Investing in Austria
Investing in Austria, immigration to Austria through investment and all kinds of investments in Austria is scientifically reviewed in this paper. What are the different ways of investment in Austria? What is the risk of investing in Austria and the expropriation? Does investment lead to obtaining a residence permit and an Austrian passport? In this article, we will answer these questions and other questions about investing in Austria and obtaining Austrian residency and citizenship through investment, and we will outline the most important related aspects. With the lowest level of risk investing in Austria is one of the best kinds of investments in the world. There are many ways to invest in Austria, some of which do not necessarily require the capital transfer to Austria, but lead to permanent residency. Currently, many wealthy people around the world are willing to invest in world-class countries. Some of them aim to invest to gain permanent residence and eventually passport, and many aim to multiple their capital as well.
If you are looking for a residence permit and a passport through an investment, we offer you an investment in Austria. In this article, we try to provide you with all the information you need about investing in Austria. Malekpour Consulting Agency has over 15 years of experience in the field of immigration and international law, assist you from the beginning to the end of your immigration route. If you need more information, you can contact our immigration expert and receive free telephone counseling.
Investing in Austria and general investment conditions in Austria
Austria is a country in central Europe with its capital Vienna and its currency, the euro. Austria is bordered by Germany, the Czech Republic, Hungary, Slovakia, Switzerland and Liechtenstein. The country has an area of 83879 square kilometers and has a population of nearly 9 million. The official language of Austria is German, but almost half of the population speaks English.
Austria is ranked high in terms of welfare and social status and quality of life. The top cities in the world, based on Mercer’s ranking in 2019, can be seen below. Austria’s capital city of Vienna has been ranked the first for ten years in succession:
- Vienna in Austria
- Zurich in Switzerland
- Vancouver, Canada
- Munich in Germany
- Auckland in New Zealand
- Dusseldorf in Germany
- Frankfurt in Germany
- Copenhagen in Denmark
- Geneva in Switzerland
- Basel in Switzerland
Four main reasons for investing in Austria:
1 The strategic business location of Austria is a great framework for international investors.
2 The geographical location in the heart of Europe, the excellent educational system and quality of life in Austria is a dynamic opportunity for R & D projects.
3 The Austrian labor market and residence is a unique system of Austrian social participation and educational system that meets the needs of a competitive economy.
4 Rich cultural background, the beautiful landscapes and the dynamic and innovative economy creates a high value opportunities to start a business.
Investing in Austria and obtaining a residence by investing in Austria
If you intend to receive residency in Austria, you can apply for investment in Austria. There are different ways of investing in Austria, but all investment methods do not lead to the acquisition of residence and citizenship of the Austria. Be sure to contact the specialist legal consultants at Malekpour Consulting Agency and enjoy the scientific and specialized information because the investment in Austria is costly and you are going to invest the capital you have earned for many years. So be sure to identify the path and beware of frauds.
You will eventually get your Austrian citizenship and passport through investment methods such as residence of wealthy foreigners, entrepreneurship, corporate registration and red-white red. For more details on all of the Austrian investment ways, please follow the article below.
Investing in Austria and Investment Standards
When you, as an external investor, intend to invest in Austria or any other country, you should definitely pay attention to important factors such as investment security, corruption, expropriation, and so on. Because you always have to keep in mind that there may be problems during the process of investment and you have to make sure that your chosen country has a fair judicial system. Malekpour Law Firm, in cooperation with the Austrian MIE company, facilitates the investment procedure in Austria.
Corruption Control:
In the chart below, you can see corruption in Austria in recent years. -2.5 Indicates that there is no control over corruption in countries, and the highest limit of +2.5 is indicative of a large degree of control over administrative corruption in countries. The corruption control rate in Austria is 1. 53.
Expropriation:
You can also see the risk of expropriation in Austria in 4 years. The number 7 represents the highest risk and the number 1 represents the lowest risk. The rate of expropriation of foreign investors’ property in Austria is low.
As explained and as you see in the graphs above, Austria is a safe country for investment. If you are planning to invest in Austria, contact our experts.
Investing in Austria and influential economic indicators
One of the most important economic indicators for investing in Austria and foreign countries is GDP, economic growth, tax rates, bank profits, employment rates, unemployment rates, and so on. After examining all the above, you can conclude that investing in Austria, apart from being safe, will be profitable for you as well.
In this section, we look at the economic growth and tax rates in Austria in recent years:
GDP:
Gross domestic product is one of a variety of economic measures. Gross domestic product measures the value of the goods and services produced by a country over a given period (one year). In the chart below, as you see, GDP in Austria is 2.3 in 2018. Austria, as it seems, has experienced a negative rate of gross domestic product.
