The Struggles of Doing Business Abroad and How to Overcome Them
We’ve all seen business owners and managers on television. They travel around the world, shake hands with important people and close deals that could be worth several million.
It seems like a luxurious and relaxed lifestyle, but the reality is that it takes a lot to manage such a busy lifestyle and it’s important to find ways to relax in between the chaotic events that you’ll be experiencing.
Whether you’re just starting out with a small business or already have an SME that you want to take to internationally, we’re going to teach you a couple of the struggles of doing business abroad and how to overcome them.
Learning the language overseas
When you do business in other countries it’s important to remember that although many business transactions and deals are settled in English, it’s important to show some respect for the country that you want to do business in and consider learning some of the language. A couple of phrases usually isn’t enough, so consider things like English courses for Italian students or reading online to grasp the basics of a language before you fly to another country. As you stay there and engage with the locals, you’ll pick up on cultural things such as how to celebrate, important mannerisms and so on.
Fees on international payments
Don’t forget that international payments occasionally command very high fees. For example, if you try to expand into an overseas market, you might need to use a money transfer specialist in order to avoid excessive fees that banks may charge. Currency conversions are also always constantly changing, so you need to be as up-to-date as possible in order to get the most out of your expansion abroad. This is especially problematic if you’ll need to export or import things in and out of the country, and you may be hit by hefty costs just to operate in your target country.
Licensing issues and other legal problems
If you’re going to expand abroad, make sure you hire a lawyer. Doing business abroad will subject you to laws, regulations and licensing issues that should be handled by a trained lawyer. Your lawyer will also give you advice on how to expand abroad, such as offering alternate options like finding a distributor in the target country or buying an existing business and slowly converting their assets so that they produce and supply your products abroad. There are many options when it comes to expanding abroad, but also many legal issues that could destroy your brand if you’re not careful.
As you can see, taking your business abroad can be quite difficult if you’re not fully prepared. In fact, there are a number of risks that you’ll need to take and if you aren’t experienced or ready to leap over some entrepreneurial hurdles, you’re going to have a hard time. Use this article as a reference for the things you should be concerned about when taking your business abroad and you should have no trouble expanding your brand.