Where to open an offshore to have a PayPal to Send / Receive - Virtual Goods Payments ?

[Solution0101]

Hi, i am currently deciding where to open my new society,
the service that we are going to provide is the possibility to buy and sell products, after that a vendor sells a product, lets say its 100€ those money will sit on my wallet until the warranty he provides
doesnt expire ( minimun 7 days ) after it expires the vendor will request the money and i will send to him and keep a % from his sale.
The platform is going to be used mainly from US and EU people.

From my own research i came to the point that and LLC in PAMANA or Delaware are the best solution because they are situated in the US and PayPal is most likely to work
with those but i would like some other opinions.

 

[erni]

It's going to be difficult, you will need a type of card and phone number from the country of your choice. That would require lot's of research for you to figure it out. Once you found these two you can just pick a country.

 

[CyprusLawyer101]

You should most probably go for an EU company. A few reasons to consider such as the service you intent to provide will have vat applicable when selling in the EU on a B2C basis. Such VAT would be payable in each EU country which will in turn require registration there. Going for an EU company permits you to work through integrated EU systems which would allow for operating with a single VAT ID and not registering everywhere. Also you will be able to submit returns and pay from a single point. You should aim for a service provider which can give you a one stop shop service and support. Other reasons are banking - operating a company like the ones you are mentioning have a much lower chance of getting proper banking for daily transactions as by themselves indicate to shortage of substance. Most probably you will be sending lots of payments within the EU - so SEPA can apply for Eu transactions with lower fees etc. I am sure there are other good reasons to set up in the jurisdictions you have mentioned such as taxation and others - I am just giving out some food for thought.

 

[Solution0101]

You should most probably go for an EU company. A few reasons to consider such as the service you intent to provide will have vat applicable when selling in the EU on a B2C basis. Such VAT would be payable in each EU country which will in turn require registration there. Going for an EU company permits you to work through integrated EU systems which would allow for operating with a single VAT ID and not registering everywhere. Also you will be able to submit returns and pay from a single point. You should aim for a service provider which can give you a one stop shop service and support. Other reasons are banking - operating a company like the ones you are mentioning have a much lower chance of getting proper banking for daily transactions as by themselves indicate to shortage of substance. Most probably you will be sending lots of payments within the EU - so SEPA can apply for Eu transactions with lower fees etc. I am sure there are other good reasons to set up in the jurisdictions you have mentioned such as taxation and others - I am just giving out some food for thought.

Most of the clients are going to be from US, in terms of % lets say 60% US, 30% EU and a 10% from other countrys

 

[JohnnyDoe]

Most of the clients are going to be from US, in terms of % lets say 60% US, 30% EU and a 10% from other countrys

Just open a US subsidiary of the EU company if required

 

[Solution0101]

Just open a US subsidiary of the EU company if required

From which state?

 

[JohnnyDoe]

From which state?

Any you like, including WY and DE

 

[OnAndOffshore]

Any you like, including WY and DE

Used to open accounts in DE for my clients and switched all of them to WY. These guys really have their acts together and the fees are the lowest I have ever seen! Great state!

 

[avalanche]

You should most probably go for an EU company. A few reasons to consider such as the service you intent to provide will have vat applicable when selling in the EU on a B2C basis. Such VAT would be payable in each EU country which will in turn require registration there. Going for an EU company permits you to work through integrated EU systems which would allow for operating with a single VAT ID and not registering everywhere. Also you will be able to submit returns and pay from a single point. You should aim for a service provider which can give you a one stop shop service and support. Other reasons are banking - operating a company like the ones you are mentioning have a much lower chance of getting proper banking for daily transactions as by themselves indicate to shortage of substance. Most probably you will be sending lots of payments within the EU - so SEPA can apply for Eu transactions with lower fees etc. I am sure there are other good reasons to set up in the jurisdictions you have mentioned such as taxation and others - I am just giving out some food for thought.

Registering company in EU is also a problem for the very same reason — VAT. Unless you're offering digital services without human intervention, your company is bound to pay value added tax per every transaction, even if your clients are outside of the EU. That's a robbery in daylight I'd say.

So far Singapore seems to have much better conditions in that aspect because they don't require companies to charge GST on exported services.