Currency fluctuations, customs and laws, red tape, supplier issues, shortages of labor, long turn-around times -- these are all challenges of doing business internationally. "Don't underestimate face to face business. Get on a plane," Devon Rifkin of The Great American Hanger Company, who does business around the world, told the audience at the Miami Herald Small Business Forum Thursday. Though the company has many of its hangers made in Asia, what's new is that the company is now giving customers more Made in the USA options.
Frank Unanue of Goya Foods of Florida noted that in his industry margins are already small, so great logistics, a lean supply chain and vertical integration are key. Goya sources from all ofter the world. "We try something and if it doesn't work we try something else." But one thing he sticks by: loyal, trustworthy, reliable suppliers -- even if he has to pay more. Some have been with his company for more than 50 years.
Mary Hernandez of the U.S. Small Business Administration, who specializes in its export programs, advised the audience to do your homework and take advantage of resources like export.gov and sba.gov/whyexport, where you can develop your own international marketing plan. She advised working with lenders participating in the SBA's import/export program -- companies need to have at least one year of operation under their belt. She said lending within the program has gone up in South Florida, from $14 million in 2010, to $20 million in 2011, and she expects more in 2012.
Desmond Alufohai, international trade coordinator at Miami-Dade County's Office of Economic Development & International Trade, pointed out that there are also local resources available to help small businesses. His department offers trade missions, webinars and workshops, a newsletter and more.
There's a growing need. Jerry Haar, professor and head of FIU College of Business's Eugenio Pino and Family Global Entrepreneurship Center, pointed out there are 400,000 companies in Florida who are exporting and that 97 percent of U.S. exporters are small businesses.
(Photo of Miami Herald Small Business Forum at FIU's College of Business courtesy of BGT Partners)