Mistakes of Expats Doing Business in Georgia (And how to avoid them)

Are you one of the growing number of Expats Doing Business in Georgia?

You’ve probably noticed how exciting and unpredictable this country can be. Georgia’s mix of opportunity, low taxes, and fast growth attracts digital nomads, investors, and entrepreneurs from all over the world.

BUT,

The truth is many expats in Georgia jump in without a solid business plan and later discover problems that could’ve been easily avoided.

Starting a business here without a business plan is like wandering through Tbilisi’s old town without GPS – beautiful, yes, but you’ll probably take a few wrong turns and lose a lot of time (and money).

The good news?

Every single one of those challenges can be prevented with 1) proper planning and 2) the right local guidance, that comes with it.

Whether you’re dreaming of a vineyard in Kakheti, a tech hub in Batumi, or buying land near Tbilisi, here’s why a business plan is your SMARTEST FIRST INVESTMENT in Georgia (and how I’ve helped other expats succeed).

1️⃣ Starting Smart in Georgia’s Unique Market

Georgia’s business environment has its own rhythm – full of cultural nuances, regional quirks, and fast-changing rules.

A tailored business plan helps you understand the market before you invest or start something up – your roadmap through Georgia’s unique terrain.

2️⃣ Buying or Expanding a Business in Georgia

Buying an existing business can look tempting, but surface numbers often hide deeper issues.

A business plan uncovers true value, risks, and growth potential, so you buy (or expand) with confidence.

3️⃣ Scoring a Bank Loan

Local bank interest rates are high (15+), and lenders in Georgia want detailed 3-5 year forecasts and local context.

Georgian banks request clarity and numbers. A professional plan boosts your credibility and financing success. Plus, the better business plan gets you better terms, thus saving your money.

4️⃣ Grabbing Government or Donor Grants

Programs like Enterprise Georgia, RDA, or EBRD can help fund your business, but competition is fierce.

Support programs usually go through banks, that love strong, evidence-backed business plans. They prove your project is ready to deliver and only after that the support programs are engaged.

5️⃣ Avoiding Costly Mistakes

Without a plan, many expats in Georgia spend more fixing mistakes than they did starting up.

A business plan saves money and headaches by identifying weak points before you spend.

6️⃣ Courts & Contract Risks

Try to make sure that you do not have to deal with Georgia’s courts, the enforcement can be slow, unpredictable and not in your favour.

I help you anticipate relevant risks and prevent them – your plan includes safeguards that make court your last resort.

7️⃣ Tax & Regulation Traps

The Georgian tax system is simple – until it isn’t. One wrong assumption can trigger audits or fines. And if the field is regulated, that might bring another set of surprizes.

Your business plan includes a tax map – VAT, reinvestment, etc – so you stay compliant and profitable.

8️⃣ Navigating Political & Policy Shifts

Georgia’s political landscape can change quickly, and laws follow.

We design plans with backup strategies, helping you adapt fast and stay protected even when the laws change.

9️⃣ Finding & Keeping the Right People

Expats in Georgia often struggle to find reliable, English-speaking talent.

I plan for recruitment, training, and right retention system early, so your team grows with you.

🔟 Bureaucracy & Language Barriers

Even now in Georgia, small translation mistakes can freeze your paperwork.

I make sure that you prepare all the needed documents together with the business plan, so you do not loose time/money/energy in the future.

1️⃣1️⃣ The Small Market Trap

Georgia’s market is small – only 3.7 million people, and saturated in certain sectors.

Your plan reveals real, scalable opportunities, not just crowded trends.

1️⃣2️⃣ Managing Cultural Differences

Western management styles don’t always click here. Team expectations and work rhythms differ.

We create communication and workflow systems that bridge cultural gaps and build trust.

1️⃣3️⃣ Land Ownership Pitfalls

Foreigners can’t own agricultural land, and the process takes time to change that status into non-agricultural.

A business plan is mandatory document that is required in order to change land status from agricultural into non-agricultural.

1️⃣4️⃣ Currency & Banking Frustrations

The Georgian Lari can fluctuate 10-15% yearly against USD or EUR.

Your business plan factors in exchange risks and smart pricing – so you stay profitable no matter what.

1️⃣5️⃣ Corruption & Selective Enforcement

While not widespread, “selective enforcement” happen in Georgia.

Transparency is built into your plan, keeping you professional, compliant, and respected.

💡 Client Stories?

The foreign investor almost ruined his storage construction timeline due to land status issue. Our business plan, together with other documents, was instrumental in changing the land status into non-agricultural and staying on schedule.

The National Bank of Georgia initiated VASP licenses for crypto companies 2 years ago. We helped several International companies to get VASP licenses so that they provide services legally.

An expat was thinking to launch a café in Tbilisi, copying his Paris model. Locals would not connect. We revamped his concept to fit Georgian habits – menu, pricing, and hours.

The entrepreneur kept hearing “no” from banks. After refining his business plan with solid numbers and local relevance, his next application got approved (at a better rate).

A couple nearly bought a hotel in Mestia with unrealistic revenue claims. We analyzed the data, based on which the couple backed off the deal, thus saved quite a lot.

💡 Why a Business Plan Is Your Best First Investment in Georgia

If you think a business plan is just for banks, think again. It’s your safety net and your biggest time-saver.
You’re investing serious time, energy, and money.

Why not spend just 1-2% of that to protect your investment?

Georgia “rewards” smart planning. Without it, the country will teach you lessons you could’ve learned on paper – for a fraction of the cost.

👋 Ready to Succeed as an Expat Doing Business in Georgia?

I am Tariel Zivzivadze, and I am in this business for 25+ years. I help clients secure 200+ million GEL funding a year. This is my FB page (Check out the Review section there). I have developed business plans for every goal for lots of clients (Expats included). Price per business plan start from USD 1,000. Half of that is paid in advance, half in the middle of the work. Writing a business plan might take less than a week.

💬 Message me on WhatsApp for a free 15-minute chat.

No pressure – just real advice to help you plan right and avoid months of trial and error. Let’s make your business idea in Georgia a success from day one.