I assume that you and/or your staff did a very good job by giving the full information regarding the sample preparation to you factory and that the factory also closely followed your requirements. Therefore, it is the right time to provide at least one sample together with all your specifications and requirements to the inspection company of your choice.

Since the inspection company will act on your behalf as your savior in case of a non-compliant production, it is very obvious that you must feed them all the information you have to let them do the job. This is even more important when your product is more complex like home appliances and consumer electronic products.

Please consider that they can only follow the general inspection procedures and your specific requirements. If you do not inform the inspection agent about certain details, they will not take the necessary action and can't be blamed.

Beginning the Inspection Process

What happens after they receive your sample(s) and your clear detailed instructions?

The inspection company prepares a checklist which you have to verify and at this stage you can still make corrections.

The inspection company will also take your sample(s) as reference sample(s) for their inspector and you will again realize how important it was to give clear instructions to the factory for their sample preparation process.

If you insist the inspection be conducted without a sample, do not be surprised later on, if the inspector's finding do not match your expectations. The factory will always try to confuse the inspector because they have only one thing in mind, which is "ship out and receive your money as soon as possible".

I would like to point out the extent importers have changed the inspection requirements in the last few years.

Home appliances make a good example. Some years ago, toasters were operated without bread during the inspection. Nobody cared to test whether bread was toasted consistently from top to bottom and side to side. That has completely changed because end consumers have also become more demanding and don't accept slices of toast bread where the top completely burned and the bottom is still white.

Some years ago coffee makers were operated without ground coffee and it was sufficient when the boiled water dripped into the glass jar proving the coffee maker was functioning properly. Today inspections are conducted with ground coffee along with paper or permanent filters in order to simulate a normal operation. Only then, can the inspector discover whether the coffee will run fast enough through the filter and coffee without overflowing.

You should get the point about how much effort is necessary to inspect products to make sure that they meet the consumer's expectations for day-to-day use. Therefore, you will understand that only an experienced inspection company can cope with ever-changing requirements and directives. It makes no sense to employ someone without this experience but who may charge less.

After you have selected your inspection company and they have received your sample(s) you must provide them with a copy of your P/O (Purchase Order). It is advisable to blank out the Fob prices because inspectors could be tempted to pass such information to competitors.

In general, you should know there are not many secrets in China. Inspectors frequently run into counterparts from other companies when performing their job at several different factories. It may well be that they have lunch together (usually provided by the factory) and talk shop. And talk they will. Important information spreads faster then you can imagine.

Fob prices are not necessarily something you want discussed among inspectors. Don't give them a chance by showing it on your P/O copies.

More About the Inspection Process

The inspection company will include vital information from your P/O in the checklist along with other specifications received from you. Usually the checklist includes various digital photos of specific details the inspector needs to be familiar with. In general, the more detailed information you provide to the inspection company, including digital photos, the better the inspector can perform his duties.

After everything is clear, you will book your inspection(s) with your inspection company. This is usually done by filling out an online application form.

Booking the inspection must be arranged at least 5-7 working days prior to the estimated date of production completion or at least the date when 80% of your products will have been completed. It is very important to know, that the inspector will refuse to perform an inspection if the total completed production quantity is less than 80% and if the products have not been packed in their sales packaging and export cartons. The factory will be charged for the inspector's expense for the failed inspection.

After having received your inspection booking, the inspection company contacts the factory and verifies the inspection date because they have to coordinate the manpower and will try to allocate their inspectors to several factory locations in the same area.

Before reading further, we want to first distinguish between a trust and Private Interest Foundation. Before the 1996 change in the trust laws, they were widely used to assist in asset protection and tax sheltering offshore. Since the new implementation of the laws, the trust is no longer a safe vehicle to structure your assets offshore. Now, because of U.S. Internal Revenue Code Section 679, U.S. persons who form (settle) a foreign trust that has any U.S. beneficiary are treated as the owner of the assets in the trust for income tax purposes. There is no legal way around this, and therefore we currently work with Private Interest Foundations to incorporate offshore in place of the trust.

Private Interest Foundations, the Legal Solution....

