You couldn’t choose a better location for living your life and operating your business than Costa Rica. It is the most stable democracy in Latin America and has earned its place as the only Latin country listed among the top twenty-two democracies of the world.
If that were not enough, Costa Rica is also considered to be one of the “greenest” countries, boasting the highest percentage of land relegated to protected areas of any country in the world.
Quality of Life.
Quality of life considerations are integral to finding the right spot for your business because quality of life is a vital consideration for employees you may need to recruit and as everybody knows, any business is only as good as its employees.
- Costa Rica has an educated workforce and high literacy rates.
- Costa Rica boasts internationally respected business resources and legal services.
Recruiting talent to relocate is supported by the quality of life offered by Costa Rica.
- The year round tropical climate is ideal for recreation and fitness.
- Costa Rica has won the “Happiest Country in the World” title two years running.
It is easy to see the value of locating your business in Costa Rica. Perhaps, the biggest attraction for establishing your business in Costa Rica is the fact that they are ranked 97th in the world with only US$10,900 per capita annual income, making the labour market most attractive.
Location, location, location.
The question as always is one of location, location, location. Not only must you find the right spot to satisfy the logistical requirements of customer and supplier access, you also must find the right spot according to Costa Rica’s zoning and planning codes.
“The good news is that these codes are much less
restrictive than those of the United States.”
If your business requires international cargo shipping, you will probably want to focus your search for your business location in and around the port town of Caldera, which has become the primary seaport since nearby Puntarenas has been relegated to berthing cruise ships.
Business owners interested in locating in a seafront environment will likely have to rent or lease property due to the 50-meter rule, which allocates the first 50 meters above the mean high tide line as public beach, thus beach access may not be impeded.
Maritime Zone.
Then the next 150 meters back from the 50 meter line is a government owned maritime zone. As a foreigner, you must first establish a five year residency in order to own greater than 49 per cent of the rights to a lease. There can be exceptions to this and a Costa Rican attorney should be consulted for how you may proceed.
Business costs.
While median incomes and labour costs are quite low in Costa Rica, taxes are even lower. You can expect to pay annually from 0.5 to 1.5 per cent of a property’s declared value in property taxes. Declared property values in Costa Rica are nearly always lower than the sales price. Closing costs, on the other hand, are typically at 5 to 6 per cent of the sales price and borne equally by the seller and buyer.
Costa Rican businesses welcomed the change from local currency to U.S. dollars, avoiding devaluation and fluctuation fears with the local colónes. This change benefits the flourishing tourism and agricultural export industries in Costa Rica.
To get started finding the right spot for your business in Costa Rica, it is suggested that you plan a comfortable vacation and fact finding trip to perform your due diligence on one of the most inviting and pleasurable places on Earth.
Coldwell Banker Tamarindo Realty is a real estate company in Costa Rica. They aim to help people in finding the right property for their needs and budget.