What benefits does an offshore merchant account have for an online company?
Merchant account is a special corporate account, the possibilities of which allow accepting an unlimited number of payments from plastic cards for a short period of time. Without such accounts it would be impossible to trade on the Internet and work with large foreign sites. Registration of merchant account 2020 with the right approach will not take much time, but will require from the applicant some efforts and financial expenses.
Advantages of a merchant account
The events of 2020 have further plunged the world's population into the online sphere. Not only communication, shopping, but also work have migrated to the Internet. The economic crisis that began showed that the most viable were those business projects that developed not only in the real world, but also in the network.
Their success is explained by the fact that it is convenient and profitable for people to make purchases with a smartphone or a plastic card while at home. This would not have been possible if manufacturers had no direct merchant accounts with a whole list of advantages:
- increase in sales by providing potential customers with advantageous and diverse payment terms;
- opportunity to work with clients from all over the world 24/7;
- ensuring security and authenticity of the transaction for both of its participants.
Merchant account services are provided by both large banks and specialized providers. The requirements of classical banks are tougher, but also the quality of work is higher. Choosing a platform for your future account, the company should weigh all the pros and cons, analyze the market of potential buyers and the range of additional services required.
The standard package includes reception and processing of electronic payments, their encryption, installation of terminals in points of off-line presence, and providing clients with simple and clear software even for beginners.
Why large foreign companies open merchant accounts in offshore zones?
Opening a special trading account with a large European bank is quite expensive. Most providers impose restrictions on the minimum number of daily transactions or the amount of account balances, require customers to register in a jurisdiction with a transparent financial reputation and a corporate account with a bank that has worldwide recognition.
Websites of companies through which sales are made should have English versions, and their content - to meet international standards. Most of these problems can be avoided by opening an offshore merchant account. The advantages are obvious:
- minimization of tax burden;
- possibility to create several accounts in different currencies;
- working with most registered payment systems;
- no limits on the number and amounts of transactions;
- higher level of confidentiality;
- possibility of remote account management;
- no restrictions on the types and level of business risk.
For a global online company a merchant account in an offshore zone can become a real salvation. The increased level of confidentiality combined with the absence of capital gains tax make it attractive for large foreign investors.
You can buy a merchant account for an online company with IT-OFFSHORE support in a short period of time. The main thing is to discuss the goals and peculiarities of the business with lawyers in advance and approve the work plan.