Corporate Tax:
The income tax rate that companies must pay in Austria is 25% per annum. That is, if you register a company through an investment in Austria, you have to pay 25% of the company’s annual income as tax to the government. It should be noted that this tax rate has been steady in Austria in recent years. You can see this flowchart below:
Investing in Austria by Real estate investment in Austria
Real estate investing is a way to invest in Austria. By mutual Great Pars agreement between Iran and Austria, Iranians are allowed to purchase real estate in Austria. But you will not be given a residence permit in Austria for the purchase of the real estate. Many investors rent real estate for short-term or long-term. Most long-term rentals in Austria are for three to five years; but you will profit more if you are planning a short-term lease. For example, you can rent your house to tourists who come to Austria for only a few nights. Property prices in Austria vary in different regions. For example, the price of an apartment in the center of the city starts at an estimated cost of 3,300 euros, reaching 7,000 euros. If the property is out of town, then the price is from an average of 2,200 to 4,400 euros.
Investing in Austria through company registration in Austria
Investing in Austria through company registration can be done in a number of ways as mentioned bellow:
- Limited liability company
- LLP Company
- A public-private partnership
- Limited partnership
The most popular type of company registration in Austria is the Limited Liability Company (GMBH). In this way, the minimum required capital is EUR 35,000, which must be paid at least 50% at the time of registration of the company. General information about the company, such as name, company address, shareholders information, amount of capital, shareholder’s share … should be specified from the beginning. This article is protected by copyright laws and any distribution is prohibited by Malekpour Consulting Agency.
Investing in Austria through entrepreneurship in Austria
If you intend to invest in Austria through entrepreneurship, we must inform you that this is possible. You should be able to provide an innovative plan or startup. This design can be a product on the market or an innovative service or even a processing method or a new technology and you need to provide a business plan.
Note that Business Plans play an important role in obtaining residence through entrepreneurship. The initial capital of the company is 50,000 euros. The person who offers the business plan must manage the company and own at least 50% of the company’s shares.
Earning a score of 50 points based on the following criteria for investing in Austria through entrepreneurial plan is sufficient:
Investing in Austria through Employment (Red-White-Red)
One of the ways to invest in Austria and registering a company in Austria is through red-white red residency. In this type of residency, you will not receive residence permit due to registration of a company. Rather as a result of employment in the company. Austria’s red-white-red is one of the most appealing and most favored ways to attain residency in Austria. The initial capital for registration of this method is 35,000 euros, which a person should pay in two installments. 17500 € at the beginning of the company registration and 17500 € at the end of the business, after registration process is done. The cost of registering a company is between three and four thousand euros. We explain this type of investment in Austria in the following section.
Malekpour Consulting Agency Authority registers your company in Austria. Then, if your spouse has at least the minimum required point for employment in that company, we can legally employ your spouse in the company. As stated above, the initial capital to register a company in this method is 35,000 euros, which is lower than many European countries.
It should be noted that this type of investment in Austria leads to a two-year residence, then three years, and after five years you can obtain a permanent residence in Europe and after six years you can apply for the citizenship and Austrian passport. Notice that, you can get permanent residence if you pay insurance and taxes during these five years.
The points for employment in an Austrian company are as follows:
Investing in Austria through Franchise
Another way to invest in Austria is by investing in chain restaurants, or franchise. Investing in Austria through Franchise requires at least EUR 100,000 in capital. You must apply for Austria residency in order to be able to invest in chain restaurants such as Subway, Burger King and McDonald’s and so on with a high profitability. For example, Subway monthly profit is between 5 and 10 thousand euros, which is much higher in McDonald’s. It should be noted, however, that the establishment of the McDonalds Branch also requires more capital.
Investing in Austria through residence of wealthy foreigners
Residence of wealthy foreigners or residence through financial ability is one of the many ways of investing in Austria. If you are planning to obtain a residence permit and ultimately citizenship through this method, you can contact the Malekpour Consulting Agency experts. You just need to show that you have € 22,000 for each family member and also have a monthly income of around 2500-3000 euros.
The remarkable fact about this way of investing is that you do not have permission to work for an employer before you obtain passport. Because you have shown that you are a wealthy person and you can afford the life expenses of your family. But if you want, you can own your business and earn money.
In this type of residence you will first be given a one-year residence, then it will be renewed for another year. After these two years, you can receive a three-year residence. You will receive a permanent Austrian residence after five years and from the sixth year you can apply for a Austrian passport. It should be noted that if you only have a diploma, you will no longer need to have a degree in language. The most important thing about this type of residence is that there are no restrictions and you can apply for this type of residence at any age or at any level of education.
Therefore, the highest level of residence in Austria is considered to be residence of wealthy foreigners. You should bear in mind that this type of residence does not require the transfer of capital to Austria, and applicants just have to show the particular amount inside their account. It is suggested that you choose this type of residence if you have a very good financial situation. Just pay an Austrian lawyer’s fee and file your documents to start the process.
Investing in Austria and its benefits
Investing in Austria has multitude benefits that we will examine below:
- Travel without visa to all Schengen and European countries
- Obtaining Austrian residency for you and your family (spouse and children under the age of 18)
- Monthly support payment for children
- Work permit and study permit in Austria
- Health insurance if you have Austrian residency
- Getting a loan
- High quality of life
- High political stability and credible legal system
- High purchasing power