Exchange Students

One of the first steps in exporting is deciding where to start. Besides being export-friendly, the country you choose should also be a good launching pad from which to target other international markets. Increasingly, the Netherlands is that ideal stepping stone.

"The Netherlands is known as the gateway to Europe," says Erik Leus, area director for the Chicago office of the Netherlands Foreign Investment Agency (NFIA), a division of the Dutch Ministry of Economic Affairs. Leus points out that the Dutch are known for their multilingual capabilities and, due to a trade history spanning centuries, are eager to do business with other countries.

The Netherlands also has a slew of other things going for it. Location is one. Situated in the heart of the Eastern Corridor, the country has access to the Rhine River and is adjacent to the port of Rotterdam-the largest in the world. These attributes make it a natural for transporting goods worldwide.

More evidence supporting the Netherlands as a nurturing nest for small exporters: Dutch workers are known for their productivity, technical skills and motivation. And it certainly doesn't hurt that the Netherlands is well-known as a pro-business environment, especially where customs and taxes are concerned.

Hitting the Netherlands first may have hidden strategic benefits, as well. "A lot of companies find that if they locate in one of the big European countries, they tend to focus on that country," says Leus. "But locating in a smaller country like the Netherlands forces them to also focus on Germany, France and the U.K."

Tjaarda Plas, regional manager of the NFIA's Dallas office, says a lot of companies are going this route. "We're seeing a lot of European headquarters, research and development, and manufacturing facilities being set up in the Netherlands," he says.

Nevertheless, infiltrating another country can seem daunting if you don't have any contacts there. To make the process easier, the NFIA can help you set up an exporting operation in the Netherlands. The five NFIAs-in Dallas; Chicago; New York City; San Mateo, California; and Ottawa, Canada-have extensive contacts in the Netherlands, some of whom can help you negotiate tax incentives or handle site selection.

The NFIA also regularly sets up fact-finding trips to the Netherlands and unites established exporters in various industries with those just starting out. This way, the export neophyte can gain insight from someone who's been through the system before.

Once you're up and running in the Netherlands, you'll enjoy ongoing support from the NFIA, particularly if your company expands. And Leus believes the Netherlands is a natural place for any small business to begin that expansion process. "[Setting up an export operation in the Netherlands] can be a very attractive first step," says Leus, "especially for a smaller company, to limit risk and to create a foothold and a presence in Europe."

This article was originally published in the February 1996 print edition of Entrepreneur with the headline: Exchange Students.