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First Time Guides

Selling to customers outside the UK opens up a much larger market — but it also means navigating customs, documentation, and a set of costs your customer may not be expecting. Get it right and international sales become a real growth channel. Get it wrong and you'll have customers refusing deliveries, disputing charges, and leaving bad reviews about something that was never your product's fault.

This guide covers exactly what you need to have in place before your first export shipment leaves the UK. It's written for UK businesses selling physical goods internationally for the first time — whether that's a small maker selling to EU buyers, a brand expanding beyond domestic retail, or a B2B supplier taking on an overseas account.

Should you actually do this?

The honest answer for most product businesses is yes — but not without preparation. Exporting expands your addressable market significantly. The EU alone is 450 million consumers, and markets like Germany, France, and the Netherlands have strong e-commerce cultures and appetite for UK goods. For B2B sellers, exporting often unlocks contracts that simply don't exist in the UK market.

But it adds real complexity. Customs documentation takes time to get right. Delivery times are longer than domestic. Currency exposure becomes a factor on large orders. And the biggest risk: your customer gets an unexpected duty or VAT bill at their door that they weren't warned about, refuses delivery, and you're out both the goods and the shipping cost. That scenario is entirely preventable — but only if you understand what your customer will face before the parcel leaves your warehouse. This guide helps you go in with eyes open.

The five things you need before your first export shipment

1. An EORI number — required for exporting from the UK commercially. It's the same number you'd use for importing: a unique identifier that HMRC uses to track your trade. Free to get, usually issued the same day via GOV.UK. Without one, your export declaration cannot be submitted. Read the full EORI number guide if you haven't applied.

2. A commercial invoice — mandatory for every export shipment without exception. It's the document that customs authorities in both the UK and the destination country use to assess the goods. It must include your details and your buyer's details, a description of the goods, the HS code, the value and currency, and the agreed Incoterms. A vague or incomplete invoice is one of the most common causes of customs delays. Read the commercial invoice guide for UK exporters for exactly what to include.

3. Your commodity code (HS code) — the 10-digit number that classifies your goods for customs purposes. For exports, you use the first 8 digits. The HS code appears on your commercial invoice and is used by the destination country's customs authority to determine what duty rate applies to your customer. Getting it wrong causes delays for your buyer and potentially incorrect duty charges that they'll trace back to you. Finding the right commodity code is worth doing carefully once, then reusing for every shipment of the same product.

4. An understanding of what your customer will pay on delivery — this is where most first-time exporters get caught out. When your parcel arrives at your customer's door, they may face import duty, destination VAT, and a customs handling fee charged by the courier. If they weren't told about this upfront, they'll either refuse the parcel or blame you. Unexpected customs bills are the single biggest cause of negative international selling experiences. Calculate the landed cost before they buy, not after.

5. A decision on Incoterms — specifically, whether you're shipping DAP (Delivered at Place, where the customer pays import charges on delivery) or DDP (Delivered Duty Paid, where you handle everything including the customer's import costs). Most small exporters use DAP: you pay to get the goods to the customer's country, they pay duty and VAT on arrival. DDP removes all friction for the buyer but means you need to handle their country's VAT registration, which is complex. Most couriers default to DAP — make sure you and your customer both know what that means before the shipment goes. See the full Incoterms guide for UK exporters.

What it actually costs your customer

This is the section that prevents the most problems. Your product price is not what your customer pays. Their landed cost — what they actually pay to receive the goods — includes your product price, the shipping cost you charge, import duty at the destination (often 0% for UK-origin goods under the UK-EU Trade and Cooperation Agreement, but not always), destination VAT (which varies from 17% in Luxembourg to 27% in Hungary), and a customs handling fee typically charged by the destination courier (usually €10–€25 per shipment).

A worked example makes this concrete:

If your German customer thought they were paying £150 and a parcel card arrives asking for £68 before they can collect their order, they'll refuse it. That's your problem, not theirs — even though you followed every rule correctly.

Before you quote a price to any EU customer, run it through ClearShip. Enter the product value, weight and destination country and it returns the full landed cost — what they'll actually pay at the door — so you can communicate this clearly upfront or build it into your pricing.

