In the last post about the Iran series I will dive a bit more into some areas of concern which you have to watch out for should you take the plunge and decide to go ahead and invest in Iran. Some are obvious and others are less obvious if you are used to the western style of doing business. Should you have missed part one and part two of the series, check them out first.
Even in the west, cross border investment always needs some adjustment to the local culture of how business is done. I am more used to a Dutch straightforwardness way of doing business while the moment I step into Belgium they would want to have dinner, wine and socialize first before they even mention anything about doing business. The same goes for when you enter the Japanese market they really want to know you as a person first before they proceed further into the business area.
This stems from the culture of the people of that particular country and if you want to do business there, well…you have to adjust to the culture…It’s nothing personal… it’s business.
Law is the law
The law is the law and whether you like it or not you have to abide by it. HOWEVER, people who know the law inside and out can use the loopholes with the connections they might have in that area to persuade it favourably towards their cause. An example of this, you have applied for a building permit but officially it can take anything between 8 and 20 weeks, but you know someone at the department who works there and can he bump you up the list to get it the response quicker. Another example would be probably to pay the person to approve it without even looking. Now I advise against this because firstly you are breaking the law, secondly, you are putting your whole project at risk of getting scrapped or you just opened the door to getting blackmailed in different areas because of this.
Sure sometimes your request gets a bit lost in the paperwork and it doesn’t hurt to ask someone to see if it is on track and everything okay but going around bribing will get you in trouble in the long run.
50 shades of grey
No, I am not mixing your kinks with business, although if you don’t watch your step you will get your share of whips if you break the law…. seriously… just…don’t…break…the…law… The Iranian law has a lot of grey area though like many other countries. I mean look at the Netherlands weed policy….how messed up is that shit? The law there states that the coffeeshop is allowed to sell weed to the public but cannot purchase/transport/produce weed…. so what the government does basically allows the illegal inflow of the drugs into the coffee shop to tax it legally and sell it to the public legally through the coffeeshop… now that is some messed up shit there. Anyways back to Iran….Iran has also many grey areas where you have a law prohibiting one thing and then allowing another thing.
One of these examples is the weird case of getting permission to extend, build to existing properties. For example, I want to convert the front of my house into a garage. Normally you would get a permit and start building. In Iran it is the opposite in most cases you have to start building and after it is finished the local council will come and give you a fine for it and you pay the fine (not that much) and you are good to go. Obviously, besides the fine, the building work still has to be up to standard haha.
Rubbing shoulders
If you really want to get into any market, any country wherever that may be, you need to start rubbing shoulders with the people there. Like everything the devil is in the details and by getting friendly with the locals, creating a rapport with them you will get a much better insight than any data or law for that matter. And to be honest some more rural places the law is the law but the locals kind of can either make or break the deal for you, they can make life easier or really unbearable for you if you don’t play nice. And with playing nice I am just meaning, don’t be a rich asshole who thinks he/she can buy the whole place and therefore he has to receive some respect. To a lot of these people, money is secondary the moment you disrespect them. Have mutual respect for them and trust me they will not only invite you to the table for a piece of that pie, but they will also help you with your own pie. What I am trying to say is, just be human and leave your pretentious attitude where you came from should you have some misplaced megalomaniac attitude. Because if you don’t, you will crash hard.
Loyalty is scarce
Rubbing shoulder doesn’t perse mean you create loyalty with them, that is further than any truth. Rubbing shoulders and becoming friends is a double-edged sword, at one end you are getting friendly and you show respect, however, on the other side they will know more about your business and it might not always be easy to know what to hide and what to reveal. This is an art form that you have to develop on the go and stay on your toes constantly. Because the same people who could be friends with you might be planning against you. The way I approach this is rather simple, everyone has a price. You just have to find out what their price is so that their loyalty is bound to their dependency on what you have to offer. When I say “everyone has a price”, it doesn’t mean money always. Some people want you to scratch their back in a different way. That is why whenever you come into contact with someone, try to explain as much as possible what you can do for them. They might not need that particular service but they might know someone that does and in turn, they might provide you with a service and this is how the whole thing goes around. To give you an example, I met an interesting fellow who knew the area where I was looking for properties. At the same time, his son was just starting an online business but didn’t have the money or knowledge to build a website. Now it has been ages that I’ve done websites for a client but I offered him to help out his son with this. Fast forward a couple of weeks later and he was actively looking for properties around the area really hard for me to help me out. And that is my friend how things kind of work in Iran. Sure I could have paid him something extra to work harder but then I would never have created this rapport with him for a long mutual business based friendship.
Once every 10000000 people you do come across someone who is pure and loyal and kind-hearted, should you come across that kind of person in business, hold very tight on to them and don’t let them go ever haha. BUT should you make a bad judgement… be prepared to lose it all….because there are some Oscar-worthy actors around the world 😀
Closure
As I am closing the Iran series I am already on the move to the next location but I will be coming back soon to Iran again because I still have some stuff to do here. I will be focusing on some other content that I will be releasing soon. I hope you enjoyed the Iran series as much as I enjoyed writing it. Doing business in Iran or for that matter any foreign country is not an easy feat and you should read into it heavily before you invest a penny into it. I am always a glass kind of full guy and I always look for opportunities wherever I go. Many of the ideas just stay as ideas and some are actually turned into actions. The more I interact with people from different cultures and locations the more diverse my ideas become and a thus higher chance of success ( and it is also a great excuse to travel around 😀 ). Do need new ventures? No…. Do I want them? heck yeah, because that’s what being an entrepreneur is about. It’s not about financial success, it’s about enjoying the process and seeing your idea grow into something tangible. This could be anything from a fried chicken shop to the next Amazon. As long you have fun in the process.
So what I am trying to say is…. don’t invest in anything or anywhere unless you enjoy it….otherwise you will fail 100%. And on that slightly depressing note, enjoy the rest of your day! every day above ground is a good day… don’t stress that much. 😀