Neil Kuschel, Sales Director at DHL Express discusses how SMEs can easily move into export...

The government announcement of £95m funding for SMEs by banks to invest and target export markets is a welcome move, especially as our own report has recently shown that while UK export levels are increasing, the rate of growth has slowed to just 3%.

SMEs should take this opportunity to secure funding to help expand into international markets which is critical to experiencing growth when domestic trade is tough.

Combined with favourable exchange rates and the maintenance of the 0.5% interest rate, the time is ripe for SMEs to enter markets not previously considered - from Australia to Argentina, there are unexplored opportunities across the globe.

With 2% of global GDP passing through DHL’s network, it is perfectly positioned to provide advice and guidance on international shipping. So, here are five top tips for SMEs looking to export overseas for the first time:

1) Research: know your sector and the strengths and weaknesses of potential markets. For example, Australia is currently a key destination for fashion exporters as a combination of brand-savvy consumers and favourable exchange rates mean rich pickings for UK businesses looking to target that market.

2) Plan: Create a robust plan that documents every stage of the export process. A good export plan will address any gaps in your strategy and clarify your goals. It should also set specific objectives, contain an implementation timetable and milestones to gauge success.

3) Finance: Make sure you have working capital in place for every stage and bear in mind that orders and payments can take longer than in the domestic market. This is also dependent on whether your business has a foreign bank account - there are complex rules governing the opening of accounts; fees and charges could be added whenever a transaction is completed; and exchange rate volatility may also have an impact on the bottom line.

4) Customs and regulation: these can make or break your exporting business, therefore it’s essential to understand the rules and requirements from the outset. Did you know that the import of dental products to Algeria is prohibited? Or that it’s not permitted to send pairs of shoes to India? Teaming up with an experienced third party express provider can help navigate some of these customs.

5) Seek help: there’s much advice out there for businesses looking to export for the first time. DHL Express are experts in international shipping and offer guidance to SMEs who are considering targeting the global marketplace through export services, including insight into customs rules and regulations that might affect your business plan.

The UK Trade & Investment (UKTI) has many different services for UK businesses looking to export, including the Overseas Market Introduction Service which allows businesses to use the services of the UKTI’s trade teams, located in different places overseas.

The British Chambers of Commerce (BCC) offers training services, export communications reviews, and support around export documentation.