International Business Transactions Checklist

• Geography and culture: What are the cultural influences on business? What languages are spoken? What are the neighboring countries? ​
  
  
• Investment environment: Are there diplomatic relations established with the country? What are the environmental requirements? Does the country welcome investment, and is it restricted in any way?
  
  
• Investment incentives: Are there tax incentives for exports? Are there grants or subsidies? Are there national or regional tax incentives?
  
  
• Financial facilities: What kind of financial institutions exist? What are the requirements for banking?
  
  
• Exchange controls: Are there restrictions on direct investment? Is there a free determination of exchange rates? What are the restrictions on transfers of money in and out of the country?
  
  
• Import/export regulations: Is the country a member of any trade treaties or of the European Commission? Are there restrictions on exports? Is an export license required? What are the foreign trade regulations?
  
  
• Structures for doing business: How are companies structured? Are there limited liability opportunities?
   
• Requirements for establishment of business: What are the antitrust laws? Alien business law? What government approvals and insurance are required?
  
  
• Operation of the business: What are the accounting requirements? Costs of construction? Price controls? Business ethics? Trade associations?
  
  
• Cessation or termination of business: What is required to close an operation? How long does it take? Does it need government approval?
  
  
• Labor legislation, relations and supply: What are the employment regulations? Are there statutory benefits? What about trade unions? Is there a ready labor pool?
  
  
• Tax on corporations and other entities: What are the major allowances? What are filing and payment requirements? What are the registration duties? What social security or other welfare contributions are required?
  
  
• Tax on individuals: How is the taxable base determined? What are the filing requirements? What social security or other welfare contributions are required? What about stock options, savings plans, etc?
  
  
• Tax on other legal bodies: How is the taxable base determined? What about capital gains, special tax themes, tax losses and territory rules?
  
  
• General tax considerations: Are there ways to structure payments and the company in a favorable manner?
  
  
• Immigration requirements: Are there immigration quotas? Are there banned countries? What is the duration of visas?
  
  
• Expatriate employees: What are the costs for expatriates training, evacuation, protection, benefits, moving costs, tax liability, etc.?

Source: Darryl A. Weiss

Mary E. Medland is a freelance business writer based in Baltimore.

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