Representation Services: Technology guide
Opening of Representative Offices – Difficulties with the Usual Approach

If you plan to increase sales, we can offer you our solution to launch export activities or increase the volume of exports. However, we should mention that development of the strategy to enter the new market; selection and appraisal of possible partners; creation of the distribution network and operation in another cultural environment are difficult tasks with underlying potential problems.

In most cases for successful interaction with partners and clients on the new market, there’s no need to have own headquarters or any representative office.

By opening the representative office according to the conventional approach, you face certain difficulties:

  • Payment of the following expenses: rental fee for office premises, remuneration for 1-2 employees, telephone communication and Internet, purchase of stationeries, payment for accounting and reporting services, tax and other expenses amounting to EUR 4500 per month.
  • Registration of the representative office with the public authorities, search and maintenance of office premises, purchase of office furniture, appliances and PCs, translation of basic materials into Russian, travel and accommodation expenses at the stage of launch, and others – significant time consuming and financial expenditures.
  • Personnel recruitment is the more important and difficult stage, especially when only 1-2 people are working beyond direct control from the company. You can spend several months for training and interaction, but the person may terminate the labor contract, and no one will be held responsible for it, and you should start everything from the very beginning.
Opening of Representative Offices – Alternatives

Our service “Organization of Representative Office” of a foreign company helps you to avoid these problems and significantly minimize expenses for organization and maintenance of the representative office.

IMC “Expert Management” can organize your business activities in Russia immediately and without considerable investments.

We provide highly qualified and skilled managers who can act as representatives of your company in Russia.

Opening a representative office of a foreign company in Russia is not a problem, it’s a task, and we have a solution.

Our Proposals for Opening Representative Offices

IMC “Expert Management” offers 3 basic packages of services and many optional services charged separately.

“Small Package” includes the following types of services:

  • Communication with Russian companies with whom negotiations were held during the Business Mission to Russia (telephone calls, e-mail messages, communication via skype).
  • Written translation of letters, brief descriptions (not more than 4 text pages per month).

Estimated package price: EUR 400

“Basic Package” includes the “light” alternative and the following services:

  • Provision of show rooms for demonstration of your products.
  • Handling of incoming telephone calls.
  • Processing correspondence, receiving and forwarding letters and their translation if necessary (up to 10 text pages per month).
  • Arrangement of meetings, transfers, booking of flights, hotel rooms.
  • Personal manager, i.e. trade representative performing the following functions:
    • Supporting and optimizing the existing clients base (calls to companies, reminders, passive sales).
    • Receiving and processing of orders, holding negotiations in offices with demonstration of information materials and product samples, sending requests to the Customer.
    • Controlling deadlines and payments.
    • Controlling observance of the contract by the Russian party and timely notifying the parties in case of infringements.
    • Merchandizing – examining products display at retail outlets (up to 4 outlets per month).

Estimated package price: EUR 1500.

“Expanded Package” includes the “basic” alternative and the following optional services:

  • Attending goods acceptance procedure with the Client (handing over the goods to the Consignee according to waybills).
  • Legal supporting in issuing shipping documents.
  • Claim handling:
    • Preparing a bilateral goods rejection report.
    • Preparing a photo report.
    • Placing an order for expert examination for detection of reasons leading to defects.
  • Communicating and coordinating interaction with authorized companies, logistics operators and transport organizations, customs brokers.
  • Searching and selecting warehouse premises for temporary goods storage.
  • Active sales – searching for new clients (including activities in the Russian regions)
  • Visiting business events such as specific exhibitions and conferences with a view to collect necessary information or present your products

“Expanded Package” includes optional services which can be selected in addition to the basic alternative. The cost of each optional service shall be calculated for each individual client.

Working Conditions

We provide representative and other services helping you to successfully enter the Russian market.

You can conclude an agreement for representative services or implementation of other separate projects. You shall determine the scope of representative services and tasks set for us. The same shall apply to the contract term, which can be in force from 6 moths till 1 year with an option of its subsequent renewal.

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