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When most people think about starting a business overseas, their minds immediately jump to logistics: registering the company, navigating local laws, and finding office space. But one of the most exciting (and often overlooked) aspects of expanding internationally is tapping into the global pool of innovation especially in the realm of artificial intelligence (AI).
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Global Expansion Challenges
There are many considerations when expanding into new countries. From statutory labor requirements to payroll and tax filings, operations can get complicated without the right structure and technology in place.
Here are some common global expansion challenges and ways to avoid problems as your company moves into new countries.
Getting Started
The biggest consideration when you expand into a new country is what type of entity you should set up or if you should consider an Employer of Record (EOR). Depending on the number of employees, the type of business, and the countries, choosing the right option is critical for scaling your business as you grow. Each country has unique regulations and tax considerations that are based on how your business is structured.
Global Payroll
When you start hiring employees across multiple countries, the next consideration is payroll. How will your team manage in-country payroll and labor laws and compliance? If you use different vendors in each country, payroll can quickly become complicated with disparate systems, reporting inconsistencies, and lack of aggregated data across countries. Maintain control with an aggregated payroll platform with real-time access to payroll across all of your countries.
In-Country Compliance
HR compliance is another consideration when expanding and hiring in new countries. What HR system will you use to manage sensitive employee data? Using spreadsheets to manage data can lead to compliance problems down the road. The best way to manage global HR is with one system that can integrate with your payroll, so you have one system of record for all employee data and there is no need for duplicate data entry. Using a compliance tool can also be helpful, so you can stay ahead of labor and compliance changes as they evolve in each country.
Blue Marble has helped companies all over the world navigate global expansion, payroll, and compliance. We have a team of global experts that can help with business registration, benefits, labor and tax regulations, and global payroll. We have an aggregated payroll platform with real-time access to payroll across 100+ countries to simplify global payroll, ensure compliance with in-country regulations, and integrated treasury management so you can pay employees in USD and settle in the local currency. If you’re considering global expansion, talk to our team to get started.