Complete Guide

US Market Entry

Field-tested guidance for European industrial companies building a US sales channel: distributors, reps, commission structures, and the costs nobody quotes up front.

European industrial tech companies routinely underestimate the cost of building a US channel by a factor of three to five. The number we hear is "we'll budget $200K for the first year." The number that actually clears the runway is closer to $700K once you add a US-based sales lead, partner recruitment, trade show presence, demo equipment in-country, technical support coverage across four time zones, and the legal work to write rep agreements that hold up under state-level distributor protection laws.

The other consistent mistake is treating manufacturer's reps and distributors as variants of the same model. They're different businesses with different commission economics. A rep carries dozens of lines and walks when yours stops paying for itself in 18 months. A distributor takes title, holds inventory, and locks you into termination clauses that get enforced in state court.

We've been running US channel partner searches for European manufacturers since 2015. The articles here distill that pattern recognition. If you're sizing a US entry, our channel partner search service is the operational version of this work.

Articles in This Series

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