From ANZ to the US – Key Lessons from Successful Expansions.

Expanding from Australia or New Zealand into the US is one of the biggest growth opportunities for ANZ tech companies; but it’s also one of the most complex and expensive undertakings a company can face. Many founders underestimate the fundamental differences between the two markets, assuming that their ANZ success will seamlessly translate across the Pacific.

It won’t.

Having worked with and studied numerous ANZ startups making this leap, we’ve seen common pitfalls and key success factors emerge. Whether you’re at the early planning stage or already setting up in the US, these practical lessons from those who’ve been there and done it will help you navigate the transition.

1. The US Is Not One Market. Your First Location Matters

Summary

Many ANZ founders make the mistake of treating the US as a single, uniform market. In reality, the US is a collection of micro-markets. What works in San Francisco might not work in New York and what resonates in Texas may fall flat in Boston.

Lessons Learned

• Each region has a distinct business culture, regulatory environment, and customer expectations.

• Successful companies choose their first US location strategically based on their industry and target customers.

  • West Coast (Silicon Valley/Seattle) - Innovation Epicenter

  • East Coast (Boston/New York) - Enterprise and Financial Tech

  • Mid-West (Chicago/Austin) - Practical Innovation and Enterprise Tech

  • The South (Texas) - Entrepreneurial Spirit with Tech Ambition

  • Mountain West (Denver/Boulder) - Lifestyle-Integrated Innovation Hub

Actionable Steps

Before committing to a city, understand the complex dynamics of the regional tech scenes and then spend time there. Visit, meet customers, talk to local founders and test demand before making a final decision.

2. Founders Must Be on the Ground

Summary

Many ANZ founders try to manage US operations remotely, only to realize firsthand that their physical presence is essential. The US market moves too fast and decisions need to be made in real-time.

Lessons Learned

• ANZ founders who spend at least 12 months in the US see far better results than those who attempt remote management.

• Building relationships with customers, investors and partners requires physical presence.

• Remote management from ANZ headquarters rarely succeeds in the critical early stages of US market entry.

Actionable Step

Full relocation often isn’t an option, especially at the beginning, so set up a schedule of return trips where you can frequently spend time in the US. This ensures you can build momentum, foster relationships, build your network, conduct ongoing competitor reconnaissance, participate in industry events and keep ANZ operations going too.

3. Localize Everything. Not Just Your Product.

Summary

Your product may need adaptation for the US market, but equally important is localizing your entire go-to-market strategy. Too many ANZ companies assume that translating their website spelling from “s’s to z’s” is enough, it’s not.

Lessons Learned

• Pricing structures must be adjusted - US customers expect tiered pricing or value-based models.

• Sales cycles move faster but are far more competitive.

• Sales and marketing needs to be more direct and results-focused - fluff doesn’t sell in the US.

• Customer success expectations are higher - Americans demand more hand-holding.

• Hiring and compensation structures are drastically different from ANZ norms.

Actionable Step

Rebuild your entire operating model for the US - don’t just translate it. Hire or outsource to trusted US-based sales teams, marketers and advisors, adapt sales playbooks and study your competitors to understand what works.

4. Capital Requirements Will Exceed Your Projections

Summary

The capital intensity of US expansion consistently surprises ANZ companies. Everything costs more; talent, office space, marketing, sales, legal compliance and insurance. Additionally, the competitive landscape often requires more aggressive spending to gain visibility.

Lessons Learned

• Salaries are significantly higher - a strong US sales exec demands $150K–$200K+ USD base salary.

• Office space, legal and compliance costs add up fast.

• Marketing and sales require aggressive spending - expect 6-12 months of burn before meaningful revenue.

Actionable Step

• Smart resource optimization is crucial for success. This means making strategic choices about where and how to deploy capital, understanding which investments are essential versus optional and having realistic timelines for market penetration.

• Raise more than you think you need. Secure 30-50% more capital than your original US expansion budget.

• Raise before you expand, not after. Investors want to see a solid foundation before writing checks.

5. The US Legal & Tax System Is a Minefield. Get Expert Help Early

Summary

Setting up a US entity is not as simple as registering an ABN in Australia or a NZBN in New Zealand. The US legal and tax system is complex and getting it wrong can lead to major financial and compliance issues.

Lessons Learned

• Incorporate in Delaware. It’s the standard for venture-backed startups and simplifies future investment rounds.

• State and federal taxes are complex. Double taxation, payroll compliance and sales tax issues can be costly.

• Customer contracts are different. US agreements are longer and require stronger liability protection.

Actionable Step

Work with an ANZ-friendly US law firm and accountant from day one. Do not DIY legal and tax compliance.

6. Network Effects Are Everything. Start Building Early

Summary

The US business ecosystem runs on networking. Unlike ANZ, where companies can often succeed based on product quality alone, the US market values relationships, referrals and credibility.

Lessons Learned

• Investors, customers and partners are more likely to work with companies that come through warm introductions.

• Cold outreach alone won’t work. Founders must actively build relationships months (or years) before expansion.

• Every ANZ startup wants an intro from expat Kiwis and Aussies in the US; but their networks get overwhelmed. You need to bring value, not just ask for favors.

Actionable Step

• Start networking a minimum of 12 months before expanding.

• Join US industry events and startup programs early.

• Find advisors with real connections, not just ANZ expats.

Expanding to the US is challenging but rewarding. Those who prepare strategically, adapt quickly and leverage the right people will have the best chance of success.

About Pacific Stride

Pacific Stride is a practical bridge to the US market. Filling the gap between government programs and full 'boots on the ground' we provide the strategic guidance, local expertise, and proven frameworks you need to successfully enter and thrive in the North American market. Pacific Stride's team of tech business leaders, with 30+ years experience across all three geographies, help Australian and New Zealand tech companies:

• Get on-ground validation - assess regional fit, readiness, and risks before investing heavily in the US marketValidate or co-create go to market plans with a team on the ground.

• Understand the market landscape and how best to distribute your product or service.

• Power your USA expansion with full access to our sales and marketing support.