Is It Hard To Take A Business International?
September 24, 2018 by Staff
Filed under Money/Business, Tech/Internet, Weekly Columns
(Akiit.com) Making a profit is what business is all about, there’s no way around that. Many company owners out there, in their effort to maximise margins and cut the costs of operating day in and day out, look for ways to expand and bring in more revenue. But there’s only so many people in your local community you can checkout on a regular basis.
A lot of people with their own companies often dream about taking their businesses international. It’s one of the most obvious expansion plans, after opening a second branch of your store or service centre in another town in your own nation. But is it an easy venture that you have the resources to accomplish? Let’s examine that idea a little.
Operating in the big cities is going to be a challenge; are you ready to take it on?
Do You Know How to Cope with Exchange Rates?
If not, now’s the time to school yourself on how they work, and how you can use them to make money abroad. If you want to take your business international, this is the first step in making sure you’re ready to face foreign markets and their currencies. And not only that; you’re going to need to cope with high transaction fees from making money abroad. Overall, it might be best to open an entire new business account completely, in order to cope with this issue.
Don’t worry, there’s plenty of advice and information out there, especially from Forex brokers regulated by the FCA. Most of all, you need to know how quickly an exchange rate can dip or soar, and how much of a risk that is for your profits. You’re going to need to break even at least, and that could potentially require you to price your products higher than back home – that in itself could be an issue for some of the market you’re aiming to conquer.
You’re Going to Need to Take on More Staff
And when you can’t be there in person to manage them, do you have someone on hand you trust with this task? Not to mention you’re probably going to need an overseas import agent to help you out with any export issues and taxes – keeping the process as smooth as possible is the best way to operate, but extremely challenging to implement.
You current payroll is just fine for your business, but you’re going to need both full and part time employees for your branch overseas. You’re also going to need to make sure they can legally work for you, and how much you need to pay them (the laws around employment are likely to be different than the ones you’re used to back home).
Taking a business international is something that changes difficulty based on who you are and what you were already operating with. But all in all, it’s going to be a worthy challenge to take on, as long as you know you’ve conquered the market back home.
Staff Writer; Larry Ford