Implementation strategy
There are many export models in your distribution network. While one may be the dominant model of your international expansion, it is rarely the only modus operandi.
Gouache Avocats assists you in determining the most appropriate investment scheme: liaison office to study the market, creation of a branch, a subsidiary, a joint venture, use of contractual techniques (commercial agency, exclusive distribution agreements, Master License, Master Franchise), determination of the roles of the parties and financial flows.
These choices partly respond to opportunities and constraints related to regulations.
For example, there is no need to stipulate a brand royalty if exchange control rules or the practice of the local central bank prohibit the payment of royalties abroad.
For example, a joint venture may be necessary if foreign investment law requires the control of the local subsidiary by a national.
We invite you to discover here all the articles relating to the legal strategy of setting up in the context of an international expansion.
Gouache Avocats analyses the legal environment of the country applicable to your distribution activities, based on the documentation collected relating to about 50 foreign countries, on specifically designed questionnaires from our correspondents, on a network of correspondents specialising in distribution law, and provides you with an appropriate recommendation resulting from an overall analysis, including tax aspects.
Taking into account tax aspects is decisive: does the contract create a permanent establishment for the French brand that will oblige it to tax its income locally? If so, is the brand protected from double taxation? How to optimize the cash flow of the brand see the profitability of the contract by playing on differences in withholding tax rates according to the qualification of financial flows (service fee, management fee, royalty, interest, etc.).
Several of our lawyers have lived abroad and have either studied or practiced there (England, Germany, Greece, Algeria, Ivory Coast, etc.). Several of them are Anglo-Saxon LLM graduates. The firm has worked on a large number of international files and has developed methodologies and intimate knowledge of this type of file.