Doing business in the United Kingdom
Though no longer in the driver's seat of a worldwide empire, Great Britain is nonetheless a major global economic power, and many an expat will find themselves interested in doing business in the UK.
Each of the state's four nations, England, Scotland, Wales and Northern Ireland, certainly retain their own unique characteristics, but when it comes to the working world, practices, etiquette and culture are fairly standardised; all governed by a uniform respect for politeness and courtesy.
The UK is ranked 4th (out of 183 economies) in terms of "Ease of Doing Business" and 17th in terms of "Starting a Business"; both high-end positions a clear result of the long-established political and economic stability, sound infrastructure and highly-skilled workforce present in each nation.
Though the business world remains traditional in essence, the UK has become a thriving multicultural environment, and expats will find little ill-will directed toward enterprising foreigners.
A key to successfully doing business in the UK is "reading between the lines". While code breaking skills are not absolutely necessary, deciphering the difference between what a person says, and what they may actually mean may take some practice.
The British are a reserved lot who pride themselves on good behaviour, good breeding and good manners. As a result, business dealings are incredibly diplomatic; with maximum effort directed at remaining considerate and civil. These
fundamentals manifest themselves into a restrained communication style, where directness is avoided, and evasive, cryptic and often humorous statements are substituted for what is actually meant.
Expats will need to become adept at understanding the subtleties of conversation where tne and facial expression may be key indicators of true meaning, and humour is often used as a defence mechanism or to mediate difficult situations.
Individualism is highly-valued in Britain, and expats should anticipate working among colleagues who are competitive and ambitious. Experience and performance are the foundations for advancement in the working world; though, those in management positions tend to be less technically excellent in a specific field, and more well-rounded.
A traditional hierarchy is still important in business culture in the UK, but the British have shifted towards a flatter approach, where positions parallel each other rather than exist below or above one another. As a result, duties and responsibilities can sometimes be unclear; which can be a point of frustration for those expats accustomed to explicit directives and cultures of subordination.
The British business sphere is still very formal. Dress is conservative, punctuality is paramount, and outward displays of emotion are viewed with distaste.
Though the UK economy has suffered at the hands of the global recession, it's still one of the best destinations to start a business. In fact, due do the slight slump, the British government is more likely to introduce incentives for aspiring businessmen looking to innovate.
It takes a mere six procedures over an estimated 13 days to register a business in the UK, and additional issues of concern, like getting credit, trading across borders and investor protection, all work to the benefit of the entrepreneur.
Business language: English
Hours of Business: officially 9am to 5pm, Mondays to Fridays; but locals will often stay late at the office
Dress: conservative and formal, both men and women wear dark suits (pant suits are acceptable); "dress-down Fridays" a phenomenon starting to slowly take hold
Gifts: not expected, and borderline inappropriate; a round of drinks, on the other hand, is happily received
Gender equality: fully equal; women make-up nearly half of the workforce and assume more managerial positions than in most European countries
Each of the state's four nations, England, Scotland, Wales and Northern Ireland, certainly retain their own unique characteristics, but when it comes to the working world, practices, etiquette and culture are fairly standardised; all governed by a uniform respect for politeness and courtesy.The UK is ranked 4th (out of 183 economies) in terms of "Ease of Doing Business" and 17th in terms of "Starting a Business"; both high-end positions a clear result of the long-established political and economic stability, sound infrastructure and highly-skilled workforce present in each nation.
Though the business world remains traditional in essence, the UK has become a thriving multicultural environment, and expats will find little ill-will directed toward enterprising foreigners.
Business culture in the UK
A key to successfully doing business in the UK is "reading between the lines". While code breaking skills are not absolutely necessary, deciphering the difference between what a person says, and what they may actually mean may take some practice.
The British are a reserved lot who pride themselves on good behaviour, good breeding and good manners. As a result, business dealings are incredibly diplomatic; with maximum effort directed at remaining considerate and civil. These
fundamentals manifest themselves into a restrained communication style, where directness is avoided, and evasive, cryptic and often humorous statements are substituted for what is actually meant.Expats will need to become adept at understanding the subtleties of conversation where tne and facial expression may be key indicators of true meaning, and humour is often used as a defence mechanism or to mediate difficult situations.
Individualism is highly-valued in Britain, and expats should anticipate working among colleagues who are competitive and ambitious. Experience and performance are the foundations for advancement in the working world; though, those in management positions tend to be less technically excellent in a specific field, and more well-rounded.
A traditional hierarchy is still important in business culture in the UK, but the British have shifted towards a flatter approach, where positions parallel each other rather than exist below or above one another. As a result, duties and responsibilities can sometimes be unclear; which can be a point of frustration for those expats accustomed to explicit directives and cultures of subordination.
The British business sphere is still very formal. Dress is conservative, punctuality is paramount, and outward displays of emotion are viewed with distaste.
Starting a business in Britain
Though the UK economy has suffered at the hands of the global recession, it's still one of the best destinations to start a business. In fact, due do the slight slump, the British government is more likely to introduce incentives for aspiring businessmen looking to innovate.
It takes a mere six procedures over an estimated 13 days to register a business in the UK, and additional issues of concern, like getting credit, trading across borders and investor protection, all work to the benefit of the entrepreneur.
Steps to registering your business in the UK
- Check name for uniqueness at the company names index database on the web
- Prepare memorandum and articles of association; fill out and sign Form IN01 (application for registration)
- File incorporation documents with the Registrar of Companies at Companies House
- Contact HMRC and register for VAT
- Contact HMRC and register for PAYE
Doing business in the UK: Fast facts
Business language: English
Hours of Business: officially 9am to 5pm, Mondays to Fridays; but locals will often stay late at the office
Dress: conservative and formal, both men and women wear dark suits (pant suits are acceptable); "dress-down Fridays" a phenomenon starting to slowly take hold
Gifts: not expected, and borderline inappropriate; a round of drinks, on the other hand, is happily received
Gender equality: fully equal; women make-up nearly half of the workforce and assume more managerial positions than in most European countries
Do's and Don't to business in the UK
- Don't - underestimate the importance of polite requests. Specific instructions are often couched in a subtle ask.
- Do - use humour in the workplace. The British respect wit and irony, and often use these tactics to better form relationships and to mediate difficult situations.
- Don't - ask your colleagues or clients personal questions. The British are a reserved and private people, and would view this as intrusive and rude.
- Do - be on time. The British are a punctual lot, and tardiness is considered discourteous. If lateness cannot be avoided, it's absolutely necessary to inform the relevant party ahead of time.
