Georgia vs Luxembourg for International Entrepreneurs

Luxembourg is a fund and holding centre, not a place solo founders go to reduce their own tax bill.

Georgia compared with Luxembourg
Factor	Georgia	Luxembourg
Headline tax position	Qualifying Individual Entrepreneurs may access Small Business Status and a 1% rate on qualifying turnover, subject to eligibility.	Progressive income tax up to around 42% plus surcharges and social security; corporate structures are well used but costly.
Residency	Long visa-free stays for many nationalities, plus work, investment and other residence permit routes.	EU freedom of movement, or work-based permits.
Business setup	Individual Entrepreneur registration is comparatively quick and inexpensive.	Structures are sophisticated and expensive to maintain.
Banking	Georgian banks can serve non-residents, but approval is never guaranteed and depends on the applicant.	Institutional-grade banking.
Cost of living	Generally low compared with Western Europe, the Gulf and North America.	Very high, particularly housing.
Property	Rental market moves quickly; foreign buyers may purchase most residential property.	Among the most expensive property markets in Europe.
Lifestyle	Tbilisi, Batumi and Kutaisi offer a growing international community, mountains and Black Sea coast.	Multilingual, safe, small, very international.

Georgia's edge

Where Georgia is stronger

★Huge tax savings — 1% on qualifying turnover vs Luxembourg rates above 40% plus surcharges
★Setup and maintenance costs a tiny fraction of Luxembourg structures
★No need for expensive advisers to stay compliant
★Housing you can actually afford

Georgia suits: Operating founders taxed on their own income.

Where Luxembourg is stronger

— Leading fund and holding jurisdiction
— Institutional banking
— Central EU position

It suits: Groups needing holding and fund structures at scale.

See If Georgia Works for You

Could Georgia work for your business?

Answer a short set of questions and receive a preliminary assessment of your position, an illustrative tax comparison and the setup steps that would apply to you.

Check If You Qualify for 1% Tax Book a Consultation

Preliminary assessment only. Final eligibility is subject to professional review.