If you are looking to do business in the U.S., you will have numerous opportunities to succeed, but there are also some pitfalls for which you should keep a lookout. You should understand what to expect, how to be prepared, and the best approaches to take so you can succeed with your business on all levels. Here is a closer look at what it is like to do business in the U.S.
The Benefits and Opportunities
The U.S. is both a political and an economic powerhouse, so it is a prominent player in the business world. There are many benefits to doing business in the Land of the Free:
- Punctuality – In the U.S., the old saying “time is money” is taken seriously. American business etiquette focuses on punctuality and adhering to deadlines. Americans believe in getting the best results in the shortest timeframe, so it is customary to expect things to be done efficiently and quickly in the U.S.
- Dedication – The U.S. has strong qualities, such as personal achievement, self-reliance, initiative, and independence. Accountability, professionalism, and competence on a professional level are highly respected and valued for individual performance. These qualities stem from the beliefs that the nation was founded on financial prosperity and success that results from hard work.
- Equality – While there are many differences in American society, equality creates the foundation of many social relationships. Rather than status or age, achievement is based on achievement. When doing business in the country, you may be surprised to find an informal working environment where there are conversational tones and employees recognize themselves and supervisors by their first names.
- Openness – Open communication is considered beneficial to improvement and innovation, so challenging the standard and the status quo is encouraged.
When you are running a business based in the U.S., there are rules that you must abide by. Some of those rules put American businesses at a disadvantage compared to those businesses located elsewhere. Here are some of the pitfalls of doing business in the U.S.:
- Offshore investments – There are strict limitations in making offshore investments. The SEC has complex rules that establish restrictions regarding the mutual funds that aren’t available in the country. One option may be to open an offshore bank account for those investments.
- American Imperialism – As a U.S. company, engaging in corruption with officials overseas is prohibited. The Justice Department prosecutes companies that try to get an advantage by bribing high-ranking officials in other countries.
- Toxicity of America business partners – Often a non-American and an American as business partners doesn’t work. While someone from Australia can easily bank in Switzerland, an American is basically all but off limits. Americans are required to report their interest in any foreign company, even if it is only a minority share, which leads to more paperwork requirements.
Knowing the Basics
Doing business in the U.S. comes with its challenges. If you are starting a business in the U.S., or if you have questions about your existing operations and its requirements, you should consult with a knowledgeable team of business consultants and accountants. Contact the experienced team of business experts at MKS&H. We would be happy to meet with you at your convenience to discuss the best strategies for your business.