smallbusiness.co.uk: Helping your business think big

The majority of Britain’s small businesses are not concerned by the expansion of the EU, with 75 per cent saying that they see it as having no impact whatsoever, says research released by AXA group. So are they missing an important opportunity?

While 48 per cent felt that increased EU legislation was bad for business and 28 per cent saw lower wage competition in Europe as bad news, it seems that many are unable to identify the positive prospects of an expanded Europe.

Olivier Mariee, AXA's UK group marketing director, said ‘There are clearly many businesses embracing international trade. However, there is plenty of scope for much more action from Britain’s small business to capitalise on international export markets.'

For small firms, competition throughout Europe offers both a threat to UK business and a chance to exploit additional sales channels.

The British Chamber of Commerce (BCC) and AXA have put together a list of things for small firms to consider if they are thinking of increasing their activities abroad:

-    Get in touch with as many support organisations as possible for advice. In addition to the BCC, UK Trade and Investment (UKTI) is an important source of information. Visit www.chamberonline.co.uk or www.uktradeinvest.gov.uk for more information.

-    Ensure your business is prepared for export. Have you thought about the implications of export on finance, staffing, product and communications? Could you cope with a significant increase in demand for your product or services?

-    Think carefully about where to export to and conduct detailed research. The BCC runs the Export Marketing Research Scheme, which can help fund research and gives advice on how to look into unfamiliar markets. There is also a two-day training course called ‘Researching Export Markets’ which covers the whole process. You can also attend a ‘Passport to Export’ programme. Contact the BCC and UKTI for details.

-    Invest in good legal advice to protect your business. Ensure your contracts and business practices are compliant with any national, state or regional legal requirements in your proposed export market.

-    Don’t assume that it’s easier to export to English speaking countries. This is often not the case, as many English-speaking countries have national state and even regulatory issues to consider. Exporting to EU member states may be easier because of consistent regulation. Remember, English remains the international language of business in general.

-    Don’t be put off by language barriers. The BCC runs a scheme called ‘Export Communications Review’. This aims to help businesses tackle language barriers when exporting to non English-speaking countries.

-    Prepare a business continuity plan and protect your business in case problems occur. Look at all the potential risk areas your business is taking on when starting to export. London First has produced a useful document on business continuity. Click here to download it.