When exporting to Asia-Pacific countries there are key financial areas that you will have to consider:
how much you are prepared to invest in setting up in the region
how you will manage your cashflow with the extra production and marketing costs that moving into an overseas market will bring
how you will arrange for payment for your products or services
It's possible that you will require some external funding. Business angels and venture capitalists can offer you a cash injection in return for a share in your business. Read more about equity finance.
Read more about the financial support available from Invest Northern Ireland.
Find out how much you will need
Your market research will show you roughly how much it will cost you to start trading in the Asia Pacific region. Read more about how to assess the opportunity for trading with Asia Pacific.
In many cases, the cost of entering the market will be determined by the route to market that you choose. Using an agent or distributor is the lowest-cost option and you may be able to fund the expansion through sales revenue.
Setting up a local office may be a cost-effective option, but it depends which market you choose. For example, it will be more expensive in a highly developed economy like Japan.
Most exports to Asia Pacific countries will be paid for with letters of credit. These are documents that guarantee payment by your customer's bank once your goods have been satisfactorily received. It's essential to use letters of credit, as chasing payment over such long distances is difficult and expensive.
You will need to trade in the local currency of your target market. This will involve opening a business banking account that accepts and can make payments in that currency. Read more about foreign currency and exchange risks.