Choosing between the United Kingdom and Sri Lanka as a business destination can be tough. Both countries present unique strengths. Sri Lanka offers access to South Asian markets and a low-cost workforce. The United Kingdom, on the other hand, is praised for its high quality of life, strong legal protections, and lower costs for company setup—especially for small and medium-sized enterprises.
This comparison will help entrepreneurs and investors decide where their business has the best chance to grow. If you’re exploring starting a business in the United Kingdom, firms like 3E Accounting can simplify the process for you.
Here’s a quick overview of the key differences for easy reference.
| Factor | United Kingdom | Sri Lanka |
|---|---|---|
| Business Environment | Stable, transparent, SME-friendly | Growing, but politically volatile |
| Corporate Tax Rate | 25% | 14% to 30% |
| Capital Gains Tax | Taxable, with exemptions | Generally not applicable on listed shares |
| Ease of Incorporation | Fully digital, within 24 hours | Manual process, takes days to weeks |
| Business Costs | Moderate, varies by region | Low labour cost, higher infrastructure cost |
| Market Access | Global reach via trade agreements | Regional access, limited global deals |
When it comes to starting a business in the United Kingdom, navigating the legal and administrative processes can be complex without the right support. That’s where 3E Accounting comes in. As a trusted partner for company incorporation, we provide tailored solutions for entrepreneurs and investors looking to establish a strong business presence. Whether you need help with company registration or expert guidance on setting up businesses in the UK, our experienced team ensures a smooth and efficient process.
From full company incorporation services to ongoing support like corporate secretarial and company secretary services, we offer a complete suite of solutions to support your company setup. Let us help you focus on what matters most—growing your business. Contact 3E Accounting today and take the first step toward successful expansion.
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Yes, the United Kingdom offers a faster and more efficient online process. With company incorporation in the United Kingdom, registration can be completed in as little as 24 hours, compared to several days or weeks in Sri Lanka.
The UK has a fixed corporate tax rate of 25% with available R&D reliefs. Sri Lanka uses a tiered system ranging from 14% to 30%, depending on industry and revenue.
Sri Lanka offers lower labour costs, but the UK offers more affordable digital company incorporation services and modern infrastructure, especially outside major cities.
Sri Lanka can be a good fit for startups in agriculture, manufacturing, and tourism. However, foreign startups may face regulatory hurdles. You can consider setting up businesses in the United Kingdom for more stable conditions.
You can use this complete guide to starting a business in the United Kingdom by 3E Accounting for expert step-by-step advice.
There are several business finance support options available, including tax reliefs and funding schemes for innovation and green businesses.
Foreigners can register a company online through providers like 3E Accounting. Read this company registration guide to get started.
Yes, 3E Accounting offers corporate secretarial and company secretary services to keep your business compliant with UK laws.
Abigail Yu
Author
Abigail Yu oversees executive leadership at 3E Accounting Group, leading operations, IT solutions, public relations, and digital marketing to drive business success. She holds an honors degree in Communication and New Media from the National University of Singapore and is highly skilled in crisis management, financial communication, and corporate communications.
