepreneurs.

The study also highlighted Israel as the best place overall for new firms, according to the Country Startup Friendliness Index, which measures a range of factors affecting entrepreneurial success.

Hostinger’s analysis assessed multiple criteria to determine startup friendliness. Key factors included the average age of startup founders, startup costs, the time required to establish a business, the Country Startup Friendliness Index, and the ease of doing business index.

The rankings emphasized the importance of supportive environments for young entrepreneurs, shedding light on the global leaders fostering innovation and economic growth.
Canada

Canada ranks at the top with an overall rating of 100. In addition to having the youngest entrepreneurs, the nation has the fastest business setup time—just 2 days—and the highest ease of doing business index score—98. Canada is the perfect place for young entrepreneurs because of its robust business climate, which provides easy access and affordable startup costs.

Here are the top 10 countries top 10 best startup-friendly countries 2024:

1. Israel

With an overall rating of 99, Israel comes in second place and provides a very encouraging atmosphere for startups, especially those in the innovation and technology industries. Even though starting a firm costs $2,647, Israel is a hotbed for entrepreneurship due to its high startup-friendliness index of 51.5. With company founders on average 25 years old, Israel creates a vibrant startup culture by fusing young vitality with robust business networks.

2. India

India’s overall rating of 94 places them in third place. It claims to have the quickest startup time, taking approximately 1-2 days, however, the startup costs are moderate at $1,036. India is still a desirable market for entrepreneurs because of its rapid startup process and expanding economy, even though its ease of doing business score is lower at 60.

3. Germany

Due to its open business culture, highly educated workforce, and several business hubs like Berlin and Munich, Germany ranks fourth with a composite score of 90. Germany offers a strong starting point for businesses wishing to enter the European market, with a $1,071 startup cost and an ease of doing business index score of 62.

4. Nigeria

Nigeria’s overall rating of 87 places them in fifth place. Although it offers a comparatively low startup cost of $679, its ease of doing business score is lower at 58, and the time needed to launch a business is higher at roughly 8 days. Notwithstanding these obstacles, entrepreneurs have a lot of promise in Nigeria’s expanding startup environment.

5. Portugal

Portugal, which has an overall score of 83 and ranks seventh, is notable for having no startup costs, making it one of the most financially accessible nations for business owners. Additionally, the nation provides a 3-4 days starting process, which appeals to entrepreneurs seeking a helpful atmosphere and a low entry-level financial barrier.

6. United Arab Emirates

The United Arab Emirates has an overall score of 80, placing them in eighth place. The UAE has the highest startup costs at $7,443, even though its ease of doing business rating is high at 91. Although it offers entrepreneurs with worldwide aspirations a dynamic environment, some early-stage founders may find the hefty prices prohibitive.

Read also: Top 10 countries leading in global startups’ acquisitions

7. Netherlands

With an overall rating of 78, the Netherlands takes ninth place. At just $51, it has one of the lowest startup costs and a high ease of doing business index of 90. It is still a desirable and reliable location for businesses, but its slightly older average founder age of 34 puts it lower on the list.

8. South Africa

South Africa, with an overall rating of 17.80, completes the ranking. The ease of doing business rating is comparatively low at 57, even though the startup costs are incredibly low at just $13, among the lowest in the research. In addition, it takes eight days on average to launch a business. Despite these obstacles, young creators can take advantage of opportunities in South Africa’s developing entrepreneurial ecosystem.