Many local companies are using success achieved within the booming north-east business sector as a springboard to expand internationally.
As these firms move to bring their products and services to fresh shores, it’s essential that they’re aware of diversities between the UK and their target countries. A range of issues – from cultural differences to legislative challenges – need to be fully understood in order to ensure companies hit any new ground running.
Significant home-grown support is available for Scottish businesses that are looking to extend their international reach; companies such as Aberdeen-based production data management solutions specialist, Aventa Systems. Having already established an impressive reputation for delivering systems to the European oil and gas industry, Aventa has now opened its first US office, in Houston, to tap into the country’s flourishing shale gas sector.
The company’s experience and expertise within oil and gas – and the technologies and skills utilised within its operations – are easily transferable to the shale arena, providing exciting expansion opportunities.
In its move into the US, Aventa has benefited from the support of GlobalScot; a network of international business people, which helps Scottish companies enter new markets. The organisation has assisted Aventa in connecting with key trading partners, whilst providing invaluable advice and guidance on US-specific issues.
Managing director of Aventa, Bill Whibley, explained why the company has decided to expand into the US and how the business has benefited from assistance offered by GlobalScot.
He said: “The US offers major expansion opportunities for energy-related businesses. The country’s growing shale gas sector, for example, has turned a previously mature market into one in which a number of new players are emerging.
“This presents openings for companies such as Aventa, as our products and services are easily transferable from the conventional oil and gas fields of the North Sea to the unconventional oil and gas from the US onshore shale plays. Our journey to opening an office in Houston has involved extensive research and fact-finding trips to help ensure we have an awareness of the intricacies of the US market.
“GlobalScot has been invaluable in that respect. As well as providing advice and guidance, the organisation has introduced us to local Houston companies, which have been very helpful in not only getting us up and running but in also introducing us to potential new customers.”
Aventa has particularly reaped the rewards from having access to a GlobalScot mentor – Derek Blackwood, who was previously the managing director of Wood Group in Aberdeen, before being tasked with expanding the energy giant’s operations to the US in 1999.
Recently retired, Derek spent 15 years in Houston so has a deep knowledge of the US market and was able to act as a great sounding board for Aventa.
Derek said: “The UK and US markets are very different so it’s essential that Scottish companies are fully aware of a range of considerations – from how to make contact with potential clients to the importance of getting a physical feel for Houston, which is huge, meaning your location is vital.
“I’ve been involved with a number of Scottish firms looking to expand, but very few have actually stepped up and gone for it. Aventa has, however, been very serious about investing time and money on their expansion plans and has stood out as the most interested, engaged and ambitious company.
“It’s great to be able to pass on my knowledge and experience to hopefully help talented and driven Scottish businesses thrive on US soil.”