Top 10 Tips for Starting an Overseas Business

It’s no wonder that many Fortune 500 companies have moved overseas when they’ve been able to escape paying $2.4 trillion in American taxes. Small and large companies have found great success by moving their business abroad. Before you pack your bags, you must understand that there are many catches.

If you’re considering moving, you need to learn how to succeed. If not planned properly, you could find yourself in severe financial trouble. This article will teach you 10 tips to help your overseas business thrive.

1. Make a Local Friend

While this tip is helpful for all travellers, it’s essential if you’re a small business owner.

Since you may not have as many resources as a company with an expendable income, you need as much help as possible.

The internet is an incredible tool, but it’s still not perfect. How often have you gathered as much information online on one topic as possible to find that your expectations didn’t meet reality? You should spend plenty of time researching online, but fact-checking with someone living there is an excellent habit to adopt.

They can inform you about local taxes, the political climate, people’s attitudes about your industry, and more. Since you have much technical information to research to make your business successful, you may miss out on learning about other smaller bits of information that can make your transition easier.

For example, did you know that in Bulgaria, people nod their heads to say no and shake to say yes? Other countries may also believe that handshakes are inappropriate, a standard business practice in America. Having a confidant to help you navigate the ins and outs of this new setting can really make life breezy.

2. Understand the Culture

Some companies start businesses overseas but still operate in America. Others want to function like a local business with local customers. If you’re interested in the latter, you must ensure your products or services are in demand and use local experts to set up a branch for your small business.

For example, if you want to open a burger restaurant, you should avoid countries like India, where much of the population is vegetarian or vegan. Not to mention, cows are also viewed as sacred, so your business could create an outrage.  Instead, you’d consider the Philippines.  The Americans introduced the Filipinos to fast food like burgers and hotdogs.

Business 101 dictates that high demand equals high profits, so you can feel secure that your move will be successful.

3. Familiarize Yourself with the Paperwork

There are a lot of legal hoops you need to jump through when owning a business abroad. Not only will you have to deal with a foreign country’s policies, but you’ll also have to manage American Paperwork. This thought alone can discourage many owners from ever considering moving.

The good news is that not every country’s policies and taxes are created the same. If your primary concern is having the most minor Paperwork, look into starting your company in a country with the most relaxed laws on foreign businesses.

Did you know that people who move to New Zealand can have their business running in one day for roughly $100? Other countries can take months and lots of money to open.

Ultimately, you have to establish your business goals and weigh the importance of time before deciding.

4. Build a Website

This step is critical for local and foreign businesses, whether big or small. One of the top tips on how to run a business is to build an online presence. The modern world is digital, and failing to conform to this platform means falling far behind.

Engaging with customers through social media and having a detailed website builds trust and satisfaction. If you’re moving to a country where English is not the predominant language, ensure your website has a tab to switch between English and another language.

Don’t rely on an online translator, either. It’s worth investing money to get your website accurately translated by a natural person who knows how to make your company sound friendly and reliable.

Another important note is to ensure your website looks just as good on a phone as on a computer. Many people use their phones to shop and research online, and many businesses fail to realize their websites aren’t compatible with mobile.

5. Lawyer Up

It’s always helpful to have a lawyer help you run your business no matter where it’s located.

They can walk you through any legal jargon so you can make the most informed decisions to grow your business.

Since your company may be located in a country that does not speak English, consulting a lawyer becomes much more critical. For the most success, it’s best to find an American expat who speaks both languages and understands how life functions in this land.

6. Don’t Rush Your Overseas Business

When you have a solid business plan and are convinced you’ve found the perfect location to open your business, it’s difficult not to book the next flight to your new home. No matter how excited you are to start your business, you can’t rush this process.

There is always more to learn about your new country. You could spend months gathering information before you feel comfortable making an informed decision. Take the time to be cautious because following an impulse is also a quick way to fail.

7. Research Successes and Failures in Current and Past Markets

You need to know how your country’s economy has fluctuated. If possible, you need to collect data about your trade. How have similar companies fared throughout the last decade?

Studying success stories to implement similar business strategies is important, but you also need to read about the failures. You could make every right decision, but if you slip up once, that mistake can haunt you for the rest of your career. If you can learn from someone else’s mistakes, you have a lot more insight on how to avoid their pitfalls.

8. Enjoy Where You Live

This may sound like a no-brainer, but business owners may become so absorbed with the professional side of life that they don’t consider their own preferences. You may find the perfect country to run your business, but if their lifestyle is something that will make you miserable, then your business will get hurt.

It’s worth starting a business checklist and examining how many countries fulfil your expectations. Fulfilling your mental health and personal happiness is one item on your list that must be checked.

9. Start Learning the Language

No one can expect you to speak like a native, but trying to learn even simple phrases can go a long way in the business world. You may be running the best business in town, but if you come across as insincere, you’ll lose potential revenue.

Learning the language shows you are interested in building long-lasting relationships with employees, investors, and customers. Remember that if your business is one of the few foreign-owned businesses around, you’ll generate much interest. If people discover you know how to properly greet them in their language, they’ll be charmed.

Good business owners understand how to make money. Great business owners understand the human side of business, too. When you have many other pressing issues, it may feel like a waste of time, but you’ll learn how much your efforts can pay off once you engage with people.

10. Always Work to Expand Your Network

After you’ve made your local friend, you shouldn’t stop looking to build more relationships. Your business could be of the highest quality, but at the end of the day, sometimes your success boils down to who you know.

Making connections in your new country can open many doors you didn’t even know existed. Whether it’s meeting new investors, customers, or business owners familiar with your industry, it always helps increase your popularity.

If you can find mentors to help you navigate the business world in your country, they could save you a lot of headaches. This won’t be hard in countries that welcome offshore businesses.

Ideally, choose a country renowned for its business-friendly environment. For example, Ireland’s reputation as a great place to set up a business will make finding local mentors straightforward.

Another country with a similar reputation is Singapore. If Asia is where you want a branch, Singapore would be a good choice. It has conferences all year for growing your network.

Ready to Revolutionize Your Business?

Now that you know the top tips for starting an overseas business, you can start taking the steps to make your career aspirations a reality. BusinessBlogs is your ultimate resource for gathering all the tools you need to make your business succeed. If you have questions about how our information can help you grow your business,  click here for more articles.