The international trading market is getting more and more interconnected. In this new globalized economy moving your business to a strategic location is more viable than ever before. Outsourcing your warehousing and logistics needs is also easier than ever before. Governments and lawgivers are constantly working on providing the best environment for trade in their countries. The reason for this is that trade is lucrative and beneficial for society at large.
The government of the European Union has been especially progressive in this regard. Because of the strategic geographical positioning trade is a logical field of business the EU has invested time and money in. This has resulted in some great opportunities for international businesses to reduce their overhead costs and increase their profits by moving their operations to Europe. You can check out some of the reasons for that beneath.
1 . Bonded Warehousing
Bonded warehouses are facilities in which goods that fall under customs law are kept before duties are paid. In this way, any imported goods from outside Europe can be safely and legally stored in our bonded warehouse without you having to pay customs immediately. Once you receive the order on your online sales page, you pay the customs duties with part of the profit earned from the sale.
If the product is to be shipped back outside the European Union, you can even avoid paying at all. This is because VAT is only paid when imported goods are sold, not on re-exported goods from the bonded warehouse. Some companies report up to 25%-30% saved on these taxes.
This is perhaps one of the biggest advantages of moving your warehousing to Europe. It simply opens up the European market to your company that’s not possible in any other way. And the European market, especially the e-market, is one of the largest in the world.
2 . Top-Quality Infrastructure
From warehouses and receiving centers to roads and airports, Europe has top-notch infrastructure. This makes logistics much easier. And easier means less costly. The added benefit is that your wares will always be insured from any damages and loss.
In the more developed countries, like the Netherlands, this stretches even further to the field of electronic infrastructure. For example, 99% of the population has internet access. This kind of internet-access penetration is an important factor in how you manage your business.
Warehouses in Europe recognize that fact and build sophisticated software systems to adapt to it.
3 . Internationalism
Whether you want to access the Middle-Eastern trade market or the Chinese trade market,Europe is a great place to have your base of operations. The various infrastructural connections and trade deals between countries allow for easy passage to other markets. And because of the high level of competition, the costs are significantly lower.
4 . All-In-One Solutions
By outsourcing your warehousing to Europe you don’t just outsource the storage of your goods. You also outsource the proper handling, preparation, and packaging of the goods. Especially if you want to access other markets this can be very important. By leaving the experts to adapt your brand to the new market, you are sure to make a splash.