Management InSites

International Business Incubator (IBI)Operational Services for U.S. Subsidiaries

Management inSites - International Business Incubator
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MI’s International Business Incubator (IBI) helps companies enter the U.S. market quicker, with fewer risks, and lower costs.

For over 15 years, we’ve excelled at helping small to mid-sized companies establish in the U.S., so we know the needs of foreign and foreign-owned companies. Our staff gives 360-degree support to help your company succeed.

How IBI Works

Your employees (here or abroad) can focus on their core capabilities while our IBI provides all the operational support in the form of:

  • Fractional staffing for all back-office work
  • Strategies to streamline processes and grow the company
  • A physical address in the U.S., warehouse space if needed, and dedicated office space if available
  • A dedicated phone line & receptionist
Who the IBI is For

The IBI is perfect for:

  • Small to medium-sized companies looking to enter the U.S. market with marketing and sales offices
  • Existing foreign-owned or led companies looking to strengthen their current U.S. presence
  • Larger companies who want to be operational while their manufacturing or warehousing facilities are being built
Think you are ready to enter the U.S. market?
Take our Organizational Audit now!
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Entry Method 1

Foreign company sends one person who does it all – accounting, sales, marketing, etc.

Taxing on the individual, who cannot focus on sales and growth

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Entry Method 2

The foreign company hires a complete staff for its U.S. operations.

 Large financial investment at the start without enough work

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MI’s IBI Solution

Our IBI team handles all back-office operational needs and more, acting as fractional employees of the foreign company.

Lower cost with maximum effectiveness

Using the IBI, your U.S. subsidiary would look like this:

International Business Incubator org chart

Back-office Functions Covered Under the IBI

Administrative Support

Administrative Support

MI will answer your company’s telephone line; maintain insurance requirements; assist with HR tasks (screening job candidates, tracking personal time off, entering payroll, etc.); and more.

Warehouse & Logistics Integration

Warehouse & Logistics Integration

MI can help track imports and interface with U.S. customs. If products need to be stored in the U.S., MI offers IBI clients the option to use our warehouse in Spartanburg, S.C. Otherwise, we will manage the relationship with a 3PL to ensure inventory is correct and shipments go out on time.

Order Processing & Vendor Relations

Order Processing & Vendor Relations

MI will process incoming orders, invoice customers, and follow-up with collection calls if necessary. We will also issue purchase orders and liaison with vendors.

Bookkeeping & Accounting

Bookkeeping & Accounting

MI will reconcile accounts, and deposit and create payments. We provide monthly P&L and balance sheet reports and can create cash flows, yearly forecasting, and more for analysis, plus coordinate with the CPA for tax reporting and compliance.

Marketing & Sales Support

Marketing & Sales Support

MI can help your sales team succeed by offering marketing support, ensuring that your messaging is on target and effective for the U.S. market. For a full range of our marketing capabilities, click here. We can also assist with Amazon sales.

Training & Software Implementation

Training & Software Implementation

MI can provide training in QuickBooks, help with accounting software implementations and conversions, help implement EDI software, demonstrate CRMs, and provide training with marketing tools.

Don’t see what you need above? No problem! In addition to the services we provide through the International Business Incubator, we work with immigration attorneys, corporate attorneys, certified public accountants (CPAs), human resource (HR) professionals, insurance agents, and more to offer a seamless service to you. And if that still does not cover it, we will work to find the information or service that you need.

Key IBI Advantages

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Value staffing solution
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You remain in charge
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Benefit from our years of experience
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Flexibility in location
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Avoid common entry mistakes
Local inventory stock and management

Frequently Asked Questions

We can get you operational in less than a week. Establishing a U.S. entity is fairly quick and painless, and does not require a large financial commitment to open.

We pride ourselves in building long-term partnerships with our clients, so we do require at least a one-year contract. We have clients that stay with us for 12 to 18 months and others that stay with us for years. We are focused on helping you grow, so we celebrate when you are big enough to leave the program and help train your new employees for a smooth transition.

From an organizational standpoint, your U.S. subsidiary would still be 100% owned by the parent company. When MI managers are responsible for supervising an organization (either as a member of the Board, as CEO, or as another member of the management team,) they do so just until you are able to replace them with a new hire or an employee from another location. You remain the owner of your company at all times.

Your CEO or assigned manager remains in charge and we report to them. They will benefit from our years of experience working with other companies entering the U.S. market.

However, if you have limited resources and would like interim management, either while your manager applies for a visa, or you look to hire the right person, we can fill that gap for an additional charge. See our Management Services section.

