Slowly but surely, Europe is becoming more unified. But that doesn’t mean it’s getting any easier for companies doing business across the continent. European compliance continues to be a challenge for many firms.
One reason companies are struggling with European compliance is that centralization has been such a strong business trend. By grouping together as many financial functions as possible into one central location, so the theory goes, organisations can generate substantial savings.
This sounds good. But there can be a downside as well. When companies reduce the sizes of their national offices, or close them altogether, valuable expertise can be lost. As people leave they take with them detailed local knowledge about a multitude of matters essential to statutory compliance.
Meanwhile back at headquarters, centralised financial teams without this special knowledge are struggling to find answers to national compliance questions. This can result in late or incorrect statutory filing, which could incur additional costs - the opposite of what was intended.
Fortunately, our compliance team has a solution: the European Compliance Center