Doing business in Libya please help

You'd be better speaking to the business section of the British Embassy for advice about the Libyan market. They are extremely helpful.
The construction industry does seem to have a lot of finance problems, beware. There are many in the industry who have spent the last year or so trying to do something and left with nothing.

Bring a barge pole.

Got me a bit worried there buddy.. I will contact the embassy indeed. We did see some upcoming projects in the line that look very interesting indeed.

I have friends working for several different construction/project management companies, all working on different projects.

Be worried!

Contacting the embassy is the best idea as they have expertise in this area.  They can update you on local business laws, business culture and inform you of other companies that are doing business here.
Depending on your product or service it may be advantageous to hire a local rep or make contact with local companies.  Like any place, who you know can be very helpful.  Without knowing specifically what your product or service is, it is difficult to direct you to an specific company or authority.  If you go to www.libyaninvestment.com  or www.libyaonline.com you will find posts of upcoming trade fairs and exhibitions, some of which are solely construction.  Come to one of these to test the waters.

Good luck!

Mudman wrote:

I have friends working for several different construction/project management companies, all working on different projects.

Be worried!

That's not a nice thing to say friend. You could atleast explain the miseries your friends are experiencing if that's not too much to ask. I am aware that the construction market is taking a bit of halt at the minute due funding but in a construction of a country such as Libya you have to look into it for the long term.

business2010 wrote:

That's not a nice thing to say friend. You could atleast explain the miseries your friends are experiencing if that's not too much to ask.

It's notoriously difficult to get your money. Local subcontractors taking dangerous shortcuts to bloat their profit margin...etc
But mostly, you would occasionally feel that you're expected to do the work for free.

Mudman?

18 months DSO in Libya is not uncommon

Sandman6 wrote:

you'd think a month of "rocking in the free world" is enough to mitigate the trauma of working in Libya

It may take a little longer for the pain to go away

business2010 wrote:

That's not a nice thing to say friend. You could atleast explain the miseries your friends are experiencing if that's not too much to ask.

It is not a lack of funding.It is an unwillingness to pay and constant contractual renegotiations and goal post shifting. The pattern seems to be : let the contractor get in so deep they can't afford to pull out, throw them a bone and get them to commit to $Million more, then repeat.

I know of several expats, experienced in overseas construction projects who ended up being owed tens of thousands of dollars of salary and having to walk away.

I know of two high profile projects in Tripoli that on more than one occasion have shut down early on a Thursday afternoon (Friday is the one day for the construction guys & gals here)not knowing if they would restart on the Saturday as the 'customer' was questioning terms & refusing to pay.

This isn't gossip, I hear these stories from my friends every week. By all means come in & test the water, I'll be happy to introduce you to people more informed than me, then you can make your own choice

An interesting read:   http://www.arabianbusiness.com/592477-u … -potential

Mudman wrote:

business2010 wrote:

That's not a nice thing to say friend. You could atleast explain the miseries your friends are experiencing if that's not too much to ask.

It is not a lack of funding.It is an unwillingness to pay and constant contractual renegotiations and goal post shifting. The pattern seems to be : let the contractor get in so deep they can't afford to pull out, throw them a bone and get them to commit to $Million more, then repeat.

I know of several expats, experienced in overseas construction projects who ended up being owed tens of thousands of dollars of salary and having to walk away.

I know of two high profile projects in Tripoli that on more than one occasion have shut down early on a Thursday afternoon (Friday is the one day for the construction guys & gals here)not knowing if they would restart on the Saturday as the 'customer' was questioning terms & refusing to pay.

This isn't gossip, I hear these stories from my friends every week. By all means come in & test the water, I'll be happy to introduce you to people more informed than me, then you can make your own choice

Spot on.
It surely no coincidence that none of the world's major construction companies are operating here.

Flasher wrote:

Spot on.
It surely no coincidence that none of the world's major construction companies are operating here.

Good observation.

Also, when I walk around Tripoli, I see lots of great business opportunities.  There's a reason no businesses are filling them.

bluejay wrote:

An interesting read:   http://www.arabianbusiness.com/592477-u … -potential

Very interesting read however it's a bit a copy and paste from various articles I came across the internet. They mentioned only the "bold" need apply but didn't really bring up anything to justify that quote if I'm being honest

business2010 wrote:

bluejay wrote:

An interesting read:   http://www.arabianbusiness.com/592477-u … -potential

Very interesting read however it's a bit a copy and paste from various articles I came across the internet. They mentioned only the "bold" need apply but didn't really bring up anything to justify that quote if I'm being honest

In addition to what has been mentioned previously, one thing comes to mind is the fact that Libya has been "politically stable" for more than forty years, and is deeply reliant on individuals, not a constitution or an ideology to maintain this stability. Do you see the picture now?

Edit: this doesn't mean you should refrain from testing the waters.