If you are reading this, you’re probably thinking of expanding your company to a new country. However, the big move into a new country comes with its own complexities right from the get-go.
We have taken these learnings and simplified the process of expanding into any African country and U.S (Delaware) on our platform, but before you begin, here are 4 factors that will help you make the right decision.
Factors to consider when expanding your business
An essential first step is for you to conduct market research; this involves gathering information on the viability of your business or product within a particular pool of customers.
This will give you a good understanding of how prospective customers will interact with your products using previous data. But, of course, you don’t want to create a solution for a non-existent problem.
Your research should answer questions like: “Who is my target audience?” “Who can afford my services/products?”, “How should I price my product?”, “How large is the market for my service?” and “Who are my competitors”.
Having answers to these questions will steer you towards data-driven decisions.
Language and Culture
With about 7,151 languages spoken in the world today and 2,000+ in Africa alone, there is a need to familiarise yourself with the culture in each region and individual country.
Different regions come with a difference in culture, which influences how people interact with products and services. This raises some concerns for businesses planning to start in a new market – “How will we speak with our customers?”, “How will they understand us?” etc.
This can hinder your choice of a target country; however, it should not deter you from starting your business in a country where you do not speak the local language. An easy fix is to have at least one member of your team who has intermediate fluency.
Every country has its laws and regulations that govern interactions, and the business sphere is not left out. For example, some countries have prohibitive rules towards foreign investment, while others strongly encourage foreigners to start businesses.
Before deciding on what country to expand to, you should pay attention to what laws govern your industry and how those may affect you with the help of a local legal advisor.
Political upheaval directly impacts the economy of a country. Many countries have had their fair share of political turmoil with lasting impacts such as increased debt, high unemployment rate, and volatile exchange rates.
To make the right choice, your target country should have some (or all) of these: low inflation, stable exchange rates, low unemployment and a growing middle class.
The best way to know more about the internal situation of your target country is to follow local news and thought leaders who share unbiased viewpoints or subscribe to our newsletter to get updates on policies across Africa that may affect your business.
Ready to expand your Business?
Let’s show you the seamless way. With Norebase as your incorporation partner, whether you are launching or expanding your business to any African country or the U.S, the process is straightforward and quick.
Some African countries we can help you expand to include Ghana, Kenya, South Africa, Nigeria, Rwanda, Senegal, Cote D’Ivoire, Togo, Tanzania, Egypt, Burkina Faso and counting.
Start today at www.norebase.com.
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Read: Why you need to Incorporate your company