Business environment: Is the business environment conducive to a successful entry and expansion strategy?

Acknowledging the complexities associated with a territory’s laws and regulations, including its political and economic stability

Regulations & tax structure - Key considerations:

  • What are the main direct and indirect tax considerations one has to be aware of in this sector?
  • What licenses/ approvals do you need to do business in a new market?
  • What tax incentives might you be eligible for?
  • How should you best structure yourself in order to be able to take profits out?

Institutional landscape - Key considerations:

  • Is the institutional and judicial landscape in the country supportive to operating in the country?
  • What powers do federal and state institutions have?
  • How do these interact with one another?
  • Are there gaps in the legislation that you normally rely upon (e.g. Corrupt Practices Act)?
  • Do major institutions protect foreign investors’ interests? Can the judiciary be fair and unprejudiced in case of a dispute?

Country & strategic risk - Key considerations:

  • What are the political and economic risks in entering and doing business in the country?
  • What is the political situation and how might it affect growth in your sector (e.g. elections)?
  • What is the future economic growth outlook?
  • How do you deal with the existing corruption and nepotism?
  • Where does the country rank in ease of doing business?