How Brexit could affect your business and how Mango can help!
Mango Logistics Group has been operating since 2004, importing and exporting goods across the EU for clients. This has been a relatively straightforward process but with Brexit on the horizon, this could all change.
How to prepare for the UK leaving the EU
Even if we do leave the EU with a deal, there is no saying who the deal would favour and how it will affect imports and exports. Either way, businesses need to be ready for whatever comes next. HMRC have already started informing businesses that they need to prepare for the UK leaving the EU without a deal by registering for an Economic Operator & Registration Identification number (EORI). If there is no deal, unless UK businesses have an EORI number, they will not be permitted to trade with the EU. Currently, only 17% of businesses that need to register for this have done so.
How important are UK exports for the EU?
UK to EU exports make up around 44% of all UK exports and EU to UK imports stand at around 53%. These statistics suggest that a lot of UK businesses importing and exporting goods across the EU are in limbo as they have no idea what the eventual outcome of Brexit will mean for their business and their usual shipping methods. Whether your company holds events, deals in electronics or offers e-commerce services, changes in rules and regulations are bound to happen which means that the way you deal with EU based consumers & companies will have to change too.
No matter what the outcome of Brexit is, the EU is a large customer base for many UK businesses, so you should consider all options. A tried and tested method that some businesses are already carrying out is moving their operations from the UK to a country within the EU. Companies such as Panasonic, Barclays and Lloyds of London are only a few companies that have already announced their plans to do this. Panasonic has said that it will be moving its European headquarters to Amsterdam whilst Lloyds of London is moving its headquarters to Brussels and Barclays is moving parts of its operations to Dublin.
What impact will Brexit have on shipping goods throughout the EU?
For some business owners who are considering following suit, it may be difficult, especially if you don’t have the access to resources that some of the much larger well-known companies have. So, why not consider finding a British company with operations within the EU to handle your goods and the fulfillment side of the business. If your company caters to or if you’re looking to expand your business to the EU market, then this is a serious option that you should consider.
Shipping goods across the EU is relatively easy at the moment, with many delivery companies offering next day or 2-3 day delivery services. This could all be set to change as we may have to face tougher shipping rules and more expensive shipping costs when shipping between the UK and the EU. Along with the threat of ferry delays, road transport issues and hard boarders as potential blowbacks, having a base or at least holding some of your products/stock in the EU could help you stay ahead of the game whilst also being cheaper.
Why you should work with Mango Logistics
If you need a trusted, longstanding UK logistics company offering EU parcel distribution, warehousing and fulfilment services, Mango Logistics Group now has strategic locations along the German/Dutch border, accessible from three major airport connections running overnight linehaul connections across Europe.
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