Starting a Business |
a guide to starting a business in Tenerife

So you want to start a business in Tenerife? I don't blame you! There are many profitable businesses in Tenerife from Bars, Restaurants, Printing Companies, Estate Agents and many many more.

Most people come to Tenerife to start a business with little or no experience in what they are hoping to do.

A coach driver and his wife was a nurse came out to start a bar and now run one of the busiest bars in Las Americas - so it just goes to prove that you don't necessarily need to have experience to run a successful business.

Hard work, detemination, endless rows with your spouse and good legal advice to start with are a few of the main ingredients you'll need

Other useful points that can work in your favour are:

• Most of the Tenerife Businesses - Bars - restaurants etc enjoy a good 12 months trading per year.
• There are good Tax and other incentive benefits for business gowth.
• There is flexibity and choice of Module Tax for Bars & Restaurants.
• Accountancy charges are reasonable compared to the UK.
• The lifestyle - (isn't that what you came here for?) - is safe and secure for business people.
• Good effective policing ensures the crime rate stays low in Tenerife.
• Predominantly a cash driven society therefore there is little credit expected or given and therefore fewer credit liabilities.

Tenerife has grown rapidly over the past 20 years into a first class international destination catering for all nationalities and has created in its path a wealth of business opportunities.

The excellent climate and relaxed and safe pace of life here ensures that running any kind of business can be both rewarding and satisfying - if you get it right from the start.

Seven Deadly Sins - and how to avoid them.

• Read on - There will be failures, but read on to ensure you aren't one of them.
• Don't be naive - Do Not commit to anything before thoroughly researching your venture.
• Budget and Planning -make a business plan you'd have to do one in the UK so why not here - try to work out your total costs to run your business and then find what your sales 'break-even' point is to survive - is it reachable - is it surpassable?
• Legal - It is not worth skimping or trying to save a few pounds by not getting everything you need legally including opening licenses etc - its not worth it, you'll pay heavily in the end if you don't.
• Professionals - Use a qualified Gestor/Accountant and let them guide you through the ins and outs of buiness law in Tenerife.
• Don't Run Out - Ensure that you have enough working capital to both run the business and survive personally until the business is self supporting- if you haven't don't chance it on increasing sales.
• Service with a Smile - it will take time to build up a reputation but remember the public are your bread and butter and service with a smile will ensure repeat business through word of mouth.

Contact us in the first instance for a full guide to Buying a Business in Tenerife if you are thinking of setting up a business on the island.

Visit our Property Search to see a selection of the businesses that we can offer for sale both freehold and leasehold.