Deron Global Group

Background

In the conditions of war, as Ukraine faces the challenges of change and uncertainty, more and more Ukrainians are seeking new opportunities beyond their homeland. Recently, an entrepreneur from the Kherson region approached us, whose desire to establish trade relations and create a successful, systematic European business has become an entrepreneurial challenge and an essential step in developing Ukrainian-European trade connections.

Challenge

The client's objective was clear — to establish an import-export company specializing in the supply of high-quality food products from Ukraine to Europe. However, this endeavor encountered numerous barriers beyond the simple conduct of business.

One such obstacle was the cumbersome bureaucratic processes inherent in the European system, where each stage necessitates strict adherence to formalities. Differences in document processing and business practices in Spain, compared to Ukraine, posed additional complexities. This aspect is crucial, as many processes in Ukraine may be less formalized and more flexible.

For example, product homologation was required despite Ukrainian goods already having the necessary quality certificates. Additionally, obtaining CE certification to confirm compliance with European standards and regulations was needed to ensure the smooth importation of goods. The process involved interaction with various authorities and organizations, ranging from the sanitary-epidemiological station to customs services.

Moreover, distinctions in language and culture inherent in the Spanish and Ukrainian business communities also demanded special attention. These differences encompassed a language barrier and nuances in negotiation, contract conclusion, and partner interaction.

Tasks

• Establish the legal structure of the company
• Undergo the homologation procedure for existing certificates and licences, and obtain mandatory CE certification for imported products outside the European Union
• Lay the groundwork for uninterrupted product delivery to Spain

Case Complexity

The main challenges revolved around the necessity for a prompt launch of the import-export company amidst multistage homologation procedures for product certificates and obtaining certifications for the supply of said products from Ukraine to the European Union. These steps implied lengthy timelines and significant costs. In the context of an existing client base distributed across different EU countries, developing a strategy capable of minimizing both time and financial risks was essential. Resolving this task required the operational resolution of legal and customs issues and a strategic approach to launching the business without losing clients and maintaining competitiveness.

Solution

To address the outlined tasks, we proposed the Deron Global Group approach, which revised the traditional model of import-export business. We recommended pivoting the business to provide intermediary services in the importation of products. This strategic maneuver allowed us to swiftly launch the company, avoiding labor-intensive processes and the associated financial costs.

The critical aspect was that Deron Global Group began acting as an intermediary between manufacturers in Ukraine and end consumers in Europe, bypassing challenges related to logistics, customs formalities, the need for warehouse facilities, an inflated workforce, and other bureaucratic processes typical in the Eurozone. This approach enabled the establishment of efficient and transparent trade relationships and provided the ability to respond quickly to changes in market dynamics.

At Laduchi Consult, our experts always aim to provide clients with more than just a service, but an interaction based on a deep understanding of their needs. We function as partners ready to delve into all client business nuances. Therefore, having studied the unique features of Deron Global Group from the outset, we formulated a strategy to address the necessary tasks and offer a tailored business package. In addition to the primary focus on resolving legal procedures and registering the company in Spain, we also provided comprehensive support in developing the company's branding, printing materials and creating a multilingual website.

Results

The approach we proposed to address the business challenges for Deron Global Group met expectations and demonstrated its effectiveness in practice. As a result, the client began exporting goods to European and African countries, expanding their products' geographic distribution.

The success achieved in this case is not just the outcome of our experience and deep knowledge of the Spanish business landscape, but also a product of mentally understanding our clients' businesses. Laduchi Consult's roots in Ukrainian soil give us an advantage in better understanding the barriers our compatriots face when choosing Spain as a strategic center for their business growth. Collaborating with clients, we navigate through all stages of the entrepreneurial journey, offering solutions and a partnership, thus making their business more successful, systematic, and inspiring.