How to choose the right foreign partner

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The search for reliable counterparty companies that will buy export goods or supply imported goods should be started immediately after the decision to start a business on import or export of products has been made. In doing so, it is necessary to take into account the requirements of trade and economic agreements with foreign countries and Russia's existing international obligations.

You need to start by collecting information. Choose reliable companies whose area of ​​activity is trading the product you are interested in (in one target country or in several at once), and fast food email list collect as much available information about them as possible.

Only a small part of the huge number of foreign commercial companies (in economically developed countries) are well known in Russia as participants in foreign economic activity.

The so-called transnational companies (TNCs) occupy leading positions in the world market, although there are significantly more small and medium-sized firms abroad.

If we talk about the last ten years, the number of foreign contractors has increased significantly, while their quality characteristics have noticeably worsened. Therefore, one should approach the choice of partners extremely carefully, not to build business with companies that have a dubious reputation and do not value their positions in the market.

What circumstances are important to pay attention to?
what kind of company is it, what legal status and legal capacity are specified in the constituent documents. Registration in the trade register of your country must be confirmed by the relevant details of the foreign counterparty. Check that the real and legal addresses match. It is a bad sign if the company provides a fictitious address or uses a P.O. Box (o/s) on demand instead of an address;

what the company specializes in, what are its production and turnover volumes, what is its market share, what is the development dynamics over several years;

what are the company's solvency and creditworthiness indicators, relationships with banks; find out the bank details of the foreign counterparty;

whether there are subsidiaries, additional branches, representatives in Russia and other places abroad. What is the share of financial participation of the selected company in the affairs of other companies;

what is the company's reputation, feedback from business partners, established connections in business circles;

Among other things, clarify information about the management team, the owner himself and employees (position, competence, rights to conclude transactions, etc.) authorized to represent the company in business negotiations.

The Vienna Convention prescribes the principle of good faith in the construction of international trade relations, and serious foreign companies are well aware of this. Good faith means establishing business in accordance with generally accepted rules of business ethics. Information regarding the legal form of the company, its statutory legal capacity, production capacity and trade opportunities must be reliable.

As for the practical side of the issue, good faith on the part of foreign counterparties is not always observed. Information available to Russian partners often turns out to be inconsistent with reality. For example, it happened that the partner company was not registered and was not located at the specified address and it was impossible to find it.