Online / International Business

[anjan42]

I am willing to setup a new business which will provide services online using internet . Because of this I would need a company name and bank account etc .

Most of the clients will be based in USA and I am searching for a cheap and appropriate place to register the business . I have seen UK registration is quite cheaper when compared to USA but not sure about taxes upon revenue .

I would need

1 ) Company Name
2 ) Bank Account along with Cheque Book

and few extra things if anyone can remind me off here as I assume few of you might be doing online businesses .

I saw companyformations247.co.uk and prices were quite attractive . Any comments ?

 

[simon567]

There are various methods to start a business. I think you have a good idea. In fact it is good suggestion for me too. thanks

 

[Hitman Negative PR Agency]

I know it may be a long shot, but you can consider operating as a private individual. Use your own bank account (able to recieve SWIFT transfers), your own PayPal, your own Moneybookers as payment channels and you will be fine.

One must: be fair with your business partners!

 

[Rumpole56]

One point to consider is that if you are non-resident in the UK, you will have serious difficulty in opening a UK bank account, even though your company would be domiciled there. I very much doubt whether you would be able to persuade any of the UK banks to open an account for you if the company directors and shareholders all reside overseas. Some of the company formation agents might just be able to swing it for you (though I have serious doubts), but they are going to charge a fairly hefty fee for the privilege - thus negating your reasons for incorporating in the UK in the first place; i.e. cheap registration.

A UK company is required by law to have its own bank account; you are not allowed to use a personal account for this purpose. I am not sure if the account can be held 'offshore' or overseas, or whether it must be with a bank on the UK mainland. Also be aware that a UK Ltd company must pay corporation tax at 20% on its worldwide profits, and there is no threshold allowance - tax must be paid on every pound of profit earned.

An alternative business structure, and perhaps more interesting for non-UK residents is a Limited Liability Partnership (LLP). The LLP is a juristic person in its own right, has the same limited liability as a registered company but is 'transparent' for tax purposes. It requires a minimum of 2 members (i.e. equity holders - your wife could hold 1%) but does not pay corporation tax, and if all members are non-uk resident and no income is generated in or through the UK, there is no liability for personal income tax either. Even if the LLP does derive income in the UK, each partner could potentially claim the single person's tax allowance (currently GBP 8105 per year), before any income tax is payable.

 

[Simon-M]

Is it just me or do most posters in this thread have a number as part of their name and with hardly any posts. Is this some kind of lure ....

 

[brendan70]

One point to consider is that if you are non-resident in the UK, you will have serious difficulty in opening a UK bank account, even though your company would be domiciled there. I very much doubt whether you would be able to persuade any of the UK banks to open an account for you if the company directors and shareholders all reside overseas. Some of the company formation agents might just be able to swing it for you (though I have serious doubts), but they are going to charge a fairly hefty fee for the privilege - thus negating your reasons for incorporating in the UK in the first place; i.e. cheap registration.

A UK company is required by law to have its own bank account; you are not allowed to use a personal account for this purpose. I am not sure if the account can be held 'offshore' or overseas, or whether it must be with a bank on the UK mainland. Also be aware that a UK Ltd company must pay corporation tax at 20% on its worldwide profits, and there is no threshold allowance - tax must be paid on every pound of profit earned.

An alternative business structure, and perhaps more interesting for non-UK residents is a Limited Liability Partnership (LLP). The LLP is a juristic person in its own right, has the same limited liability as a registered company but is 'transparent' for tax purposes. It requires a minimum of 2 members (i.e. equity holders - your wife could hold 1%) but does not pay corporation tax, and if all members are non-uk resident and no income is generated in or through the UK, there is no liability for personal income tax either. Even if the LLP does derive income in the UK, each partner could potentially claim the single person's tax allowance (currently GBP 8105 per year), before any income tax is payable.

Yeah i agree with every word, well posted.

 

[JhonnyMew]

Its good to know that you are starting online services business.. Do make a survey first which business you need to step in.

Regards

 

[profitmagnet]

Online business can be quite tricky if you use paypal as your payment processing system. Read more information about it before you even think of installing it on your website. All the best for your business.


Cheers!!!

 

[Hitman Negative PR Agency]

Online business can be quite tricky if you use paypal as your payment processing system. Read more information about it before you even think of installing it on your website. All the best for your business.


Cheers!!!

This is a discussion forum, so do advise instead of stating this generic 'read more'. I use PayPal... could you give me a clue? This 'more' can be as big as the whole Internet, you know.

 

[JhonnyMew]

In an online international business you need to develop a company register it and contact customers with real identity so that they could call you any time they want..

 

[profitmagnet]

This is a discussion forum, so do advise instead of stating this generic 'read more'. I use PayPal... could you give me a clue? This 'more' can be as big as the whole Internet, you know.

I wrote read more as the OP has not specified his country of origin and residence in his post and this makes a big difference in answering the question. Paypal can freeze your funds if they think your online business is not working according to their policies example too many charge backs or use of fraud paypal while purchasing.

 

[JhonnyMew]

I wrote read more as the OP has not specified his country of origin and residence in his post and this makes a big difference in answering the question. Paypal can freeze your funds if they think your online business is not working according to their policies example too many charge backs or use of fraud paypal while purchasing.

I think Paypal just closes the accounts when there is no money in the account even for their maintenance charges..

 

[Pavitra Dillinaidu]

One point to consider is that if you are non-resident in the UK, you will have serious difficulty in opening a UK bank account, even though your company would be domiciled there. I very much doubt whether you would be able to persuade any of the UK banks to open an account for you if the company directors and shareholders all reside overseas. Some of the company formation agents might just be able to swing it for you (though I have serious doubts), but they are going to charge a fairly hefty fee for the privilege - thus negating your reasons for incorporating in the UK in the first place; i.e. cheap registration.

A UK company is required by law to have its own bank account; you are not allowed to use a personal account for this purpose. I am not sure if the account can be held 'offshore' or overseas, or whether it must be with a bank on the UK mainland. Also be aware that a UK Ltd company must pay corporation tax at 20% on its worldwide profits, and there is no threshold allowance - tax must be paid on every pound of profit earned.

An alternative business structure, and perhaps more interesting for non-UK residents is a Limited Liability Partnership (LLP). The LLP is a juristic person in its own right, has the same limited liability as a registered company but is 'transparent' for tax purposes. It requires a minimum of 2 members (i.e. equity holders - your wife could hold 1%) but does not pay corporation tax, and if all members are non-uk resident and no income is generated in or through the UK, there is no liability for personal income tax either. Even if the LLP does derive income in the UK, each partner could potentially claim the single person's tax allowance (currently GBP 8105 per year), before any income tax is payable.

Hope this will help me a lot thanks for sharing guys....

 

[andygambles]

This has to be the bollox thread of the day!

 

[AanyaDsouza]

When entrepreneurs look seriously at doing business online they view international business as the greatest goal in the online world. The personal freedom offered by the online business world isn't foreign to anyone, anywhere.