As mentioned in our various previous articles, expanding your business internationally can present great opportunities for you, your employees and your company. You can reach a completely new market, and introduce new products and cultures to another country to help benefit the reach of your business. However, expanding is not without its challenges. There are various tax, cultural barriers and compliance issues that must be acknowledged. This can be difficult to monitor on your own, so you could benefit from a professional entity that can help you remain financially compliant.
Here at Payroll Worldwide, we can provide professional employer organisation (PEO) services to companies in Latin America and those wishing to expand. Labour and employment laws differ in these countries, so it is crucial that businesses who expand understand the implications. To be non-compliant can be incredibly financially detrimental to your business, and can ensure that your company ceases to exist in that particular country. If you’re wishing to expand, here are a few points to look out for.
Economic Swings
When certain products, services or security undergo rapid changes in value, this is known as an economic swing. It is caused by volatility in the market, and can severely affect any business, no matter whether it is established or has just expanded globally. They can be hard to predict, so it can creep in at any moment and take a business by surprise. They can affect both local markets and the global economy, so it’s best to keep an eye on the economic climate.
Countries with lower operating costs for businesses may be less likely to cope with an economic swing. Seeking the help of a qualified professional to help you keep on top of your business could help you in the long run, especially if an economic swing takes you by surprise. To find out more, or to discover the services that we can provide for your business, please visit us here.
Politics and Compliance Issues
The politics of a certain country can impact your business endeavours quite drastically. More democratic countries will be more likely to have less input than a more totalitarian one, so it’s recommended that you do some thorough research before expanding to a country of your choice. The regulations imposed by a certain country can prevent a business’s growth. Navigating success whilst remaining compliant can be tricky. Luckily, there are experts that understand certain country’s regulation completely.
If you’re looking towards Latin America for expansion, our team here at Payroll Worldwide understand the political and economical climate, and can ensure that you remain thoroughly compliant throughout your stay in the country. We can even provide a concierge service for any staff who move over, as well as staying on top of your payroll. You should never let politics stifle your growth, so try seeking help before you make any mistakes that could affect your business.
Culture and Infrastructure Issues
Every single country in the entire world has its own culture and recognised practices. From work ethics to etiquette, the culture of a country can affect and shape how a business runs and operates. If you stick to the expectations of the country that you’re moving from, you won’t be able to relate to your staff or your surroundings, which can hinder your ability to grow. It may seem hard to fully understand the culture, but there are PEOs who can help.
Infrastructure is also something that a growing business should pay attention to. Utilities such as transportation, water and energy are essential to a business, and could fail without them. Infrastructure issues can affect every single aspect of our way of life, and businesses need them to survive. It is important that you analyse the infrastructure in the country you are moving to in order to avoid surprises.
Here at Payroll Worldwide, we’re here to help your business take off in Latin America. To find out more about avoiding compliance issues, or to receive a free consultation, please give us a call on 07469 892524. Alternatively, you can fill out our online form.
