How to Grow Your Business by The Accountant LLC - HTML preview

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Step 9: Export your goods or services

Growth by expanding into overseas markets can mean bigger profits, but it can also mean bigger risks. Successful exporting doesn’t happen by accident it needs careful planning and commitment.

If your product is doing well locally, determine if there’s a market for it overseas. Exporting is a great way to maximize your profits and bring in new customers.

Are you ready to export?

It’s crucial to understand and prepare for the risks associated with exporting before getting started. These risks include foreign exchange, and political, shipping and legal issues. Integrating risks into your business or export plan will help you mitigate them.

Follow the steps to successful exporting

Weigh the cost of entering an export market against the returns. First determine potential market size and then test market your product or service before you go ahead.

Growing in a new market offers high potential for growth as you may be able to take your successful business model and duplicate it in another area. This is why franchises can do so well; if you’ve established that your business model appeals to a certain market type (consumer or business) then all you need to do is find more of this market type somewhere else. To increase your chance of success in a new market:

  • Conduct an extensive financial analysis to ensure the move is viable
  • Use your existing business information such as demand compared to population to assess the potential
  • Research the competition
  • Investigate reducing the risk (but also the margin) by partnering or creating alliances with existing businesses/distributors in the new area first
  • Talk to other business owners who have already entered your targeted markets and ask them what to watch out for.