No, your customers will not know MI exists. MI’s staff operates as the U.S. subsidiary’s fractional employees. As such, we:

  • Communicate via the U.S. subsidiary’s emails
  • Answer and call from the U.S. subsidiary’s phone number
  • Hand out U.S. subsidiary business cards

Yes, MI’s staff would support any direct employees the U.S. subsidiary hires, such as sales and technical service personnel, as well as train direct employees to replace our team as your company grows.

Working with your employees (here or abroad) is essential to ensuring the U.S. subsidiary runs smoothly. Our Value Chain details which tasks MI’s employees can handle on their own, which need to be in coordination with you, and which are not covered (but supported) through the IBI.

Managment inSites - IBI Chart

We have found that to exceed in the U.S. market, you need a salesperson with experience and connections in your industry. We have worked in a lot of industries, and know how to establish procedures and instill best business practices across industries, but we do not have the connections to jump-start sales. An industry expert is the best person for this job. Plus, you want a salesperson who is 100% dedicated to your business to help ensure success!

The same goes with technical service. You are the experts. We help support, but take a back-seat to let you do what you do best.

Yes! Our IBI clients have the option to store inventory at our warehouse in Spartanburg, S.C. Our knowledgeable staff will handle inventory management, pick-and-pack, and returns processing, among others. You can learn more about this option here.

MI’s extensive warehouse location in Spartanburg, SC contains several dynamic areas that can be used for showroom purposes. IBI clients can store speciality machinery or products in these designated areas where customers can come to view them in person. For more information, ask your account manager.

With MI’s staff acting as your employees, the U.S. operation will be bigger – there are more people and departments for the company’s customers to interact with. This gives the market a deeper sense of commitment, which can itself help drive sales. And best of all, it’s real – MI does all the functions a direct employee would do.

Each company is different and we can help mitigate risks in multiple ways. Some of the more frequent are:

  • Using the IBI to run your U.S. subsidiary, as a clearly distinct legal entity, helps you avoid piercing the corporate veil. This is important from a litigation and taxation point of view.
  • Providing outside analytical process review by:
    • Suggesting improvements focused on growing the company
    • Implementing U.S. best practices in multiple areas
    • Ensuring margins exceed operating costs
    • Offering marketing and sales strategies to break into the U.S. market
  • Helping you implement proper procedures to safely use U.S. bank accounts to process and receive payments.

The accounting department of the IBI acts exactly as an in-house accounting team for your business. We provide a full-service approach, with bookkeeping services as well as providing financial statements and higher-end financial analysis. We have a close visual of the details that make up your financials and can readily respond to noted fluctuations that can impact your company’s performance.

Certified Public Accounts (CPAs), on the other hand, are utilized to file your company’s taxes, render opinions on audits, help with transfer pricing, and represent you in case of an IRS (Internal Revenue Service) tax dispute.

Because of the 360-degree services we provide as an IBI, and how many of those aspects of your company can affect your financials, we know what questions to ask the CPA to ensure your success, and what questions to ask you to make your books ready for tax preparation and other annual audit paperwork. In short, the IBI’s accounting services provide everything leading up to tax preparation, which is where a CPA steps in. You will need both to be successful in the U.S. market!

MI has worked with several local immigration attorneys, corporate attorneys, CPAs, and more. We can introduce you to them and let you decide if you would like to work with them as well. Alternatively, if you already have a team of professionals in place, we can seamlessly work with them instead.

Your initial investment is low. For about $4,500.00 per month with a 1-year contract, you will have a fully operational U.S. subsidiary (final cost will depend on the type and extent of services requested).

With this, you have access to all of MI’s personnel and services when and as needed. Our staff is diverse, multilingual, full-time, and experienced at working with multiple companies at the same time. This makes the IBI a great initial staffing solution for your U.S. company.

We have a monthly retainer that starts at $4,500 per month with a one-year contract. Like other professionals, MI charges by the hour. We have tasks divided by skill level and all employees track their time. You will receive a monthly report of the hours and can add and retract services as needed.

Any hours worked over the retainer are billed at a 20% discount and only billed every quarter. That way, if you go over budget one month, you can adjust the next. This also means that while we offer a full range of services under the IBI, you only pay for exactly what you use. Only need 10 hours of marketing this month? No problem. Sold more than expected and need extra hours for order processing than the month before? We’ve got you covered.

MI reconciles IBI client hours every quarter. As an example, if your company uses our services for 10 fewer hours in January, but then needs 10 extra hours of logistics in February, then everything will be even. However, if at the end of Q1 you haven’t used all of your hours, they will be lost and the accounting will begin anew in April for Q2.