Tips For Expanding Your Business Overseas

tips expanding business overseas international company growth

Are you thinking about expanding your business overseas for an improvement in sales or even global footprint extension? Is staying ahead in the game your primary concern? Well, regardless of your business goals, extending abroad creates a big business growth opportunity while boosting the global economy. However, even with the major advantages, the process of extending abroad proves to be tricky, especially if it is your first time. With that in mind, we have listed a few important steps when it comes to extending your company abroad. 

Know The Nation's Political Climate 

The political climate and history regarding asset seizure and taxation are the first things you will want to look at when planning to extend abroad. Back in 2013, for example, the EU was bailing out banks in Cyprus and the country's government went straight into bankers' accounts raking up to 10 per cent of the funds deposited under the title 'tax'. As a business owner in a country abroad, the last thing you want is being in a position where profits are taxed out of nowhere and your assets are seized due to a change in the political climate. As such, it's imperative to watch carefully and pick a nation with a stable economic and political system. 

Understand The Legal & Tax Issues 

Get reliable and thorough information regarding tax schemes and regulations including local law, employment practices, regulated activities, international agreements as well as customs procedures, for example, you probably haven’t heard of this Croatia VAT reduction, yet it could impact on your business. 

Study The Market 

Studying the target market as well as local competition is essential as it will allow you to whether or not there's interest in your company, products and services in the country you want to expand in. 

Seek Help 

Most governments and some organizations support investing overseas by proving companies with advice and help. So, try and take advantage of any assistance you can get from consulates or embassies, Trade Missions, Chambers of Commerce, etc. 

Ensure You Look Good 

Presenting a professional reputation is important before you enter a new market and that means ensuring you are well prepared online for it. Here are some tips

Pick The Right Business Structure 

Knowing your goals is vital in picking an ideal business structure for expanding overseas. Depending on the legal structure you pick, tax rates will vary substantially. Keep in mind that administrative procedures vary from one nation to another and so, ensure you study each before making your final decision. 

Consider Training 

Getting into a training program like foreign or export trade courses can be a good way of gaining additional expertise in international business. 

Look For Funding & Insurance Options 

Most nations have government funding programs that support business expansion overseas. Find out whether your business qualifies for such a program and ideally look for the best insurance solution to protect your company against political and trade risks. 

Study Cultural Differences 

Fitness might be a huge business in the US, but it is unlikely to be the same in some Middle Eastern or African countries. It's imperative that you comprehend the cultural differences that may have an impact on your business' feasibility. Study the culture surrounding the product or service that you will be offering to make sure there is a need and a market for it. 

However, that is not the only difference you should research. From varied social interaction to language barriers, you are likely to find it hard to fit in a foreign business community. As such, travel a few times to the target country and interact with the community. 

Hire And Train Employees 

International growth results in changes in HR management. You will either need to hire employees or send your staff abroad. This is where you'll need to get a Volunteer for International Experience or planning global assignments. Providing ideal training for your staff is essential in most situations. 

Protect Your Staff Abroad 

It is also imperative that you ascertain the safety of the employees to plan to hire overseas. Pick an insurance solution and build a risk management plan for expat staff. 

With these tips, you should be able to start in the right direction when it comes to launching a business abroad.

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