Although global business is often a necessity in the present day life-sciences world, many companies hesitate to expand their operations into the EU. There are a lot of unflattering myths about running businesses in the EU that could be daunting for life-sciences companies. It is an exciting prospect, though (necessary growth aside, even)…but are you ready? It’s a BIG decision and you need to carefully consider some key factors.
We’ve helped bioscience companies capitalize on opportunities in the EU, and along the way we’ve found that there are really five factors that make or break a life-sciences company’s EU expansion efforts. From our experience, here are the questions you should be asking yourself before making the big decision:
Are you financially stable?
It’s important that your company is financially stable, that the projected revenue during the expansion is steady. Expanding into Europe will take an investment – though not necessarily an expensive one. If you have the right expertise, you’ll find that there are lots of cost-saving options.
Do you have the capacity?
Most likely you are expanding because your company is already successful. Which does make it difficult to find even more time for the expansion process. Naturally, you don’t want to make too many hires before the expansion proves a success, but your current staff are probably all pretty busy being successful already. This is where experts come in: you can hire someone who knows the ins and outs and let them do the dirty work, like banking and taxes and payroll (oh my!). Since an expert will be able to work faster and more efficiently, you’ll end up saving money and time.
Do you have the right staff?
Do you have employees in the EU that can conduct clinical research or can help launch and develop your therapeutic products? If yes, awesome! If not, may we suggest a niche recruitment company?
Do you have local knowledge?
The EU can get a bit complicated, each country brings it’s own unique challenges. You’re going to need some boots on the ground to help you get going!
Do you have the guts?
This is a big decision, and you need to be brave. Expanding a company, especially into another country, is tough, and the risk of it not working and you losing your investment is real. (Though it can be mitigated by working with locals and experts.) It’s important to take stock of your current company. Do you have a strong, innovative and supportive company culture that compels the staff to take big leaps like this? Does your company have a vision for global growth? To make this work, you’re going to have to sell your staff on the expansion and get everyone excited and on board.
(And, yes, of course Seuss Consulting has tips for that, too!)