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The Bottom Line

How to set up an EU subsidiary.

The Bottom Line

BBC

Society & Culture, Personal Journals, Business

4.6606 Ratings

🗓️ 11 March 2021

⏱️ 28 minutes

🧾️ Download transcript

Summary

Since Brexit, many companies have had to set up a subsidiary operation in the EU to continue trading. What are the rules, regulations, pitfalls and costs? Evan Davis hears the experience of three very different businesses, in sectors ranging from tights to cheese to architecture.

GUESTS

Brie Read, founder and CEO SNAG Group

Ross Hutchinson, founder and principal director, Hutchinson & Partners, architects

Simon Spurrell, founder and CEO, Cheshire Cheese Company

Transcript

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0:00.0

BBC Sounds, Music, Radio, podcasts.

0:05.0

Hello and welcome to the programme.

0:07.4

2021. The year Britain has found itself carving out a new life for itself outside the European Union.

0:14.5

And it really is on the outside. The deal finally negotiated on Christmas Eve between Britain and the EU on their new relationship

0:22.6

represented a settlement allowing a large degree of autonomy for Great Britain,

0:28.0

but as a consequence a new set of bureaucratic border controls to uphold the rules on each side.

0:35.5

Now, earlier this year we've discussed the paperwork that has resulted in the difficulty

0:39.0

some businesses are finding in trade with countries that recently seemed very close.

0:44.8

But how are companies dealing with this challenge?

0:49.3

One trend is for them to set up operations inside the EU, so they have a foot in the single market.

0:55.1

And today, we'll hear from some businesses that have set up a subsidiary in Europe or are

1:00.2

thinking about it. Let's briefly meet my guest before hearing about their EU operations.

1:06.9

First up is Bree Reid, Chief Executive and founder of Snag Group.

1:11.4

And Bree, why don't you tell us about Snag?

1:13.9

Well, we sell tights that fit.

1:16.8

We send them all over the world to 90 different countries.

1:20.9

We started in 2018, so we're still a relatively new business.

1:25.6

But we turn over now about £23 million a year and have

1:29.8

around 76 employees. Seventy-six employees, for a young business, you've made enormous

1:37.4

strides. What's the distinctive selling point of your tights then, Bree? That they actually

1:43.6

fit. So believe it or not,

1:45.2

90% of women say that tights don't fit them at all. So, you know, it's quite simple,

...

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