El Salvador is a country with great opportunities for entrepreneurship in various sectors. There is potential for agriculture, manufacturing, tourism, and enterprise technology. The government of El Salvador supports the development of renewable energy to reduce dependence on oil. The country’s IT sector is also growing raping, offering a wide range of services to clients from all over the world.
El Salvador is a country with a population of over 6.5 million, located between North and South America. This makes it an attractive market for businesses looking to expand their customer base. The country has a GDP of $25.8 billion and a per capita income of $4,273 per year. These figures indicate the country’s growing economy and increasing consumer demand.
El Salvador is a country with a favorable business environment. It has one of the freest economies in Latin America, which means that the government does not interfere with businesses. In addition, the country uses the US dollar as its national currency, which ensures macroeconomic stability. El Salvador is also the first country to use Bitcoin as a legal tender, which opens up new business opportunities.
El Salvador is an open country for foreign business. Foreign companies can own businesses, merge, take over, and form joint ventures without any restrictions. In addition, El Salvador is party to several free trade agreements that provide duty-free access to 1.2 billion consumers in the Americas.
Companies that manufacture and export goods in El Salvador have the opportunity to begin operations in one of the country’s free trade zones (FTZs). Seventeen such areas are operating throughout the country. They provide various tax incentives available to businesses located in these FTZs. These incentives include:
- income tax exemption;
- exemption from municipal tax;
- duty-free importation of machinery, equipment, intermediary goods, and raw materials used in the production process;
- VAT exemption;
- exemption from real estate transfer taxes if the land is intended for use in production activities.
Businesses in El Salvador’s free economic zones can sell goods and services both for export and on the domestic market. Goods and services sold on the domestic market are subject to normal tax rules.
The ease of company registration and incorporation, as well as El Salvador’s attractive legal and regulatory framework, have long been factors contributing to the growth of business opportunities in the country.