For small business growth, consider the international market

As a small business owner, you may have never considered expanding globally. The process of tackling new international markets may seem too daunting, requiring specialized knowledge and high-level contacts only the big players have access to. But this isn’t always the case.

There are hundreds of examples of successful businesses starting small before going global. Apple started in that famous garage and Starbucks began as one of many small coffee shops in Seattle. Or, take the brother-and-sister team of Sabrina Finlay and Ryan Shaffer, co-founders of Otabo, a company that specializes in manufacturing shoes for established brands and startups. Both began working in their father’s factory, doing everything from mopping the floors to cleaning workstations. Today their Minneapolis-based business has an impressive international reach, with 50 factories around the globe and clients from Botswana to Lebanon.

There is no reason your small businesses can’t boldly go forth into the international arena. To get your entrepreneurial spirit thinking globally, here are five strategies you should know.

 

1. Get specific about why you want international expansion

Being clear on why you want to extend your business overseas will play a big part in determining your strategy. Is the U.S. market too small for your company? Are you looking for a less competitive market in which to get a foothold? Your reasons will impact nearly every aspect of your international expansion plan.

 

2. Study the culture

Expanding overseas may require intense research into the countries you want to target. You will want to know how each new culture will affect your business. Studying up on each nation’s values and traditions can help you determine whether your product or service will appeal to its culture, and how best to invest in marketing campaigns to educate potential consumers.

 

3. Research the logistics

No matter where your business takes you, infrastructure will be a major factor. You will have to gather intel on logistical issues such as transportation, distribution networks, manufacturing facilities, and even the local work ethic. Doing business overseas requires a close knowledge of local peculiarities, a detailed plan, and the flexibility to adapt.

 

4. Make sure you get paid

Managing your cash flow, monitoring exchange rates and other matters pertaining to financing will be a big part of doing business overseas. This can be complicated, but there are agencies and government services, such as the Export-Import Bank (EXIM) , that can help.

 

5. Consolidate services into one business model

As you develop new markets, you will have to make many adjustments. While flexibility is key, you do need to retain a consistent way of doing business that applies to all your services; otherwise you will face the problems that arise when the left hand doesn’t know what the right hand is doing.

 

To learn more, explore this curated roundup of federal, multilateral and state links of global-information business resources and best practices.

It takes daring and charisma to run your own business. Not to mention financial investment and your time and focus. But if you’re already a successful small business owner, and the entrepreneurial spirit still gets you fired up, you may be ready to make the leap into the international market. 

 

Learn more about how U.S. Bank can help you take your small business global. 

Learn about U.S. Bank

Related content

Ask an expert Q&A: 3 US ETF trends and their impact in Europe

High-yield bond issuance: how to avoid 5 common pain points

European outlook: Trustee experience more important than ever

Trends in economics, immigration and mobility policy

Emerging trends in Europe: An outlook from multiple perspectives

Liquidity management: A renewed focus for European funds

Administrator accountability: 5 questions to evaluate outsourcing risks

3 innovative approaches to ESG investing in Europe

Rethinking European ETFs: Strategy wrappers and a means to an end

Case study: U.S. asset manager expands to Europe

Key considerations for launching an ILP

For small business growth, consider the international market

Ask an expert Q&A: 3 US ETF trends and their impact in Europe

Programme debt clients want reliable service – no matter where they’re based

Luxembourg's thriving private debt market

6 benefits of a multiple-role service model for European funds

Luxembourg funds: 5 indicators of efficient onboarding

ESG-focused investing: A closer look at the disclosure regulation

4 reasons your Luxembourg fund needs an in-market administrator

Combined strength: Luxembourg and your fund administrator

5 questions you should ask your custodian about outsourcing

10 ways a global custodian can support your growth

Depositary services: A brief overview

Business risk management for owners of small companies

Tech tools to keep your restaurant operations running smoothly

Crack the Swift code for sending international wires

Digital banking and cloud accounting software: How they work together

Save time with mobile apps for business finances

How I did it: Grew my business by branching out

Making a ‘workout’ work out as a business

How a bright idea became a successful business (in Charlotte, North Carolina)

Making the leap from employee to owner

Tools that can streamline staffing and employee management

How to identify what technology is needed for your small business

Planning for restaurant startup costs and when to expect them

How small businesses are growing sales with online ordering

How small business owners can budget for the holiday season

Why credit cards should be the first choice for business payments

7 uncommon recruiting strategies that you may not have tried yet

How increased supply chain visibility can combat disruptors

6 common financial mistakes made by dentists (and how to avoid them)

Business credit card 101

How to apply for a business credit card

What kind of credit card does my small business need?

Do I need a credit card for my small business?

5 questions business owners need to consider before taking out a loan

How to establish your business credit score

5 ways a business credit card program can grow your business

Building a business with a great product and a greater purpose

How running a business that aligns with core values is paying off

Meet the Milwaukee businessman behind Funky Fresh Spring Rolls

Honey Luxury Beauté: growing a side project into an eye-catching beauty business

How Shampoo’ed is transforming hair and inspiring entrepreneurs

The San Francisco bridal shop that’s been making memories for 30 years

How Al’s Breakfast is bringing people together

In a digital world, Liberty Puzzles embraces true connection

Celebrity Cake Studio’s two decades of growth and success

How a travel clothing retailer is staying true to its brand values

Disclosures

Start of disclosure content

Loan approval is subject to credit approval and program guidelines. Not all loan programs are available in all states for all loan amounts. Interest rate and program terms are subject to change without notice. Mortgage, Home Equity and Credit products are offered through U.S. Bank National Association. Deposit products are offered through U.S. Bank National Association. Member FDIC.