International Transactions
BERGMANN
Attorneys at Law
Legal Forum:
Doing Business in Finland
→ Trade and Export
The business environment in Finland is different than in other countries in many respects. Get acquainted to these differences and avoid mistakes!
When entering a new market, the adaptation of the company's contract terms to the new environment should not be regarded as a mere formality, for the contents of the contract terms are decisive for crucial contractual issues in a large number of contractual relationships. Furthermore, well-drafted business terms are a good advertisement for the company with regard to potential customers. They should therefore be drafted with great care.
It is a common habit of Finnish enterprises to agree that any disputes be resolved by arbitration courts instead of the regular national courts. Only by the use of arbitration can the parties ensure that their dispute is dealt with by persons suitably qualified to master the complexities of the subject-matter at hand, that a decision will be made within a reasonable timescale, and that business secrets are kept out of the public domain.
For the entry in the Finnish market, which is small in European terms, the most suitable way is often to use a commercial agent or an independent authorised dealer.
Formal requirements are usually less strict in Finland than in Germany. This offers advantages, but brings dangers with it as well.