Invest in Debrecen 5+1 REASONS TO INVEST IN DEBRECEN 2 DEBRECEN IN NUMBERS Debrecen companies Amount : 9 730 Revenue: 5 billion EUR GDP: 1.4 billion EUR Headcount: 53 247 174 db (2%) 54 db (1%) 28 db (0%) 3 db (0%) 29 mrd (2%) 85 mrd (5%) 181 mrd (12%) 335 mrd (21%) 9 mrd (2%) 21 mrd (5%) 59 mrd (13%) 120 mrd (27%) Dangerous 2 247 fő (4%) 4 744 fő (9%) 5 309 fő (10%) 4 537 fő (9%) 9 301 (96%) 144 db (1%) 21 db (0%) 5 db (0%) Effect 377 mrd (24%) 170 mrd (11%) 146 mrd (9%) 241 mrd (15%) 94 mrd (21%) 37 mrd (8%) 38 mrd (9%) 60 mrd (14%) 20 537 fő (39%) 7 265 fő (14%) 3 495 fő (7%) 4 113 fő (8%) Not dangerous Micro Small Middle Large Size EDC DEBRECEN – BUSINESS SUPPORT Investor services • Full-scale investor service to give you a complete picture on what Debrecen can offer to your company • We have the answers to all your questions – transparent and up-to-date information from HR to infrastructure, past trends and future tendencies, development opportunities and available services • Visit Debrecen – we organise your visit to meet city leaders, education institutions, local companies, or anyone else you need • Our services are free of charge for investors Dedicated team • A powerful team of experienced and business-minded professionals is at your service any any requests • Flexibility and dedication to ensure you make the right choice 4 EDC DEBRECEN – BUSINESS SUPPORT CYCLE • Enabling business environment 5 5 EDC DEBRECEN – RECOGNITIONS Winner of 2017 CEE SHARED SERVICES AND OUTSOURCING AWARDS • Emerging city of the year • Best university – business cooperation of the year (BT) 6 EDC DEBRECEN – INVESTMENT PROMOTION Typical questions we answer 1/2 • Statutory pre-emption rights Legal due diligence • Local building codes and zoning regulation currently in force, Land register / cadastral map together with any other local regulation currently in force • Current excerpts of the land/cadastral register and which are relevant to the Object • Documents of registration concerning the ownership title of • Special rules and policies currently in force and to be applied the current owners in the course of sale by the current owners • Documents of registration concerning unusual encumbrances Contractual Agreements in connection with the Object in the property sheet of the respective land register, with • Use restrictions based on neighborhood agreements special regard to the wire easement right registered (i.e. • Lease agreements or other agreements related to the use or contracts served as basis for registration, together with utilization of the property by third parties relevant drawings, etc.) Litigation and disputes • Agreement on use of co-owners • List of all proceedings conducted, pending or threatened, • Applications in progress, all documents related to such including Restitution/Reprivatisation claims/Expropriation applications • Unregistered encumbrances including servitudes established by law Technical due diligence • Marked site map (.dwg file containing relevant information, Property characteristics e.g. area of final property, utilities, road connections, area • Local development plan, restrictions and conditions for new affected by possible limitations such as easement rights) buildings, environmental restrictions, etc. • Documents, information regarding land formation (e.g. land • Topographic plan merger, including geometrical plans) concerning possible • Geological survey, soil analysis, contamination analysis extension of the final real estate property • Ground water declaration / statistics, Environmental extract, Public law restrictions Flooding statement • Limitations as a result of the location of the property within • Available public roads and utilities network applicable local zoning and building or other relevant local • Archaeological surveys and archaeology related documents, regulations restrictions prescribed by law or authorities; monumental, • Public development agreements cultural or cemetery (and historical cemetery) and public • Administrative decrees, orders and proceedings health protection related restrictions, with all relevant • On-going building/occupancy/demolition permit applications documents • Environmental surveys re status of soil, ground-water, air and Utilities check noise; emission related restrictions prescribed by law or • Railroads, roads and public transportation to the plot authorities • Existing networks for power, gas, fresh water, sewage • List of all storage (underground and above ground) of • Restriction imposed by utilities providers dangerous substances, irrespective of present use • Maximum availability of infrastructure consumption • Other restrictions prescribed by authorities as to the use or Approvals assessment utilization • Necessary approval steps and