If you’re looking for ways to grow your business revenue, you may be considering a few different niche markets. As a moving company, expanding your capacity to service new destinations can easily fit the bill. Additionally, when you find the right partner to assist you, this expansion can even feel simple.
Since 2012, the U.S. territory of Puerto Rico has been creating tax legislation and other incentives to entice U.S. citizens to move to the island. These efforts have only increased in the last few years, leading many business owners and entrepreneurs to relocate to this Caribbean island. If expanding into Puerto Rico is on your radar, consider these four reasons why the island can offer an effective niche to support your business growth. And if you haven’t considered moving customers to and from Puerto Rico, these four reasons might just change your mind.
#1: Puerto Rico’s Territorial Status Means a Simpler Move for You
Because it’s a U.S. territory, moving your customers to Puerto Rico is easier than relocating them to many international destinations. For example, while pilferage and unexpected extra charges can be common in other countries, you won’t encounter those challenges in Puerto Rico.
Additionally, English is widely spoken, and many of the business and legal structures are similar to those in the continental U.S., so doing business in the territory will feel familiar. The paperwork requirements for moving household goods are also fairly simple. Your customers will need to provide:
- A driver’s license or passport
- A copy of the shipper’s social security card
- A power of attorney made out to the delivery company in Puerto Rico (Note: This document does not have to be notarized)
- A Hacienda declaration letter that lists the depreciated value of the shipment
El Departamento de Hacienda is Puerto Rico’s Department of Treasury, which collects excise taxes on imported goods. Hacienda does not collect duties on household goods older than 12 months, but you’ll want to make sure you work with your customers to create an accurate valuation in the Hacienda letter for easy customs clearance.
As long as your documentation is in order, Hacienda clearance is usually seamless. If you have experience in moving customers to Guam, your experience with Puerto Rico will likely feel similar.
That being said, a move to an island in the Caribbean can feel complex to many of your customers. They’ll be grateful for your guidance and assistance in arranging for ocean freight, scheduling pickup and delivery, and assembling the correct paperwork—all items that are everyday occurrences for you but can seem challenging to those outside of the logistics industry.
Additionally, you’ll find a number of U.S. citizens are interested in making the transition to the island, which is offering significant financial incentives.
#2: Puerto Rico’s Focus on Business Means More Customers for You
To attract new residents and businesses to the island, the Puerto Rican government enacted several laws, Act 20 and Act 22 among them. These regulations offer significant tax benefits and incentives to individuals who legitimately relocate their residency and their businesses to Puerto Rico. Additionally, after Hurricane Maria devastated the island in 2017, the government looked for creative ways to rebuild the island, including investing in public-private partnerships and backing a startup accelerator that requires at least one founder to live on the island.
It’s worth noting that these programs have strict residency requirements. It’s not as though a business owner can pack up a single suitcase, spend a few weeks in a condo and call him or herself a bonafide resident. Instead, those who wish to become residents have to pass three tests, which examine things like where your family lives, where your belongings are located, and more. In other words, these are not relocations in name only. To be considered a resident requires a significant move, one that very likely involves the help of professionals like you.
What does all this roll up to? A larger customer base for you. Increasingly, more and more business owners are leaving high-tax states like New York and California and heading for tax-friendly locations like Florida and Puerto Rico. They’ll look to companies like yours to assist with their relocation.
And, for you, booking these moves doesn’t have to be complicated, especially when it comes to pricing them out.
#3: The Pricing Can Be Simple
If you choose the right partner to help you move your customers to Puerto Rico, calculating the cost to you can be easy. Unlike moving your customers to Mexico, where supplemental charges are more common, these are mostly nonexistent in a U.S. territory like Puerto Rico. This is good news for you since it will ultimately make pricing these moves to Puerto Rico much easier for you.
Look for a guaranteed rate priced in cubic feet, with zero extra charges. If you’re presented with an extremely complex quote with uncertainties built-in, you may want to search for a different partner.
Finally, you might also consider working with a partner who offers complete packages for your customers.
#4: Some Partners Can Offer All-in-One Options
If your customers are making a bonafide move to Puerto Rico, they may have more than just household goods to move—and many of them would prefer to work with a single person who can help them make the transition.
As you vet partners for your Puerto Rico moves, look for one who can offer things like:
- Door-to-door service for household goods, which give your customers one less thing to worry about.
- The ability and expertise to move office equipment, entire businesses, and even additional employees. Your customers who are moving their family and their business to Puerto Rico will appreciate the option to do it all with one point of contact.
- The possibility to use that same partner going forward for any freight needs, especially if your customer is establishing a business that needs regular supplies or inventory shipped to or from Puerto Rico.
The right partner can make all of this simple for you.
Expanding Your Business into La Isla del Encanto
As you examine the various possibilities for growing your business you should put Puerto Rico on your list. Moving customers to this U.S. territory can be simpler for you than an international relocation. Additionally, with simple pricing options, Puerto Rico moves can boost your bottom line. That being said, things like ocean freight and arranging for pickup and delivery are tasks that can feel complex to your prospects, which opens the door for you to offer them expert assistance and secure them as customers.
Looking to expand your destinations to include Puerto Rico? Reach out to us. We have an established relationship with a family-owned business on the island, and we can offer your customers the all-in-one solutions that make their relocation easy for them—and for you.