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Starting a business involves a keen awareness of the underlying regulations and measures. These measures aim at enhancing ethical principles and protecting customers from poor quality products. The government also uses these regulations to control the number of businesses or as a way of fighting illegal businesses. In addition to these, the government generates income through taxation, both during the establishment and by using the registry. In America, there are a number of agencies involved in business regulation. The Miami business regulation falls under both the federal authorities and the state government, which collaborate in these roles. On top of that, nations have ratified a number of international trade sanctions, which must be considered while starting a business in the US so as to avoid violations (Delaney, 2012).

Miami offers an excellent trading ground in respect to the strategic site and the fact that it is one of the regions visited by many tourists (Delaney, 2012).  The large number of people using Miami port offers a convenient, thriving environment for the business expansion.  Starting a business in this place will open up doors for exporting the goods to different areas in the world.  The potential of business expansion are higher because tourism offers a profound link to the rest of tourist community, their countries, friends and relatives. The location of the enterprise in the port will reduce the cost of transporting the goods.  In starting this business, there are a number of trade control regulations that must be explored and upheld.   

It is mandatory the business be licensed to carry its operations (Delaney, 2012). Therefore, the procedure for obtaining the license has to be drafted and implemented. The first step is obtaining a local business tax receipt from the authorities in Miami County. Since this will be an international business, the receipt should be far more detailed than that of the small-scale business. The entrepreneur will have to consult the attorney general for information regarding international licenses required in the establishment of this business (Galtung, 2009).

C-TPAT and Its Role in Public Safety

Customs-Trade Partnership Against Terrorism (C-TPAT) is a regulatory body in USA that is involved in preventing the entry of illegal weapons in USA (U.S. Department of Homeland Security, 2012). The body has developed a number of regulations that are mandatory for companies, organizations, and other forms of business enterprise.  The business must abide by the requirements of this body. The main aim of C-TPAT is to develop a strong relationship among businesses in fighting terrorism. The measures and restrictions imposed by this body play a crucial role in upholding public safety. Since this business involves an extensive chain from manufactures, transportation, and warehousing to brokers and customers, it falls under the interest of C-TPAT, which becomes a core player in regulating this business. C-TPAT ensures that there is no loophole left along the supply chain that can lead to the entry of weapons of mass description into the country.  The company or the business based in the US should have the mandate to ensure that the rules are upheld by the suppliers, stakeholders, warehouse, and transporters of the goods which are linked to this company.  The eligibility criteria that make this business fall under the requirements of C-TPAT include U.S. importers of record, ocean carriers, U.S terminal operators, licensed US customs brokers, and US Air Freight consolidators (Genemack.com., 2012). 

For the purpose, of enhancing management of risk standards, C-TPAT aims at registering the biddable low-risk business organizations that are directly liable for importing, trafficking, and linkage of imported goods into America. The main aim of C-TPAT recommendations is to spell out trusted import entrepreneurs who have proper supply chain security requirements and regulations. This will minimize inspection of their imported goods and allow the customs to just focus on screening measures on imported cargo transactions, which are linked to unidentified or mistrusted businessmen (Genemack.com, 2012).

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Participating in C-TPAT procedures will reduce the number of inspections, hence saving shipment time. The business will also be assigned to Supply Chain Security Specialists (SCSS) that enhance security of the business throughout the business supply chain. One of the benefits that the business will receive is the eligibility to attend C-TPAT training seminars on supply chain and certification. Moreover, the business will benefit from the Customs and Border Protection (CBP) importer self-assessment programs rather that the strict CBP audits (Galtung, 2009).

The areas which C-TPAT regulations affect in respect to this business will include importer security, license customs brokers, foreign manufactures, warehouses, ocean, land and air carrier recommendations. These captions should be addressed while considering the relation between the business and the C-TPAT. The federal agency involved in upholding these recommendations is the US Customs and Border Protection.  The security measures that are supposed to be observed play an indispensable role in improving the future of the business.  The process of cargo transportation right from the loading to offloading in different sections should be maintained. The rightful load should be closed checked for weight, content, and documentation supporting the load characteristics. CBP also recommends that the buildings, entrances, and the compound of the business location should be equipped with devises that restrict unauthorized access. The entrances in every section of the business should be delineated clearly. People should be restricted from accessing the critical sections unless they possess the right pass identifying them to the gate keepers. Moreover, employees should be updated on security measures through training or seminars (U.S. Department of Homeland Security, 2012).

The regulations also require the different companies to consistently notify the CBP and other agencies involved in overseeing law implementation. During documenting and reporting, the information communicated should be as truthful as possible. The main areas touched on during reporting should include a description of the product in question, violators, possible location where tampering with the goods was noted, and the parties involved in reporting. Compliance with C-TPAT requirements will highly boost the business goodwill. After the business is approved by this organization, customers will gain trust in the secure goods and products of the company and develop an interest to invest and trade in Miami (U.S. Department of Homeland Security, 2012).

OFAC's Sanction Programs

OFAC is an office in the US Treasury Department that is involved in administration and enforcement of economic, financial, and trade sanctions. The sanctions to be implemented are guided by the US national security objectives against a number of bodies, countries, and organizations that are classified as threats to national security. These sanctions imply to terrorists, international illegal drugs traffickers, manufacturers of or those linked to weapons of mass destruction, groups identified to pose potential threats to the security and economy of the US.  Currently, OFAC has a list of sanction programs, which include Iran sanctions, unprolific sanctions, Syria sanctions, counter-terrorism sanctions, counter-narcotics sanctions, and Cuba sanctions, among others (U.S. Department of the Treasury, 2012).

OFAC has a list of individuals and companies that fall under the umbrella of sanctioned entities. The entries found in this list are believed to have an interest with sanctioned nations or groups of individuals, organizations, and entities involved in cases of terrorism, drug trafficking, and other illegal groups sidelined by the US and UN policies. This list is collectively referred to as specially Designated Nationals List (SDN) (Harris, 2012). Understanding the content of the list is of considerable vitality among businessmen. It prevents litigation or having the license revoked and business account frozen by the US government for violating the sanction policies. Currently, the list totals over five thousand names of individuals and companies. The US government prohibits any business transactions with members and entities present in SDN list. Therefore, in drafting the list for the importation and exportation of tractor parts, it must be given adequate consideration (U.S. Department of the Treasury 2012).

To ensure that the business is free from potential sanctions due to cases of interacting with entities in the SDN list, the names of all customers must be counter checked with those in the SDN list. OFAC recommends that a business use a third party in investigating the legibility of their customers. For easy identification of the content of the list, the body has come up with a software product that matches the content of SDN and that of the investigated entities. The penalties implemented by OFAC in the case of violation of these regulations are limited to US citizens and those operating their business in the USA. Parties identified to have violated these regulations are liable for criminal penalties in form of bond or imprisonment or both. Charges range from fifty thousand to ten million US dollars while imprisonment can go up to 30 years. In addition to these criminal charges, OFAC has the authority to institute civil penalties of up to USD 1,075,000 per violation (Harris, 2012). These penalties are delineated clearly in each sanction.

In conclusion, the business will have to conduct regulation validation to avoid litigation. As Miami is one of the main tourist destinations, strong measures must be instituted to ensure that only the agreed upon goods or cargo are transported during the export and import transaction. Complying with international trade regulations as well as complying with federal and state policies.

Custom Export Business Essay

Code: Sample20

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