Years ago, investing experts were advising people and businesses the future belonged to the so-called “BRIC” countries of Brazil, Russia, India and China. Since then, those countries had their share of ups and downs. Brazil especially has experienced both economic and political turmoil and volatility despite hosting the Summer Olympic games. However, according to international investor Igor Cornelsen, it’s time to return to Brazil to reap the financial rewards of sharing in its inevitable growth and prosperity. In this article in French Tribune, Cornelson gives three pieces of valuable advice for businesses investing in Brazil.
First, learn and follow Brazil’s currency laws. Brazil has strict laws governing currencies and foreign exchange. It’s not as simple and easy as in many countries. Different currency exchange rates apply to different types of business transactions. The Central Bank of Brazil can change the commercial exchange rate any time it wishes. Because you are not a resident of the country or local business, you need to deal with an authorized bank. Do your basic research before you try to bring a large amount of dollars, pounds or euros into the country.
Secondly, join the community. Networking is an essential part of doing business everywhere, but especially in Brazil, where people are naturally friendly and welcoming. At least a quarter of adult Brazilians are business self-starters. They understand the necessity to assume the responsibility to take care of themselves and their families. Living in a developing country, Brazilians cannot depend on a government or corporate job. They realize entrepreneurship and business is their best chance to prosper in the modern, global economy.
However, Brazil’s government still has a lot of bureaucratic red tape businesses must deal with. The government wants to protect Brazil’s economy from foreign business, so they have a lot of regulations you must understand and abide by. Again, do your homework in advance, and allow for delays in processing the required paperwork.
Despite the bureaucracy, restrictive regulations and currency controls, Brazil remains a large country with enormous economic potential. It has tremendous natural resources, including the hard work and ambitions of its citizens. Share the opportunity with Igor Cornelsen.