How to Open a Tide Business Account
Discover how to open a Tide Business Account in the UK. We'll cover requirements, step-by-step and account features.
Planning a new business venture? If you’re interested in setting up an import/export company, you’ll encounter exciting opportunities as well as challenges - especially now that the UK has left the European Union.
There’s a lot of paperwork, rules and regulations to get to grips with before you can get your new business off the ground. And then there’s logistics, which is at the core of any import/export business.
To help you get started, we’ve put together the essential guide on how to start an import/export business. This includes all the first steps, from how to get a licence through to what goods to focus on.
We’ll also look at legal requirements, best practices and how to manage international payments using clever solutions such as Wise Business.
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Importing is where goods are sourced and purchased from overseas, and brought back into the company’s home country (i.e. the UK). It’s often cheaper to source certain goods internationally, or the particular category of goods may not be available locally.
Exporting is the opposite of importing. It’s the sale of products and services made in the home country (i.e. the UK) to overseas markets. These products could be in demand internationally, meaning there’s a profit to be made from exporting them to other countries.
From the perspective of a UK business, here’s an example of what an import and export transaction would look like:
- Import - UK-based importers bring cars over from the United States, Germany, China and Belgium, for sale in the UK automotive market.¹
- Export - UK manufacturers of aircraft parts export goods to airlines and aviation businesses in Europe.
Let’s take a look at what the UK’s main imports and exports are, focusing on the most common goods taken in and out of the country. Here are the latest figures for 2022, from the Office of National Statistics (ONS):
Goods | Trade value |
---|---|
Cars | £25 billion |
Medicines/pharmaceuticals | £21.8 billion |
Gas | £19.6 billion |
Non-ferrous metals | £18.6 billion |
Crude oil | £17.5 billion |
Clothing | £17 billion |
Telecoms and sound equipment | £16.7 billion |
Electrical goods | £16.2 billion |
Mechanical power generators | £14.6 billion |
Office machinery | £13.8 billion |
Goods | Trade value |
---|---|
Precious metals | £32.1 billion |
Crude oil | £28.8 billion |
Mechanical power generators | £27.8 billion |
Medicines/pharmaceuticals | £25.3 billion |
Cars | £24.6 billion |
Refined oil | £19.5 billion |
Non-ferrous metals | £18.5 billion |
Scientific instruments | £10.8 billion |
Aircraft | £10.7 billion |
Organic chemicals | £9.7 billion |
If you plan to start an import business in the UK, you’ll need to first understand the legal requirements involved. This includes rules around labelling, licensing, certification and marketing standards, plus regulations for UKCA marking.
You’ll also need a business management strategy, including actionable steps to get your new company up and running. Here are some things to consider at this early stage:⁴
It’s also worth familiarising yourself with the general importing process, so you know what happens when. This includes sourcing, negotiating and buying goods, before planning for international shipping and customs clearance.
And of course, there’s payment. Solutions such as the Wise Business multi-currency account are hugely useful for importing and exporting businesses.
The Wise account lets you pay suppliers all over the world in their own currencies, for low fees⁷ and the mid-market exchange rate. You can even automate payments using the powerful Wise API.
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Most importing businesses won’t need to get an import licence. However, they will need to register with HMRC and get an Economic Operators Registration and Identification (EORI) number.
But for importing certain goods, a special licence or certificate. These goods include:⁵
Go to the GOV.UK website to find out how to get the required licence for importing any of these categories of goods.
Choosing the right products to import to the UK is essential, as you need to make sure that your new import company will be sustainable and profitable. A good starting point is the list of the main imports we covered above, but you should also look for categories of goods that:
- Are easy to import
- Have high market demand
- Are lacking in the UK market.
You may also choose to import particular goods because you have expertise in a particular field, or because you have contacts with suppliers or manufacturers in a specific industry.
Now, here’s what you need to know to start an export business in the UK.
Just like with importing, it’s crucial to have all of the legal requirements covered and to understand the processes involved.
Here are some of the key points and actions to consider as you set up your business:⁴
Along with negotiating with buyers, navigating customs and shipping goods, you’ll also need to find the best way to send and receive money internationally.
Wise Business can help. When you open a Wise Business account you get access to local account details to +9 major currencies besides GBP, these include USD, EUR, AUD and HUF. This way you can get paid like a local, making it easy for your customers to pay you and effective for your business.
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If you’re exporting what are designated as ‘controlled goods’, you’ll need to get an export licence. These goods include:⁶
To find out if you need a licence and the process for getting one, head to the GOV.UK website.
Once you’ve mastered the paperwork, regulations and legal requirements, the next challenge to overcome as an import/export business is payment.
It can be expensive, slow and time-consuming to use a bank for international payments. A better solution could be to use an international transfer specialist like Wise Business.
With a Wise Business multi-currency account, you can manage your company’s money in 40+ currencies.
Send money all over the world and convert currencies for low fees⁷ and the mid-market exchange rate.
When it comes to getting paid, Wise Business gives you local account details in 9 major currencies. This means you can get paid like a local in your client’s currency, without unnecessary extra costs.
Have overseas expenses to take care of? If you’re travelling the world meeting suppliers and buyers, make sure to take the Wise Business debit card with you.
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And that’s it - your essential guide on how to start an import/export business in the UK. We’ve looked at legal requirements and licensing, along with the first steps you can take to get your new venture off the ground.
You’ll have a lot more reading and research to do as the owner of a new importing or exporting business, as the rules around international trade can be complicated. But hopefully after reading this guide, you should have an idea of where to start. Good luck!
Sources used for this article:
Sources checked on 3-Nov-2023.
*Please see terms of use and product availability for your region or visit Wise fees and pricing for the most up to date pricing and fee information.
This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional.
We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.
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