How to start a small business in Kazakhstan and why is it profitable?
In recent years, more and more people are thinking about starting their own business. All because small business in Kazakhstan is actively developing and gaining momentum. And the labor market in the country continues to be unstable. Most people are no longer confident in the future and that no one will fire them. Therefore, they decide that there is no point in waiting for something to depend on someone else’s decision. They begin to search for business ideas in Kazakhstan. Naturally, the new Bill Gates are not all, but most are quite strong enough to feed themselves and their country.
Why NOT start your business in Kazakhstan
One of the first thoughts of beginning entrepreneurs is «And where do you start your business in Kazakhstan?». The first step is to carefully study the human needs and the component of the markets to date, namely what services or goods are most in demand. This way it will be possible to find promising directions for launching your business.
Naturally, you need certain initial investments to start a business. But novice inexperienced entrepreneurs should not try to get money in the bank. As practice shows it is better to start with a small and simple. Gradually it will be possible to increase turnover.
If you get a large amount of money from a bank immediately, the novice businessman simply will not know what to do with it and spend without it. And the debt on the loan will remain. It is better to start a business and try to earn something. And when it does, you can use borrowed funds for expansion.
How to start your business in Kazakhstan
How to start a business in Kazakhstan? The answer is simple thought-out and step-by-step planning of each step. Many when drafting a business plan refer to organizations that provide this kind of services. But you can work out the idea in detail and think over its launch yourself.
You only need to take into account the personal characteristics of the chosen niche, your own strengths and other moments. The standard structure of the business plan consists of the following:
• Description of the project;
• analysis of the situation on the market and the main competitors;
• Definition of marketing strategy;
• calculation of financial expenses and probable risks.
Also at one of the first stages, you should choose the registration form. For small businesses will be enough IP or LLC. To do this, you need to collect the required documents and choose the appropriate form of taxation and reporting.
The main reasons why it is worth doing business in Kazakhstan
The main reasons why it is worth starting a business in Kazakhstan include:
1. Ease of registration as an entrepreneur or organization.
2. A lot of respected banks.
3. There are no Western sanctions.
4. Gentle tax system.
5. The system of «e-government».
6. Possibilities of refinancing.
7. Work in the Customs Union.
Simplicity of registration as an entrepreneur or organization
Register your own business in Kazakhstan in just a couple of days. According to the latest innovations in the process of registering medium and small businesses, you can not pay a state fee, and the amount of the authorized capital of small businesses is zero. All that is required from the documents is ID card and TIN number.
Lots of respected banks
In Kazakhstan there are many large international banks. This makes it possible to open accounts in tenge, rubles or currency. This simplifies settlement with counterparties. In addition, you can open accounts outside the country. For example, in Russia or Belarus.
No Western sanctions
Unlike some countries, Western sanctions do not apply to Kazakhstan. This applies not only to goods from abroad, but also to the sphere of lending. Getting a loan for business development is easier than, for example, in Russia.
Gentle tax system
Taxes are also more profitable than in the Russian Federation. For example, the value added tax here is only 12%, and in Russia 18%. The property tax is not more than 1.5%, in the Russian Federation 2.2. And so on for each item of tax.
The system of «e-government»
«Electronic government» is very developed in Kazakhstan. This allows you to significantly reduce the paper bureaucracy and without any queues to obtain the required documents and licenses.
Refinancing in Kazakhstan is made at a rate of only 5%. In the Russian Federation this indicator is about 14%.
Work in the Customs Union
The Customs Union opens up additional opportunities for entrepreneurs. You can import equipment and goods without strong control. And the very geographical location of the country (between Russia and China) opens up enormous opportunities, and in tandem with customs agreements they become almost limitless.
Before you list some of the profitable business lines worth mentioning about such a direction as a business franchise. This is when an entrepreneur buys or rents the right to use another’s business model and on its basis launches his own profitable business. The franchise for Kazakhstan is especially advantageous for beginners. You can earn a lot of money and gain the necessary experience.
The most promising areas include:
1. Services. This includes various shops, snack bars, cafes, pharmacies, snack bars at gas stations and so on.
2. Pawnshops. Such a business has always been in good demand. And now the urgency of it has grown even more.
3. Rental. Now there is an increase in this direction. You can rent expensive clothes, jewelry, cars and stuff. In fact, you can take anything. In this case, the emphasis is on what is expensive and what a person would not dare to buy himself. But you can hire it for the evening without any problems.
4. Automobile workshops, stations of service station, tire service, car wash. While there are cars, these directions will always be in demand.
5. Summer services. Here we mean the cultivation of seedlings of garden trees, strawberries, beekeeping, etc. in this spirit.
Finding the right direction is not difficult. The main thing is to choose exactly what you like. If the soul lies, then any business can become profitable.