Purpose: The purpose of the study is to explore the challenges that are faced by born global SMEs and how they overcome these challenges. Method: For literature review and secondary research, data and information has been gathered from disciplines of international entrepreneurship. Primary research has been done on four born global firms; two from Sweden and two from Pakistan. Qualitative research and analysis has been used in the study. Originality: This study contributes to literature by covering some missing portions in born global discipline. In this research, effort is made to compile various challenges that are faced by born global firms, through literature review. The report further has focused on overcoming these challenges by gathering information through primary research. Conclusion: The research has concluded that there are certain challenges that are faced by born global firms in their international business development. These challenges are internal as well as external. Despite these challenges and problems, born global firms are able to achieve their position in international market by overcoming these challenges through building networks and competency alliances with partners situated internationally.