There are multiple benefits for US companies doing business in Costa Rica. The country offers to foreign investors a politically stable environment, closeness to major cities in the world, and an international reputation that precedes it in education, tourism, technological, manufacturing and service matters. Plus, businesses have a number of options when expanding into the country.
These attributes undoubtedly generate a powerhouse for US companies doing business in Costa Rica.
In this article, we outline 5 reasons why US companies should be doing business in Costa Rica.
1. Educational system strengthened as a competitive advantage
Costa Rica has one of the strongest educational systems in the region. A free and compulsory system guarantees access to basic education for the entire population. This allows all people to have better academic preparation and to become a skilled workforce for several areas of job development.
Costa Rican students also have access to technical studies and diplomas from the best educational institutions. Some examples are the National Institute of Apprenticeship, the Technical Universities and Higher Study Centers. In these institutions, Costa Ricans can become professionals and qualified labour for the various industries. This is why the strengthened Educational System of Costa Rica is a competitive advantage for US companies doing business in Costa Rica.
2. Excellent geographic location and excellent connectivity
The excellent geographical location of Costa Rica translates into a competitive advantage for US companies doing business in Costa Rica. This is due to the number of flights that connect San José and Liberia with the most important cities in the world on short and direct flights.
In addition, Costa Rica is a land bridge that unites Central America, South America and North America. Moreover, Costa Rica has access to both Pacific and Caribbean sides, where it has first-class ports that help provide logistics solutions and international maritime connectivity.
Furthermore, Costa Rica also has very stable internet connections and communications. Additionally, a high competitive level that has allowed multinational information technology companies to establish their operations in the country.
3. Attractive incentives for companies doing business in Costa Rica
In Costa Rica, foreign companies can choose to be part of the free zone regimes that will allow them to get more out of their investments due to the associated incentives. You can find ‘industrial parks’ under the free zone regime. There you can expand your business or choose the free zone regime outside these industrial parks. Investors can also choose a rural area where they could provide development and where investment amounts can be much smaller.
4. Strong reputation for quality
Costa Rica is renowned for attracting foreign investments and can undoubtedly benefit US companies doing business in Costa Rica. The name of Costa Rica attracts the attention not only of foreign companies but also of a large number of potential customers who consider American products of good quality.
Costa Rica is often associated with sustainable development and friendly environmental policies. It is also associated with clean energy and that is why it is impregnated with the concept of “social responsibility” that companies doing business in Costa Rica can contribute.
5. One last stop to expand
There are more than 200 multinational companies doing business in Costa Rica. According to the Presidency of the Republic in 2019, more than 16,000 jobs were generated by multinational companies.
According to the Costa Rican embassy in Washington, the following are the reasons to invest in Costa Rica:
- There are more than 200 multinational companies operating in Costa Rica
- The country has a young, talented, and bilingual workforce
- 95% of multinational companies’ employees are local
- Costa Rica is a platform of preferential access to 1/3 of the world population, and 2/3 of global GDP. 90% of goods are exported through Free Trade Agreements
- The country has an excellent business climate based on a recognized tradition of democracy, economic and political stability
- Solid infrastructure: 93% of the energy is renewable
- The quality of life in Costa Rica is high. It is the safest country in Latin America and one of the 5 countries with the best environmental performance worldwide
- The country does not impose limitations on transfers of capital funds associated with an investment, regardless of the currency
- No restrictions apply to the reinvestment or repatriation of profits, royalties or capital
- There is no requirement to register investments with any of the government authorities
- Costa Rica has achieved international standards for the protection of intellectual property rights.
Get expert support as a US company doing business in Costa Rica
Take advantage of the benefits offered to US companies doing business in Costa Rica. Follow the advice of local experts when expanding into this Central American country. At Biz Latin Hub, our team of local and expert professionals works alongside foreign companies in Latin America to ensure that they expand, incorporate and operate, while they comply with local corporate regulations.
We offer a complete set of market entry and back-office services in Costa Rica and the rest of Latin America, making us your single point of contact for fully personalized corporate secretarial support.
Get in touch with us for your personalized assistance when doing business in Costa Rica.
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