What documents you need for your first export shipment

Commercial invoice (mandatory for all export shipments) — the primary customs document. Must be accurate, complete, and match the goods exactly. Full guidance on what to include.

Packing list (recommended for all, required for many) — itemises the contents of each package: quantity, weight, dimensions, and a description of the goods. Couriers and customs officers use this to verify the shipment matches the invoice. For multi-box shipments it's essentially mandatory. See what a packing list is and what it needs to contain.

Supplier's declaration or statement on origin (if your customer wants to claim preferential duty rates) — under the UK-EU TCA, UK-origin goods can enter the EU at 0% duty, but your customer needs proof that the goods genuinely originate in the UK. A statement on origin on the commercial invoice or a standalone supplier's declaration is how you provide this. If you can't support it, your customer pays standard duty rates. Read the guide to supplier's declarations and rules of origin.

Proof of export (for UK VAT purposes) — UK exports are zero-rated for VAT, meaning you don't charge your customer UK VAT. But HMRC requires you to hold evidence that the goods actually left the UK. Your courier's export confirmation or the electronic export declaration serves as this evidence. Keep it with your records.

ClearDocs generates the commercial invoice and packing list in a single document pack, with destination-specific guidance on what's required for each country. Try ClearDocs before your first shipment goes out.

What to do for your first export shipment — step by step

1. Confirm your customer's full delivery address and contact details — customs requires a complete address; PO boxes don't work
2. Agree price, currency, and Incoterms in writing before you take payment
3. Calculate the landed cost so your customer knows what to expect on delivery — use ClearShip for EU destinations
4. Generate your commercial invoice and packing list — include the HS code, declared value, and agreed Incoterms on the invoice
5. Include the correct HS code on all documents — it must be consistent across the invoice and any customs declaration
6. Book shipping with a courier experienced in international customs — DHL, FedEx, and UPS handle customs declarations automatically for most shipments and are a sensible default for first-time exporters
7. Zero-rate the sale for UK VAT — do not charge UK VAT on exports
8. Keep copies of all documents for at least four years — HMRC can audit historic exports and will ask for evidence of zero-rating

What gets easier and what doesn't

What gets easier: once you've done the first shipment, the documentation process becomes routine. ClearShip saves you recalculating landed costs from scratch every time — your regular destination countries are a few clicks. Repeat customers know what to expect on delivery, so refusals drop to near zero. Your courier relationship improves and customs clearance speeds up as your shipment profile becomes familiar.

What doesn't get easier: VAT rules in destination countries are complex and do change — keeping up with registration thresholds, rate changes, and OSS obligations is an ongoing commitment if you're selling at volume. Commodity codes need reviewing when you add new product lines. Currency risk on large orders remains a real exposure. And staying current on duty rates across 27 EU member states — plus the UK's other trading partners — is where tools like ClearShip matter most, because the rates do change and the consequences of quoting a customer the wrong landed cost are immediate.

Common mistakes that catch first-time exporters out

• Not telling the customer about on-delivery charges — this is by far the biggest cause of refused deliveries and post-sale disputes. Always communicate the full landed cost before purchase. Read about how to prevent unexpected customs bills.
• Missing or incorrect HS code on the commercial invoice — causes customs delays, potential reclassification, and incorrect duty charges for your buyer. See common commercial invoice mistakes.
• Assuming UK-origin goods always attract 0% duty in the EU — they do under the TCA, but only if they genuinely originate in the UK under the rules of origin. If your goods are assembled from non-UK components, the 0% rate may not apply. Read the rules of origin guide for UK exporters.
• Not keeping proof of export for VAT purposes — if HMRC audits and you can't demonstrate the goods left the UK, the zero-rating is disallowed and you owe the VAT. Your courier's export confirmation is usually sufficient — just keep it.
• Shipping to EU islands without checking — the Canary Islands, Azores, and Aegean islands have different VAT and customs rules from mainland destinations. Shipping to Las Palmas is not the same as shipping to Madrid. Check before you quote.
• Choosing Incoterms by default rather than by design — most couriers default to DAP. If your customer expects DDP — or if they simply don't know what DAP means — an unpleasant surprise awaits them. Agree Incoterms explicitly, in writing, before the shipment goes.