Expanding your business into a new market is a fantastic opportunity that allows you to grow your customer base and take your business growth to the next level. While expanding your business is exciting, it can also be daunting so here are a few tips to help you expand your business into a new market.
Location, location, location
Of course, one of the key things to consider when expanding into a new market is where exactly you want expand. Different countries, both in Europe and internationally, are known for different industries. For example, while the Netherlands is a hotspot for technology, Turkey is favoured for its strong manufacturing industry.
Meanwhile, different countries also have different laws, visa regulations and business practices so it’s worth considering whether your chosen country is a good fit for you and your business.
But, your location decisions don’t stop at country level. It’s also worth considering whether your global expansion will be a physical one with a brick and mortar office base or whether you will set up a virtual office. While virtual offices can allow for a quicker expansion often with short-term leases and less overheads, establishing a physical office can make more of an impact in your chosen market and provide a central base for your employees and customers.
Whether you’re deciding on a country, region or office-type, one thing is crucial when choosing your location for business expansion: research. After all, the more you know about your chosen market the more likely you are to make the right decisions and thrive in your new market.
Assemble your dream team
When growing your business internationally you can choose to relocate your existing employees or hire a new workforce in your new location.
Relocating your existing employees can of course be easier: they already know your business, are trained up and reading to hit the ground running. On the other hand, they may not be willing to relocate and it could leave a talent shortage back at your existing base.
Hiring new talent on the other hand, gives your expansion a fresh start with potentially local talent who are familiar with the market in your chosen country. The only downside is that recruiting internationally can be difficult and competitive, especially if you are unfamiliar with the market and if your prospective talent is unfamiliar with your business.
From visas to tax, different countries, and even different cities, having different employment regulations. In order to expand your business into a new market, you need to do your research and get 100% compliant with employment laws. Non-compliance can result in hefty fines and your business expansion being halted before it’s even begun.
But, it’s not just employment laws that you need to comply with if you want to thrive in a new, foreign market. Getting up to speed with best cultural and workplace practices in your chosen country is vital to a successful expansion. Whether it’s for your clients or your employees, showing you have invested in their culture establishing a successful and positive working environment.
Hire a PEO
Expanding your business into a new market, including the steps above, can feel overwhelming. Complying with employment laws, searching for the top talent and setting up a legal entity can be time-consuming and costly, and can take you and your team away from your global expansion.
It is therefore highly recommended that businesses use a Professional Employer Organisation (PEO) or Employer of Record (EOR) when expanding into a new market. A PEO can manage the employment of your international hires, removing the need for a costly legal entity. As your PEO partner and as a recruitment partner, Leap29 can also help you compliantly hire the correct talent for your businesses. Enquire about our PEO services today and let Leap29 take the pressure of expanding into a new market from your shoulders.