Brexit is going to be a challenge for all EU companies that export either from the UK or into the UK. The simplicity of the Single Market and Customs Union has been taken for granted and there is a generation of business people out there which has never experienced the headaches of customs declarations, duties, VAT payable on import, deferment numbers, apostilles, Chamber of Commerce attestations etc etc.
As just one example many EU based SMEs actually prefer to make large purchases from EU members outside of their country as there is no VAT on the invoice, as compared to a local company that must charge the tax. This has a real benefit for their cash flow. OK, you can claim it back, but in these post financial crisis times some governments are taking up to 12 months to make the refund! This benefit will most likely disappear and with it some of your export business.
That is unless you start planning now. The final Brexit agreement is as yet unknown, but you can certainly expect there will major challenges at some stage, perhaps no deal, or Single Market or Customs Union. There could also be duties on your goods and services.
Go Exporting’s Brexit consultancy services can help you navigate the Brexit minefield. It’s coming up on us fast, so there is no time to waste. Contact us today to arrange a review of the potential impact on your business.