5 International Business Myths Debunked

Commerce is the very foundation of society and on a global scale, cultures and customs come into play. Of course, we have digital tech to thank for the ability to communicate with a business owner on the other side of the world and on that topic, here are a few common international business myths that somehow manifested.

Import/Export Is Too Complex For A Small Business

That might have been the case 30 years ago, but not anymore. A freight forwarding agent is all you need and your bank can issue a Letter Of Credit if you are importing. Indeed, it has never been easier to import/export goods around the world, and there’s no reason you can’t send your products to Australia or import directly from a Thai manufacturer.

Opening A Branch Office Is The Best Way To Penetrate A New Market

At first glance, it might seem like the logical thing to do, but there are many benefits to actually registering a new business in that country. There are, for example, Thailand BOI company lawyers who can register a 100% foreign owned business, and there are some great tax benefits from doing this. Of course, there are situations when opening a branch office is the best solution. Ask an English-speaking business lawyer to outline the pros and cons of each type of business registration.

International Corporations Are Created To Reduce Tax

While this can be true, there are many other reasons a corporation would go international – privacy, asset protection and lower running costs, to name but a few. Prior to making any serious change, you should consult with a legal professional, someone who has an in-depth understanding of international business law and can advise you accordingly.

Doing Business In Non-English Speaking Countries Is Next-To-Impossible

You might think it difficult to do business in a land where English is not spoken, yet if you hook up with the right local law firm, they provide all the services that you need. Local labor, negotiating with local business owners and obtaining permits and licenses are all services they can connect you with.

You Can’t Run A Foreign Office Remotely

In former times, you certainly couldn’t do this without feet on the ground; not so today however, using local 3rd party providers and Zoom communication, you can effectively manage a foreign office from your laptop. Find an established local law firm, as they have all the contacts you need and can help you set up your office, while putting you in touch with local providers.

The global marketplace is not only for multi-national corporations and the smart entrepreneur sees the huge opportunities from penetrating foreign markets. If you have a product that you think would sell in a foreign country, look at all your business options. Set up a branch office to carry out some market research and if that looks good, register your company in that country and enjoy many benefits that come with foreign business registration.