With the recent change to new trust laws, our attorneys looked elsewhere to find a reliable solution. When placed as the majority shareholder for an offshore corporation, the Private Interest Foundation is exactly that, providing the highest level of asset protection possible. Simply stated, we place your Private Interest Foundation as the majority shareholder of your offshore corporation, leaving you as a beneficiary or nominee, not an owner by legal definition.

Since the tax authorities and creditors can only access information of foreign owned entities, the Private Interest Foundation is exempt. It by legal definition has no owner, so it does not need to be disclosed as a foreign entity you own offshore.

The owner of the offshore corporation is the foundation, which has no owner, leaving no legal ownership tied to any individual throughout the structure. This allows you to open bank accounts, withdraw money tax free, protect your assets, and remain in complete anonymity through the foundation. This structure is used by the top attorney offices in the country, many of whom we provide offshore incorporation services for. The key is working with a experienced offshore incorporation firm. There is only one place which offers this opportunity, and a chance to resell it.

The four keys to Spanish politics.

Hi! I've been living in Spain for almost twenty years. My wife is Spanish, my colleagues are Spanish, my customers are Spanish and by businesses are Spanish. Over these years I think I've learned quite a bit about "being Spanish".

If you want to get into the under-exploited fast-growing Spanish market, you need to know more than just how to speak Spanish. You need to understand Spanish customs, Spanish etiquette and Spanish business culture. Otherwise, you'll just be another American trying to "sell Spanish".

There are three favorite topics of conversation in Spain:

* Football (soccer)
* Sex.
* Politics.

Right now we're going to talk about politics.

To understand Spanish politics you must be aware of four key issues:

* The legacy of Francisco Franco.
* The nationalists and the autonomous regions.
* Eta and the fight against terrorism.
* The Spanish integration into Europe

Spain is a constitutional monarchy which was formed after forty years under the military dictatorship of Francisco Franco. Franco gained power after a bloody civil war whose scars are still evident in the Spanish society. Many people's grandparents fought and died in the war on both sides.

Although Spain is now a consolidated European democracy the times of Franco left very clear marks. In the Spanish press its common to hear references to the "two Spains" characterized by the more conservative right and the liberal left. After almost thirty years, neither party maintains any ties to the old regime, but history is always a fair weapon to use against political adversaries. The truth is that both major parties in Spain are more to the left than the democrats are in the U.S.A.

One of the principle legacies of the dictatorship is the no resolution of many small "nationalisms" inside Spain. In fact, Spain has four official languages and the central government is in constant negotiations with the three principle nationalist groups in order to maintain itself in power. These three groups belong to the Basque, Galician and Catalan regions.

Due to the complicated electoral system in Spain, the nationalists have more power than there numbers would suggest as reasonable. In fact, they almost always act as "hinge" parties which are able to effect the balance of powers in Madrid. In order to assure this power, the nationalist parties are continually looking for reasons to "sell" their ideas to the people who live in their regions. This makes for very interesting politics!

Without a doubt the most negative force in Spanish politics is the Basque terrorist group called Eta. This group has been setting off bombs and shooting people for over forty years. Although progress has been made, they are still a serious problem for every Spanish government.

Finally, the incorporation of Spain in the European community and the adoption of the euro (abandoning the peseta) has been the most overwhelming force acting on Spanish society for the past two decades. Most of the major infrastructures have been built using European funds and the spectacular growth of the Spanish economy is largely due to the benefits of joining the EC.

If you want to do business in Spain, it's a good idea to understand the basics of their political system.

Dennis H. Lewis has been living in Alicante, Spain with his wife and two children for almost twenty years.

He currently runs three successful companies entirely in the Spanish market.

Hi! I've been living in Spain for almost twenty years. My wife is Spanish, my colleagues are Spanish, my customers are Spanish and by businesses are Spanish. Over these years I think I've learned quite a bit about "being Spanish".

If you want to get into the under-exploited fast-growing Spanish market, you need to know more than just how to speak Spanish. You need to understand Spanish customs, Spanish etiquette and Spanish business culture. Otherwise, you'll just be another American trying to "sell Spanish".

A couple of days ago I read a story in the paper about a working in a daycare center. The ladies who work there spend their days cleaning noses, changing diapers and writing in the logbook! That's right. In order to comply with the requirements of their insurance policies and to prevent unnecessary liabilities they write log every scratch, every conflict between kids and anything else that might be "of interest". I couldn't believe my eyes!

