How Businesses Expand Internationally


If you have a small, medium or large sized business operating within the confines of the United States and you’re experiencing growth, it may be time to think about expanding internationally. This can be a scary proposition for any business owner, regardless of the size of the company. Arming yourself with the knowledge of what it takes to expand your company in the smartest and most cost efficient ways is key to ensuring success.


Why Go Global?

Expanding past national borders makes sense both from a financial standpoint and from a company growth perspective. If you’ve done all you can domestically, the next logical step is to try the same thing outside the country. Of course, determining if you’re ready for this step all depends on your budget, past successes, the demand for your product or service overseas and your willingness to take it all on. Assuming you want to take on the added risk and have the capital to do so, expanding is a smart move for many, as it increases the potential for boosting revenue.

Start a Partnership

There are many ways to approach a business expansion, and one of those ways is to start a partnership with an existing company that’s already settled abroad, which evens out the risk and financial commitment between two parties. However, in order to drive growth in whatever country you’re expanding to, you still need to do the hard work of living and breathing that local culture. Making the effort worthwhile for your partner means immersing yourself in the local market to generate enough revenue. Another tried and true method is to attract and engage entrepreneurs who want to get in on your high-profile startup. Gather small local teams and put them at the front lines of your expansion to really get in there and make it work on a local level.


Expanding your business may sound great on paper, but it takes lots of logistics to make it work. You need to invest in a headquarters, hire workers, advertise your services and products, and become knowledgeable about international law and taxes. You’ll need to hire an international tax attorney to handle the taxes you’ll have to pay, as businesses are taxable on their worldwide income.

Don’t forget about getting your equipment, machinery and other supplies to the destination country. For that, you’ll have to hire a freight forwarding company like Hawthorne Global’s reputable logistics services to safely and efficiently transport all your cargo. You’ll also have to create and adhere to a country-compliant employment agreement that protects you in the event you unwittingly violate the employment laws of a country you’re not really familiar with.

Set Up Shop

There’s no substitute for in-person meetings with other collaborators at the new site of business. Of course, you can use online tools to manage the day-to-day operations of your business. But live communication, both initially at the time of start up and regularly after that, can be an invaluable way to stay in touch with the sales, operations and marketing prongs of your company. Gearing up your business for expansion abroad takes dedication and perseverance, and you’ll need help with several aspects of it, from labor law and taxes to logistics and set up, but it will all be worth it in the end when the revenue stream opens up.

This article was written by Richard Craft, an MBA student who hopes to help you understand businesses better. He writes this on behalf of Hawthorne Global, your number one choice when looking for freight forwarding companies. Click here and see how they can help you and your business grow! 

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