Foreign trade intermediary
The main goal of business intermediaries is to optimise the turnover process. The intermediary company is used to optimise both import activities and export supply.
International taxation
Sometimes setting up a foreign company is an integral part of tax planning and tax administration strategy
Trade on a consignment basis (Call-off stock) in foreign economic activities
The sale of goods through a consignor who, for a fee, takes the products to his warehouse abroad and sends them to buyers, is an effective way of entering new markets
OPTIMISATION OF FOREIGN ECONOMIC ACTIVITY
In import-export activities, as in any other, many opportunities for business process optimisation and cost reduction can be found. With extensive experience in optimisation of both import and export activity, Westved employees have a wealth of practical skills and are able to offer a wide range of options to increase efficiency.
Foreign trade intermediary
A foreign trade intermediary is a way of doing business where an additional intermediary company appears between your company and your supplier. The main goal of business intermediaries is to optimise the turnover process. The intermediary company is used to optimise both import activities and export supply.
Benefits of using an intermediary in the procurement process:
- decisions related to cargo transportation are made by you, you are independent of the supplier’s capabilities;
- only one goods declaration for all goods from different manufacturers;
- only one EX1 (export declaration) for all goods of different manufacturers;
- assembly of goods from individual components into one common heading;
- possibility of consignment trading;
- savings in logistics costs;
- bank reliability, low currency transfers and loan interest rates.
Benefits of using an intermediary in the export process:
- distribution of goods closer to your buyer;
- ability to fulfil large customer orders;
- savings in logistics costs;
- an attractive local structure for your buyers
International taxation
Sometimes setting up a foreign company is an integral part of tax planning and tax administration strategy. For example, the profit of a Lithuanian company is taxed at the rate of 5% or 15%. The dividend tax for natural persons resident in Russia is 10%. In total, a shareholder spends from 14.5% to 23.5% of the company’s profit to pay Lithuanian company taxes.
Trade on a consignment basis (Call-off stock) in foreign economic activities
The sale of goods through a consignor who, for a fee, takes the products to his warehouse abroad and sends them to buyers, is an effective way of entering new markets. Ownership of the valuables sold belongs to their producer until they are transferred to customers.
The principles of consignment trading can be applied both as a way to sell one’s products and as a way to optimise the process of purchasing goods. In this way, the company:
- can promptly organise shipments of necessary goods;
- saves logistics costs as the goods are closer to the buyer;
- balances the cash flow as there is no need to pay for the goods before they are shipped.
International project development
Sometimes it is difficult for companies to develop projects abroad due to the high costs of their implementation. Westved will offer you ways to develop your projects abroad at the lowest cost.
In what cases might you need our help in development of international projects?
- If you buy goods abroad and a foreign buyer of these goods has appeared.
- If you have a construction site abroad.
- If someone has an exclusive right over goods you wish to purchase in the market, but you want to buy them directly from the manufacturer.
- If for any reason you are unable to sell the goods to your buyer.