Friday, 31 May 2013

A Must Read Before You Begin Trading Internationally

If you are thinking about expanding the business to include international trade, it’s a good step to take with the advances in technology; it is an opportunity that is open to almost anyone. However, before you dive in there are five challenges you need to be prepared before opening your doors to the overseas markets.

1.  Exit strategy – No, we’re not being negative here, we are being smart. You may make losses and fail to exceed. If you plan for this you can ensure that the losses you do incur are not devastating for the business.
2.  Banking – When you know the markets you are aiming for, you must find out about all the hidden costs that can eat into your margin. When dealing with exchange rates you must find the best rates possible and avoid paying fees that are too high.

3. Customs and deliveries – Check the customs and boarders for their rules and regulations. You will have to make sure that you follow the rules regarding paperwork and documentation and the correct packaging to reduce delays.

4.  Trial and error – Rather than diving in head first it is far more sensible to trial little sections of your business in your new target markets. If something fails you can move on to the next step in the plan.

5.  Financing – You need to ensure you can afford to provide the service you are hoping to do. Work out all of the costs from calls to logistics, travel to taxes and duties.

We can help, contact us to discuss your international logistics plans.

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