Becoming a global business is no longer reserved for only big stablished businesses, with companies like PayPal, Shopify & Amazon making global sourcing and shopping easier than ever to get your products and services to any corner of the planet the ability to expand overseas is just at your fingertips. The only thing that sometimes becomes complicated is the idea of running payroll globally, how to handle taxes and stay complaint with employment laws. That is where, if you choose the best global payroll provider you possibly can, the transition from being a local business to a global one can be perfectly seamless.
There are other aspects that should feature in your decision to go global, as outlined below, take a read and see if your company is ready for the jump!
Estimate your investment cost for your start-up Globally
Estimating your costs of setting up your global branches should be the first step of any expansion.
The two essential lists have to be taken:
- Start-up expenses – In this category, you have to list all the expenses that you have made for opening the company, logo design, brochure and other costs that may be incurred like rent.
- Start-up assets – In this you have list your current, chairs, tables, signage and etc.
By doing this you may get an idea of how much it is going to cost to run your business overseas because the cost differs from one place to another.
Times zones can vary hugely from one country to another, even from one state to another in the USA there can be massive time differences. So it plays as a major challenge for all entrepreneurs while scheduling meetings with their clients who are overseas, be sure when picking what countries to expand to that you will be able to connect with employees and/or clients during their normal working hours without exhausting yourself. You don’t want to be constantly at calls at 3AM, this is just not sustainable. You can overcome it by arranging an in-between time where you can able to contact your clients through skype or mails.
Research about the Market
Most products and services that provide value will be embraced overseas, but there are always fringe cases. When you’re thinking about the viability of your product, target places that are likely to see success. For instance, it might not be best to open a snowmobile franchise in Florida.
Conduct foreign market research and identify international markets. Get to know the opportunities and compliance challenges you might face, if you choose to use a global payroll service they will be able to take acre of this aspect for you. You won’t need to spend hours being sure you are complying with a country’s tax, payroll & employment laws and potentially be hit with bank-breaking fines. Financing can be a challenge, but government interest in boosting imports or exports have made getting funding and getting paid easier than ever.
Evaluate and select methods of distributing your product abroad. Cultural, social, legal and economic differences make exporting a challenge for business owners who have only operated within their own borders. There are plenty of means for distributing your product, from opening company-owned foreign subsidiaries to working with agents, representatives, and distributors and setting up joint ventures.
A survey is a great way to gauge how compatible and in demand your service/product is with the local market. Find out about that place’s past and present market value and double down on the data to be sure you are making a wise move.
As we all know currency format changes from one place to another. So you should have to tie-up with the bank for the currency changing of your new form of money. TopSource can also help with all things to do with your currency exchange, if you outsource global payroll to us we have the capabilities, as part of our services, to support you with foreign exchange solutions that will ensure your employees are paid in the currency they need, whilst greatly reducing your transfer costs. We work to ensure you get the best exchange rates available and can even provide forward contract options that lock in rates when that is the solution you need.
Marketing your business
Marketing the business in other countries than the native is a bit tough task unless you didn’t know about their pros and cons them. You should know the strategy on how to attract them by your post or brochure or ads of your product. There are many businesses got lost in their growth due to their lack of understanding of that country.
Do your research. Learn at least a few facts about the country about the country; it shows you respect your potential partners’ cultural heritage. Also, and this is a big one, learn the language. Even if it’s just a little bit, it goes a long way and shows foreign partners your dedication to the relationship. These are going to be crucial steps to take if you want to be able to sell something to a foreign market.
Requirements for shipping globally
Like currency, the things which have to post and packing requirements changes from country to country. If you have an idea to open your business in many countries. Then you have to know the shipping details and the labelling details. Import and export duties can also have a huge impact on profitability and these are important costa to consider.
Getting licenses for your business
Depending upon the city or country you have to apply the license for your business. For more details check your market’s local government but this can be a very costly and complicated procedure. If you decide to choose TopSource as your global payroll provider we can not only take care of paying employees & give you competitive forex charges but we can also serve as a professional employment organisation (employer of record) which means you will not have any need to get a license or set up any specific entities in your new country of choice.
Find the right team
You have to find the right partner or a team to launch your business globally. Choosing a team without core knowledge is a great disadvantage for the business and they have to know the local culture, languages, and values. Hiring locally to your new branch is a huge must when expanding globally and remember it doesn’t have to be complicated if you choose one of the best global payroll providers or a knowledgeable Professional Employment Organisation.
How TopSource can support you
TopSource has set up a fast-track payroll service to make transitioning to using us as your providers easy, guaranteeing a simple on boarding experience to support compliance in as little as four weeks.
Simply contact us to find out more.
If you’re a TopSource customer, we can provide you with a separate payroll for your global payroll needs.
You can email email@example.com or call 0203 6915303.