Foreign markets represent a huge opportunity for small manufacturers to obtain new markets.
Exporting provides huge opportunities for companies. But it also adds a degree of risk that could negatively impact shareholder value. Export violations can result in termination of a company's export privileges, suspension from government contracting, company fines of up to $1 million per violation, individual fines of up to $250,000 as well as up to 10 years in prison. While export violations can have significant repercussions, there are proven, preventative strategies and methods that best practice companies use to minimize personal and business risks, and their company's liabilities under export regulations.
Catalyst Connection has worked with a variety of manufacturers to help them understand their requirements under the various export regulations and to implement a formal Export Compliance Program. We can support the process as much as needed – from conducting an audit of a company's existing Compliance Program, to helping those companies that are new to the world of export compliance. In this latter case, we help the company determine the appropriate classifications for individual products, develop procedures and documentation, and provide training and coaching to their team and staff.
Export Compliance Audit - gap analysis to determine the actions needed to bring a company's export compliance program up to best practice standards.
Export Administration Regulations (EAR) - defines the company's requirements under EAR and the Office of Foreign Assets Control (OFAC). Assistance is provided in interpreting the EAR and OFAC and in determining the appropriate classifications for the company's products. Develop and document a company-wide Export Compliance Program, including a comprehensive Export Compliance Manual. Conduct an internal audit of exports to date in order to identify potential violations. Provide training to the compliance team and staff in specific functional areas on the new Compliance Program.
International Traffic in Arms Regulations (ITAR) - defines the company's requirements under ITAR. Assistance is provided in interpreting the ITAR, determining the appropriate classifications for the company's products, and identifying new security requirements. Develop and document a company-wide Export Compliance Program, including a comprehensive Export Compliance Manual. Conduct an internal audit of exports to date in order to identify potential violations. Provide training to the compliance team and entire management team and staff on the new Compliance Program.