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10 Things to Consider When Expanding to the US: A Guide for UK Businesses

The United States also known as the land of opportunity, is home to a massive market with significant growth potential. Read 10 key considerations for UK businesses entering the US market.
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The United States also known as the land of opportunity, is home to a massive market with significant growth potential. It’s no surprise that many UK companies are eager to tap into this lucrative market. However, before you take the plunge into the American business landscape, it’s crucial to understand the nuances and complexities involved. Here are 10 key considerations for UK businesses entering the US market:

1. Ensure that the timing is Good

The US economy is in a strong position, with low unemployment, rising wages, and a favorable corporate tax rate. It recently regained the top spot in A.T. Kearney’s Foreign Direct Investment Index, indicating its attractiveness to international businesses. This strong performance signals increased stability and attractiveness for international businesses like yours. Capitalizing on this favorable environment can accelerate your integration into the market, allowing you to tap into a vast consumer base with growing purchasing power. However, remember that economic landscapes are dynamic, so stay informed about potential shifts and adapt your strategy accordingly. By entering at an opportune moment and remaining adaptable, you can leverage the current economic strength to propel your US venture to success.

2. Embrace Cultural Diversity

While the US operates under one legal framework, its vibrant cultural diversity manifests in various business practices and communication styles. Recognize that your “one size fits all” approach might need adjustments. Don’t assume that speaking the same language will make things easy. Cultural differences can be significant, affecting everything from marketing strategies to workplace communication. Embrace learning about different cultural expectations to ensure effective marketing, communication, and workplace interactions.

3. Adapt Your Sales Approach

US sales culture is generally more direct and persuasive compared to the UK, where buyers are expected to take more initiative. Be prepared to clearly communicate your value proposition and address customer concerns proactively.

4. Be Mindful of Litigation

While the US offers exciting opportunities, its litigious nature necessitates awareness of potential legal pitfalls. For UK businesses, key areas to navigate include:

  • Employment Law: Familiarize yourself with the complexities of “at-will” employment, wrongful termination lawsuits, and potential discrimination claims. 
  • Intellectual Property (IP): Rigorously protect your IP – trademarks, patents, and copyrights – through proper registration and enforcement strategies. Seek legal counsel to understand US IP laws and potential infringement risks.
  • Discrimination Laws: Upholding inclusivity and diversity is crucial. Navigate complex anti-discrimination regulations regarding race, gender, religion, and age to avoid legal entanglements. Regular diversity training for your US team can prevent unintentional biases and foster a positive work environment.


By proactively addressing these legal considerations, you can minimize risks, operate with confidence, and focus on building a successful and sustainable business in the US. Remember, seeking legal advice tailored to your specific industry and operations is crucial for navigating the nuances of US law and mitigating potential liabilities.

5. Prepare for Recruitment Challenges

Finding the right talent can be tougher in the US, especially when you’re new and navigating the unique employment landscape. One key factor to consider is “at-will employment,” which is prevalent in the US and gives both employers and employees the freedom to terminate the employment relationship at any time, for any reason (as long as it’s not discriminatory).

Building a network and leverage personal connections or recommendations is crucial. Agencies can be helpful, but be mindful of their fees and ensure you have a solid refund policy in place.

6. Healthcare System

The US healthcare system differs significantly from the UK model. Unlike the tax-funded national system in the UK, most Americans receive health insurance through private plans often offered by employers. Be prepared for potentially higher healthcare costs compared to the UK, with premiums varying based on the plan and company size. Factor these potential expenses into your budget early on.

7. Network for Success

Building a strong network is crucial for navigating the US business landscape. It opens doors to valuable information, potential partnerships, and diverse industry perspectives. Here’s how networking can empower your success:

Expand Your Reach:

  • Industry Events: Attend conferences, trade shows, and workshops relevant to your sector. These events offer opportunities to connect with potential clients, partners, and experts.
  • Business Associations: Join associations related to your industry or region. These groups provide professional development, networking events, and advocacy for your interests.
  • Online Communities: Engage in online forums, social media groups, and professional platforms to connect with like-minded individuals and businesses.

8. Choose Your Location Wisely

The state you choose to register your business in can significantly impact your tax and employment obligations. Delaware is the most popular choice due to its business-friendly laws and regulations.

While incorporating your business in the US can offer advantages, it’s not the only option for foreign companies. Employer of Record (EOR) lets you onboard employees in days, not months. They handle compliance, payroll, and HR, so you can focus on growing your business. Perfect for startups, remote teams, and expanding companies. Access top talent, scale flexibly, and avoid entity setup complexity. Learn more about Foothold America’s Employer of Record Service.

9. Leverage Strategic Partnerships for Accelerated Growth

Don’t go it alone in the vast US market. Strategic partnerships with established US businesses can act as a springboard to success. Seek synergies with companies that share your target audience, values, or complementary expertise. Collaborate on marketing campaigns, co-develop products, or leverage each other’s distribution networks. These partnerships can grant you immediate access to established customer bases, market insights, and local knowledge, accelerating your brand recognition and growth potential. Remember, a successful partnership thrives on mutual benefit, so clearly define the value proposition for both parties and invest in open communication and trust-building for a flourishing collaboration.

10. Seek Expert Guidance

Expanding to the US requires navigating legal, cultural, and operational nuances. Don’t hesitate to leverage the expertise of organizations like Foothold America, specializing in guiding UK businesses through these intricacies. Our team of experts understands the unique challenges you face and can provide invaluable support in areas like business structure, legal compliance, market research, recruitment, and cultural understanding. Foothold America’s tailored guidance can minimize roadblocks, maximize efficiency, and significantly increase your chances of success in the dynamic US market. Remember, investing in expert guidance can save you time, resources, and potential pitfalls, ultimately driving a smoother and more successful expansion journey.

Expanding your business into America

Your one-stop-shop of frequently asked questions, ballpark figures for the cost of expansion, comments from other entrepreneurs who have been through the process and insight from experts in areas such as tax, visas and HR.

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Bonus Tip:

By understanding these 10 considerations and seeking expert guidance, UK businesses can confidently enter the US market and unlock its vast potential. Remember, with careful planning and preparation, you can turn the American dream into a reality for your company.

If you’d like to discuss your US plans with one of our US Expansion Experts, please fill out the form below.


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Your one-stop-shop of frequently asked questions, ballpark figures for the costs involved, comments from others who have been through the process and insight from experts in areas such as tax, visas and HR.

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