Navigating Customs: Essential Strategies for Successful International Expansion Like most ventures into new territory, international business expansion can be an adventure. However, if not properly managed, can quickly turn into a logistical horror.

About 80% of all customs delays are caused by incorrect details or incomplete papers, resulting in days or even weeks of waiting that have a knock-on effect on both supply chains and business. Worse still, most of these delays could have been easily avoided, if only the companies responsible had engaged in forward planning. Mistakes at the border not only result in disproportionate costs and losses – for small businesses in particular – but can also end in fines and even long-term reputational damage. So, it really is imperative to update both knowledge and processes to ensure this doesn't happen.

That said, staying up to date is often not enough on its own. Customs experts in multinational corporations must maintain knowledge of regulatory variations between countries, even within larger trade landscapes like the European Union (EU). For example, those exporting from the UK to Germany must follow a vastly different procedure, with different documentation, to those trading between the UK and Italy, despite the fact that both target countries are located within the EU. Indeed, differences in customs regulations are becoming even more marked in a post-Brexit landscape, highlighting the need for both local expertise and general, practical, expert guidance.

Avoiding the customs crunch
With trade regulations evolving rapidly across Europe due to changing political arrangements, digitalization and focus on the future of trade with the exponential rise of AI, working with professionals who specialize in navigating these evolving customs nuances pays dividends. Their expertise helps expanding companies avoid non only non-compliance risks but also other unforeseen pitfalls. Customs specialists can also assist with special procedures like temporary storage, bonded warehousing and duty optimisation, further reducing costs. Take the UK's Inward Processing, for example, which allows businesses to import goods for processing and re-export without needing to pay import duties on the transaction. This is something that could easily be missed by those unfamiliar with the nuances of British regulation, leading to additional, ongoing operating costs. Moreover, it is something that could quickly change, requiring eyes on regulatory updates at all times – an obligation that most SME owners don't have time for, particularly when it requires them to delve deep into jargon and detail.

Global growth needs local knowledge
From trade agreement and tariff classification to customs valuation and free zones, there's a lot to take in and be aware of. Yet it can all help businesses to legally reduce costs and improve cash flow, allowing them to remain competitive as they approach international trade. Businesses must thus engage in careful planning, seeking support to ensure they are adhering to customs regulations whilst taking advantage of lesser-known customs opportunities like temporary storage, which allows for the short-term holding of imported goods within a designated port, warehouse or facility, to give businesses time to deal with documents and pay duties. This interim period before goods are cleared for free circulation or re-export likewise gives entrepreneurs time to plan out their next step without immediate expenses – provided that facilities adhere to strict security and compliance standards and have been pre-authorised by customs. Another aspect to double check.

In addition to staying up to date with evolving regulations and potential relief schemes, entrepreneurs looking to enter new markets abroad must also secure the right licences Regardless of country of origin or distance travelled – both regional and international – setting up in new locations requires a deep understanding of local regulations. This understanding can be the difference between thriving and folding, with Italy demanding strict health and safety documentation from food importers and Germany calling for digital customs declarations on most goods, for instance.

One partner for multiple locations
Coordinating multiple customs brokers across various international markets could feel sometimes like juggling a diverse set of uniquely shaped and costly plates. One solution to this is to navigate international scale-ups and interactions with a single customs and trade solutions partner, capable of providing the consistency and support you need at local level across all of your markets, not to mention the benefits of centrally managed data in a single eco-system across various markets.

If you can find a trusted partner, this is actually a much better strategy for your business, given that you need to know the ins-and-outs of both the exporting country and the target destination. Local knowledge, supported by a shared operational understanding and infrastructure can make the difference between planning for today's risk vs planning for tomorrows expansion. With an internationally focussed, locally minded partner, you won't have to worry about reinventing the wheel each time.

Process backs ambition
The future of trade is very much international and digital, as the world becomes increasingly interconnected. Forward-thinking customs strategies are therefore more fundamental than ever. Scaling internationally requires so much more than ambition. Entrepreneurs must also ensure they understand and comply with ever-evolving customs regulations, embracing local procedures and knowledge while partnering with an equally ambitious, internationally minded customs support business. The world is open for trade – but only those who follow the map will go the distance.