American businesses are aggressively pursuing international expansion to increase revenues and win new customers. However, there are challenges that come with international expansion.

1. INTERNATIONAL
EXPANSION101
KNOW BEFORE YOU GO

2. In today’s global market
expanding overseas is no longer a luxury ...

3. ... it’s a necessity.

4. American businesses are aggressively pursuing
international expansion to increase revenues
and win new customers.
Listen to the webinarListen to the webinar

5. However, there are
challenges that come with
international expansion.
Listen to the webinarListen to the webinar

6. The VP of Sales walks into the
Head of HR’s office.
She has two signed offer letters to hire new sales
people in France (or Zimbabwe or anywhere).
Listen to the webinarListen to the webinar

7. The company doesn’t have an office
in France (or Zimbabwe).
Listen to the webinarListen to the webinar

8. Sound familiar?
Listen to the webinarListen to the webinar

9. Listen to the webinarListen to the webinar
You need to take a lot of things into
consideration in these situations.
Entity options, contractors, employees, employment
contracts, local requirements, expat management ...

10. Listen to the webinarListen to the webinar
... and as each country is different,
there’s never a one size fits all answer.
Getting it wrong can be costly for your business

11. For example, a US-based company hired an
“independent contractor” in Columbia.
After five years, the company needed to terminate her
due to economic reasons.
Listen to the webinarListen to the webinar

12. But the worker went to a labor court and claimed
that she was, in fact, an employee.
The court ruled in her favor.
Listen to the webinarListen to the webinar

13. The result?
The company had to pay accrued vacation time,
a 13th month paycheck and other compensation
to the employee, as well as being on the hook for
various back taxes to the government.
Listen to the webinarListen to the webinar

14. The result?
The company had to pay out accrued vacation
time, 13th month paycheck etc. to the employee
as well as being on the hook for various back taxes
to the government.
Read this for more information
on contractor classification.
Listen to the webinarListen to the webinar

15. If you want a textbook international
expansion, follow these 10 best practices ...
Listen to the webinarListen to the webinar

16. 1
DEFINE YOUR MOTIVES
AND DO YOUR HOMEWORK
Is international expansion right for your business?
What are your goals in setting up international operations?
Listen to the webinarListen to the webinar

17. 2
START SMALL AND DON’T
OVEREXTEND YOURSELF
Start with 1-2 key goals in a small slice of a foreign market.
Listen to the webinarListen to the webinar

18. 3
CREATE A DETAILED
PLAN FOR SETUP
Determine early on how you will structure
your company overseas.
Understand permanent establishment risk.
Listen to the webinarListen to the webinar

19. 4
RESIST THE URGE
TO STANDARDIZE
Entity setup will vary by country.
Depending on your activities, a branch entity
may make sense in some markets, whereas a
subsidiary may make sense in others.
Listen to the webinarListen to the webinar

20. 5
KNOW THAT ALMOST
EVERYTHING WILL BE
DIFFERENT
Hiring employees, issuing stock options, opening a bank
account, filing taxes, setting up insurance and other
benefits for new staff – every country has completely
different requirements for each.
Listen to the webinarListen to the webinar

21. 6
DON’T UNDERESTIMATE
THE EFFECT OF CULTURE
Learn and respond appropriately to different customs in a
business setting.
Listen to the webinarListen to the webinar

22. 7
PREPARE REALISTIC BUDGETS
AND CONTINGENCY PLANS
Spending can start out restrained, but mushroom in the future.
Listen to the webinarListen to the webinar

23. 8
RECOGNIZE THAT YOU’LL
NEED INITIAL AND
ONGOING SUPPORT
HQ finance and HR need to be involved. Create transparency
among HQ functions and local management.
Outsource functions where possible.
Listen to the webinarListen to the webinar

24. 9
BEPATIENT
Rapid growth can mean rapid failure; planning can
facilitate success.
A best practice is to double the amount of time you
anticipate you’ll need to become operational.
Listen to the webinarListen to the webinar

25. 10
GETHELP
Complying with constantly changing target-country
regulations is complicated and time-consuming. Get
expert help so you can focus on what’s important
— your company.
Listen to the webinarListen to the webinar

26. Following the 10 expansion
best practices will help ensure
you have smooth sailing as you
expand your operations overseas.
Listen to the webinarListen to the webinar

27. Listen to the webinarListen to the webinar
For more expert advice, listen
to our webinar on expanding
internationally.

28. Get global updates and other important
information delivered to your email.
www.radiusworldwide.com
Or visit the webinar archive for more insight
from the global growth experts.
Subscribe to the Blog
Visit the Archive

29. Got yourself in a kerfuffle over your
loonies and toonies?
Connect with Radius:
US: +1 888 881 6576 UK: +44 (0) 203 005 5518
info@radiusww.com
www.radiusworldwide.com
Radius helps companies expand and win globally.
Expanding internationally?
Don’t miss this!
GLOBAL
LOCATION
FRONTIERS
WHERE TO GO FOR YOUR
BUSINESS TO GROW
View the Slideshare