4 Things to Think About Before You Move Your Business Overseas
Owning a business can be tough, especially in an uncertain economy, and many people wonder whether their current country is the best place to host their company. It’s becoming increasingly common for businesses to move to different locations overseas, but is this the best choice for your organisation? Here are some things you’ll need to consider first.
- The market overseas
If you plan to market your goods or services to locals, you need to ensure they will sell. Luckily, the internet has made it easy to do research on different markets, whether it’s on social media or looking at search engine trends. You should spend a lot of time doing your research in this area before making any commitments.
If the plan is to move abroad, but still sell to your current market, think about how this will work. Will your customers be OK to trade with you without restrictions? Will they be happy with slower shipping times?
- The local laws
Legal advice is extremely important when it comes to forming a business overseas. You should get expert advice on company formations in Vanuatu from a legal team and also look into laws around tax and other important issues. Some countries are happy for foreign businesses to move in on their soil, while others have complex rules, so try to choose one of the former.
- Whether there is local talent
Your business can live or die by its employees, so you need to ensure:
- You can hire competent people locally
- There are people whose skills and experience will be relevant to the roles
- You can afford to pay the local average salary
- You know how much holiday pay, sick pay and other benefits you’ll need to include in this figure
If you have a highly specialised business, and you need people who can fulfil a certain role, then you need to move somewhere where you have a potential talent pool, otherwise, you may need to stick to hiring expats.
- Whether it’s a good opportunity, or you just like the country
One mistake people make when they move their business overseas is that they pick a country they like, rather than one that’s good for business. Yes, you need a life outside of work, but don’t move to a country that’s a tourist trap and expect to run a successful business. You need to be able to take your emotions out of the equation and make a decision that’s right for your fledgling company, not just you.
Moving your business abroad can have a number of advantages, from tax breaks to easier expansion. But it’s not just a case of hiring an office and getting stuck in. Different countries have much different cultures and laws, so you need to ensure you are making the right the right choice before you take the plunge. Do your research, visit the country in question as much as possible and talk to those with experience if you can. This will ensure you don’t repeat other people’s mistakes.