If you have an existing business, it is important for you to prevent and mitigate any harm linked to your business activity. Sanctions have been imposed and as some of these control specific supply chains which may impact your business, here are some options you can consider.
If you are keenly aware of the risks and challenges of operating in an emerging economy, and is determined to ride out the storm, you stand to leverage on the country’s geostrategic location being surrounded by other countries with lucrative economies, its many natural resources, and a huge population of growing middle class who are technologically abled.
If you choose to maintain business operations in Myanmar, do ensure that your company meets the latest regulatory requirements. It is advisable to have teams on the ground that are monitoring the situation closely and are updated with the latest. Failure to comply may result in fines, revocation of investment permits and prohibition from future investment projects.
If you are looking to alternative markets in ASEAN and the Asia-Pacific, leveraging on international network and business affiliations can help you make the best of the opportunities available. We recommend that you work closely with your partners to facilitate your overseas business operations more efficiently. Going global allows you to expand to bigger, more diversified economies as well as gain access to more cost-effective resources.
If you choose to leave Myanmar, do exit responsibly. Section 162 of the Myanmar Companies Act sets out the criteria to wind up a company in Myanmar which includes voluntary liquidation and court supervised liquidation.
It is important for new businesses and for businesses currently based in Myanmar to take note that there are options, and this is a good thing. The information contain herein should provide an overview of these options depending on your area of business and target markets. Each option would have its own merits in helping to mitigate risks from the current situation depending on your business model.
If you need assistance in deciding whether to enter, maintain and scale back, expand and / or exit to alternative international markets, let us guide you in every step of the way. Please contact us today.