UOB goes beyond banking to help companies going overseas navigate business landscape

Singapore

INVESTMENT into the region may be down thanks to the Covid-19 pandemic, but UOB's foreign direct investment (FDI) advisory team still sees strong interest from companies according to Ian Wong, head of group international management at UOB.

"When there's a crisis there's opportunity. These businesses want to make use of this crisis to position themselves so that they are able to make the right investments when things become better," he said.

Mr Wong, together Sam Cheong, head of group foreign direct investment advisory and network partnerships at UOB, spoke to The Business Times on the sidelines of the GlobalConnect@SBF Showcase.

At that event, the bank signed a strategic partnership agreement with the Singapore Business Federation (SBF) to be the chosen financial partner for the GlobalConnect initiative.

Darius Lim, SBF's assistant chief executive officer, noted that UOB's extensive network and strong presence in Asean make it a strong partner for GlobalConnect@SBF.

"With the support of a renowned and trusted Singapore bank, businesses will be able to better navigate the business landscape in the respective markets, develop local networks, and access greater trade and investment opportunities," he said.

UOB's FDI Advisory Unit has helped more than 3,500 companies expand their operations across the region since they were set up in 2011.

According to Mr Wong, some of the key factors that set UOB's FDI Advisory Unit apart include their extensive network on the government and private fronts and that they go beyond wholesale banking.

For the latter, this means UOB is able to provide clients with a more holistic set of offerings, ranging from private banking, workplace banking (a programme which provides a suite of financial solutions and other privileges on the company's premises), and merchant card services.

Having deep connections throughout the region also helps smoothen the internationalisation journey for the bank's clients.

"Because of our partnerships and the MOUs that we have forged with the government agencies (throughout the region), we are able to help the companies understand the application process better so that they are better equipped and more efficient with their application submissions.

"Time is of the essence. The faster you get approved, the faster you can operationalise, which means the faster you can get your business going and start generating cash flow."

The partnership between SBF and UOB will grant businesses access to UOB's FDI Advisory Unit's network of 10 FDI centres, in addition to SBF's two Singapore Enterprise Centres located in Jakarta and Ho Chi Minh City.

UOB will also provide financial support and help businesses in their digitalisation journey, accelerating their adoption of technology by providing its comprehensive suite of digital solutions.

In addition, both organisations will share information and resources with Singapore companies through avenues such as webinars to help them learn more about Asean's diverse operating environments and to identify business opportunities.

It is this - that UOB goes beyond banking - that companies appreciate while on their internationalisation journey says UOB's Mr Cheong, who heads the FDI Advisory team.

"When companies expand overseas, the first thing they need is a better understanding, of the regulations, of where they should invest, how they should structure their companies, and how they can tap on local government incentives to optimise their investments," said Mr Cheong.

According to the UOB SME Outlook 2021 Study, businesses identified lack of local market knowledge and difficulty in finding the right partners as the top two barriers faced when venturing overseas.

Beyond providing companies with deep in-market insights, the bank is also able to ensure they hit the ground running.

He cited logistics startup Janio as an example of a young startup UOB has helped. "Because we have on-the-ground services, we are able to connect them to local governments to understand the local regulations and learn how to structure their investments. But beyond that, it is also about connecting them to the local business community."

In addition to connecting Janio with their local network, UOB also invited Janio to take part in a webinar for Japanese companies who were looking to expand into Asean.

"We also invited Janio to share about their products and services because when these Japanese companies expand into the region, they will need logistical support as well.

"That is why we hope to invite many of our SMEs to join us in our webinars to market their services and hopefully along the way they can acquire new businesses."