You see, fortunately in Spain this obsessive need to document every tiny incident in order to "cover your ass" just doesn't exist. Although quirky in many other ways, Spaniards haven't been subjected to three decades of lawsuits, torts and greedy lawyers. (The lawyers are greedy here too, but they use other tactics). This makes life much easier.

For example, you can give a coworker two kisses (on the cheeks) without worrying about being accused of harassment. You can give your teenage daughter a hug without someone thinking you're a pervert. And you can pick up a crying child without fearing that the mother's going to go screaming for a policeman.

After twenty years in Spain, I´m not sure I could adapt again to my home country and all our uptight ways.

Although you may think that this is just a minor detail, when you're doing business in Spain it is very important. Spaniards just don't understand why we worry about these things so much. Most importantly, when in Spain you mustn't expect that they follow your rules.

If your a woman, don't be startled if a Spaniard leans in to give you two kisses when you're being presented. If this makes you uncomfortable, learn to be quick offering your hand for a handshake. Even then, it will often be accompanied by two quick pecks. This isn't a come on by any means. They are simply being polite.

By the same measure, Spaniards are much more laid back when it comes to joking around. If you're in a relaxed setting it's common for both men and women to tell a few jokes. Often they may be sexual or scatological in nature. Don't be startled. If you don't like this kind of humor, I suggest that you just don't laugh. Spanish people are generally pretty perceptive about these things and they'll probably change subjects to make you feel more comfortable.

If you try to give them a lecture thought, they will probably be offended and will label you a prude for life. Remember it's their country.

Dennis H. Lewis has been living in Alicante, Spain with his wife and two children for almost twenty years.

He currently runs three successful companies entirely in the Spanish market.

Let's have lunch!

Be prepared for hearing these three dangerous words!

Hi! I've been living in Spain for almost twenty years. My wife is Spanish, my colleagues are Spanish, my customers are Spanish and by businesses are Spanish. Over these years I think I've learned quite a bit about "being Spanish".

If you want to get into the under-exploited fast-growing Spanish market, you need to know more than just how to speak Spanish. You need to understand Spanish customs, Spanish etiquette and Spanish business culture. Otherwise, you'll just be another American trying to "sell Spanish".

Often the most profitable place to do business in Spain is over a table at a nice expensive restaurant. Spaniards love to eat, and it's no wonder. The Spanish food and cuisine is world famous. They have spectacular ingredients and the "mediterranean diet" is known and recognized all over the world. But if you're not careful, a Spanish business lunch may leave you wobbling back to your hotel room!

First of all, it's good to know the way Spaniards organize their days. Breakfasts are typically very light, and lunches can go on for as long as four or five hours! The "hora de comer" or lunch hour generally falls about two o'clock in the afternoon, and most companies go back to work at half past four. In the summer this leaves plenty of time for a "siesta".

Although Spaniards don't have big lunches every day, (otherwise they wouldn't fit into all those designer clothes!) you must understand that if they're receiving a guest they will probably go all out to impress you. If it's your turn to pick up the check they'll be discreet and let you choose, but they'll be watching closely. If you scrimp, you'll pay for it later on.

So be prepared. A typical business lunch will start with "tapas" or appetizers over a beer. Then two main courses with a bottle of wine (or two), desert, coffee and usually a digestive liquor. Then it's back to work!

Americans often associate drinking with getting drunk, but in Spain alcohol is a vital part of any social occasion. Remember they didn't meet Calvin, and would probably laugh there heads off listening to a southern-baptist sermon. So if you don't drink, although strange, they'll understand. Even still, if you're picking up the check, be sure and insist that they order whatever the want to drink.

On the other hand, If you do drink be careful. Spaniards are always very generous and your cup will never be empty! Go slowly and remember that after lunch you've probably got at least three more hours of work ahead of you. If you go overboard, they'll only laugh and share a wink or two. But when you're gone you'll be the subject of chit-chatting for days to come!

Eating in Spain is a wonderful experience. Almost everything they offer you is worth tasting, even if it sounds a bit wierd. Be brave and enjoy.