How Export Control Software Can Ease Pains For Your Business
Exporters and importers would surely prefer their company flourish by mitigating unnecessary dangers that may hamper their brand name, reputation and import & export statements.
On the other hand, the firms which failed to comply with export control regulations ended up with hefty fines and penalties. In reality, some companies still stay oblivious of the set of laws codified as the US export control law, until they fall to the non-compliant businesses and organizations situation when the U.S. government export enforcement office investigates them for offenses.
The governmental agencies, especially, the U.S. Department of Commerce’s Office of Export Enforcement, U.S. DHS Immigration and Customs Enforcement (ICE) and U.S. Department of Justice request exporters to run certain safeguarding activities, broadly known as checks and verifications under “Know Your Client”, as in the following:
Check clients, suppliers and other transaction partners thoroughly before finishing any company transactions with them,
Check if ordered products match the client’s companies practice or not.
Confirm about modes of transport and packaging requests.
Check for the red flags in routing of shipment through multiple nations.
Deny high-value trades in cash.
Carefully screen their names and addresses against Denied favors.
The above methods would also be great actions in implementation of good export compliance position. Many U.S. Government agencies as well as other state government agencies, such as the global associations, regularly publish red flags and lists of prohibited, illegal and denied persons, entities and businesses. Gradually referring to those large numbers of lists, an individual can discover if a thing is acceptable to do business from the U.S. export control regulations standpoint or not. However, would this be powerful enough for you? Does it make simpler or quicker for you? Absolutely not! Unless there is something as efficient as automatic export management applications, the fact-checking against restricted party lists will be rather difficult, cumbersome and labour intensive.
How the software can aid your company?
In the present scenario, should youn’t keep up with the new technological trends as well as the speed of worldwide trading you may interfere with your business’ progress. Having efficient and correctly working export management applications is a definite must. Automated restricted party screening applications can allow you to check your trading partners from several globally barred and denied business lists. Not just that, it will also help you maintain a tab over ever changing national and international import and export control regulations. You can ask for top software suppliers for a whole software package that also helps you with ECCN and HTS classification as rapidly as possible. The advantages of using this software include:
Reputable trade partner screening prevents long hours of manual search operations. With greatly improved flexible searching capabilities, such as phonetic search and fuzzy logic search, screening applications on the market today allow users to locate accurate results in a fraction of seconds.
Batch/bulk screening of lists makes it highly effective for companies that have got a great deal of work to do. You’ll have a cost-effective solution on the job, which will help you with compliance steps and saves money at exactly the exact same time.
Some companies were seriously misguided when they are told that verifying only BIS and OFAC lists were adequate. But, that is not it. Companies operating globally could be bound by screening their commerce partners against 100-120 U.S. and global denied party lists.
Beneath the defense export control regulations, attaining high degree of ITAR compliance before importing and exporting defense articles is a significant requirement. Unauthorized trading will encourage an application of civil and criminal penalties. Internal breach may impose a fine up to $500,000 and debarment under criminal penalties.
Consequently, you should use robust compliance automation applications in your business transactions which aids you in complying with US export regulations as you concentrate on your core business processes.