permits for environmental • Subsidies provided in connection with the Object, use or issues, building permit, operation permit change of control related restrictions upon subsidy contracts, • Heritage significance documents related to the local real estate tax exemptions • Other necessary approvals and permits 7 EDC DEBRECEN – INVESTMENT PROMOTION Typical questions we answer 2/2 HR related questions Livability Future talent pool Living as an expatriate • University connection, last 5 years data form the • Expat club Debrecen, experiences (Over 5 000 expat residents in Debrecen) relevant fields • International School of Debrecen (IB program) • Faculty cooperation (dual program, industry connection partnering, sponsoring) • Real estates information • Vocational data, connection and partnering program Other livability factors (Dual training and educational partnerships) • Crime statistics: registered crimes in 2015 were 20% Current talent pool below previous year’s figure, connection to local police • Key manufacturing employers in the region • Hotels and other temporary solutions • Local HR services companies • Shopping and hospitality • Key tools to attract people, surveys, learning • Culture: Museums, theatres, cinemas, carnivals and thematic festivals • Already established companies site visit • Leisure and wellness: The biggest indoor aqua park of Labor cost Hungary, traditional thermal spas, ice rinks, fitness and • Current labor cost structure, analysis and data leisure centers The Great Forest offers quality spare • Future labor cost expectations analysis time opportunities for the whole family Debrecen HR strategy • Sports: International sport events, first class sport • Development programs to increase the number of teams, a new stadium with a capacity of 20 000, indoor inhabitants and future students and outdoor swimming pools, regular mass sport events Supports • Health services: Clinical department of the university of Regional incentives Debrecen, Public and private hospitals, clinics and • HIPA managed incentives program and their local services in general and dental care examples Other Local incentives Logistics • Debrecen Municipality Decree on Local Investment • Services, point of contacts, prices Incentive Establishing business information • Employment Pact • Contacts for lawyers (English speaking as well), • Debrecen special research and development incentive bookkeepers, auditors • Adjustment of the local public transport system Temporary offices Supplier database • VIP status Sustainability • Integration to the local community 8 NATIONAL AND LOCAL INCENTIVES National incentives Highest aid intensity in • Non-refundable cash subsidies EU • EU co-financed funds • Development tax allowance • Training subsidy • Workshop establishment and development aid • Social tax allowance • Wide range of other tax base allowances Debrecen local incentives • Employment Pact • Local Investment Cash Incentive Programme • R&D Tax Discount DEBRECEN • Adjustment of the local public transport system • VIP status • Dual training programme in vocational schools • Partnership with University of Debrecen • Integration to the local community 9 EDC DEBRECEN – INVESTMENT PROMOTION Experiences Item 2015 2016 2017 SUM Projects 22 56 49 127 Site visits 10 26 29 65 Success 2 9 11 22 Newcomers Reinvestments 10 EDC DEBRECEN – INVESTMENT PROMOTION Where we help example VIP status • Dedicated person from the Mayor’s Office and EDC Debrecen available to help the investor and provide fully comprehensive support in every step of the permission process. • Find the right temporary offices to start the recruitment • Connect to HR related authorities and present local HR companies, that helps the integration and recruitment • Establishing connection and future collaboration with vocational schools and university faculties • Helps on announcing the investment, gather right audiences, press connection 11 EDC DEBRECEN – INVESTMENT PROMOTION Where we help example Employer Branding Media • TV, Radio, Online media, Print Events • Gastronomy festivals • Sport festivals • Campus Festival • Flower Carnival „Virágkarnevál” Sponsored interface • Educational institutions • Transport • Sport facilities, teams • Főnix Event Organizer • Enabling business environment • Crowded locales Cooperation with Educational institutions • Vocational Schools • University 12 DOING BUSINESS IN DEBRECEN Dealing with Starting a business Getting eletricity Registring property Enforcing contracts Absolute City construction permits Average rank Country DTF Score Rank DTF Score Rank DTF Score Rank DTF Score Rank DTF Score Rank Budapest 87,28 20 67,89 13 63,25 7 80,08 6 73,75 11 74,5 6 Debrecen 87,61 13 72,71 7 63,36 6 81,16 1 81,72 1 77,3 1 Győr 87,32 18 73,35 5 63,25 7 80,8 4