The Ultimate Guide to Launching Your Startup in Europe

Thinking of ditching the 9-to-5 and launching your dream startup abroad? Europe might be your best bet, but choosing the right country is key. A new ranking by William Russell reveals the top destinations where expat entrepreneurs are most likely to thrive in 2025, based on data as of May 15, 2025.

How the Ranking Was Determined

The analysis scored 10 European countries across six equally weighted metrics: startup density, one-year survival rates, venture capital investment, coworking infrastructure, workforce participation, and billionaire founder count. Each country received a score from 0 to 10, averaged to calculate the final "expat entrepreneur score." Data sources included the World Bank, OECD, Dealroom, Coworker, and the Forbes Rich List.

The Top 10 Countries for Expat Entrepreneurs

10. Belgium

Expat Entrepreneur Score: 5.97/10

Belgium performs well on survival (93.8%) and offers decent VC funding (£182.7 million), but low workforce participation (45.38%) and hiring complexity pose challenges. Its central location provides easy access to international markets.

9. Luxembourg

Expat Entrepreneur Score: 6.08/10

Luxembourg leads in coworking spaces per capita (10.5 per 100,000 people), ideal for remote teams. However, VC funding is modest at £15.75 million. Its strategic location and multilingual workforce support flexibility.

8. Estonia

Expat Entrepreneur Score: 6.08/10

Estonia excels with the highest business density in Europe (24.32 per 1,000 people), driven by its e-Residency program and digital infrastructure. It enables entirely online business operations.

7. Iceland

Expat Entrepreneur Score: 6.13/10

Iceland has a high startup creation rate (12.07 per 1,000 workers) but the lowest survival rate among the top 10 at 73.5%, likely due to its size and isolation.

6. Norway

Expat Entrepreneur Score: 6.29/10

Norway offers a stable workforce and strong digital connectivity, with public funding offsetting modest VC investment (£41.25 million). It's appealing for family-oriented expats.

5. Cyprus

Expat Entrepreneur Score: 6.77/10

Cyprus has high business density (12.79) and a good survival rate (87.8%), but low VC makes it better for bootstrapped or remote teams. Residency incentives and lifestyle are key draws.

4. Switzerland

Expat Entrepreneur Score: 7.37/10

Switzerland boasts strong VC investment and access to capital, with high living costs and regulatory challenges. It's reliable for high-end ventures despite an 82% survival rate.

3. The Netherlands

Expat Entrepreneur Score: 7.47/10

The Netherlands combines high workforce participation (57.7%), robust survival rate (95.7%), and excellent infrastructure. Amsterdam is a hub for talent and investment.

2. Sweden

Expat Entrepreneur Score: 8.01/10

Sweden has the highest survival rate at 97.1%, supported by government grants, tax breaks, and a strong innovation system. Home to giants like Klarna and Spotify, it reduces personal risk for founders.

1. United Kingdom

Expat Entrepreneur Score: 8.66/10

The UK leads with massive VC funding (£3.15 billion), high startup density (18.62 per 1,000 workers), and a solid survival rate (89.2%). It excels across all metrics, making it the top choice for expat entrepreneurs.

Key Insights from William Russell

William Cooper, Marketing Director at William Russell, emphasized that success depends on planning for hiring and understanding local markets. Countries like the UK and Sweden offer comprehensive support, while others like Cyprus require reliance on foreign investment.