Forging a U.S. Presence – How to Access the U.S.
by Invest Buffalo Niagara
The decision to expand into the U.S. is a big step and part of a complex process
Sponsored article by Invest Buffalo Niagara
“Business, the painting that never dries”
—Ernie Lynch, Lynch USA
Ernie Lynch, president of Lynch Fluid Controls. PHOTO: Ivana Skobo
BUFFALO, N.Y.—Lynch Fluid Controls Inc., established in 1987, is a manufacturing company based in Ontario, Canada, producing hydraulic and motion control products. They supply the aerospace, military, material handling, construction, and oil and gas industries. In Canada, they own multiple facilities totaling 63,000 sq. ft. and employing upwards of 90 employees.
Despite all that success, Lynch knows, like a great painting, his business is never finished. In 2017, he put his eyes on a new frontier: American expansion.
He reached out to Invest Buffalo Niagara for help through the process. Business Development Manager Carolyn Powell helped to set up cross border meetings on incorporation, tax and accounting, banking, immigration, and human resource compliance in the U.S. Invest Buffalo Niagara guided Lynch through the site selection search, as well.
With the help of Invest Buffalo Niagara, in just a few months, Lynch USA, the U.S. subsidiary company, was born. Since, they have set up a warehousing and distributing space, with hopes to break into American manufacturing in phase two of their expansion. In each of their first 10 months, Lynch USA has hit targets, reaching 210% of their goal in June.
Lynch USA has also tapped into the Buffalo Niagara labor market, hiring two full time employees. They utilized the underemployed population in the region, even being featured in an article by The Wall Street Journal on the new corporate recruitment pool.
Lynch USA is just the latest in a long run of successful Canadian business expansions into the U.S. Invest Buffalo Niagara has helped nearly 90 Canadian companies. These companies find success so frequently because the Buffalo Niagara region has such innate advantages for Canadian companies considering an expansion.
Most obviously is its geography, located right on the Can-Am border with seven ports of entry. The ability for a Canadian business owner to juxtapose his/her new U.S. expansion just over the border creates ease in travel and great connectivity. Buffalo Niagara is also located within a 10-hour drive of 40% of the bi-national population. A 10-hour drive can get you as far west as Chicago and south as Kentucky. The region is perfect for distribution centers.
Many Canadian companies see a lot of their sales coming from the U.S. In that case, it’s good to be closer to your customers, so you’re not spending on exporting and saving on distribution. If your product gets returned by customers, it’s helpful to have a U.S. address, as well, so the product doesn’t go over the border twice, costing you more. You can also see an increase in those sales with a Made in the U.S. label—and be available for government contracts that require American manufacturing. If your U.S. sales aren’t that high, entering a new market could open new doors to a larger market for you.
The decision to expand into the U.S. is a big step and part of a complex process. That’s where Invest Buffalo Niagara comes in. Invest Buffalo Niagara has business development managers that are experts in the process. The organization also has a stable of cross-border experts as resources. Recently, Invest Buffalo Niagara released a Guide to Canadian Expansion to the U.S., a 52-page compilation of those resources’ expertise. There is information on tax and accounting, incorporation, human resources, and even site selection, all from experts in the respective field. The Guide to Canadian Expansion to the U.S. is free, just like all of Invest Buffalo Niagara’s services. It is an anthology of proficiencies to better prepare you for the process ahead.
While the Guide to Canadian Business Expansion to the U.S. is robust and thorough, it is our hope that it only serves to start a conversation—one you’d like to continue over the phone with one of our experienced business development managers. If you think a U.S. expansion is right for you, call Invest Buffalo Niagara to get the process started. Our team will help you from research to ribbon-cutting. Come grow your business with us.
For additional information about the Buffalo Niagara real estate market, contact Carolyn Powell, Business Development Manager with Invest Buffalo Niagara at (716) 842-1357 x104 or cpowell@buffaloniagara.org
