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Stripe Atlas

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Re: Stripe Atlas

#311

Post by phillmv »

flashm wrote: post #291
michaelschade wrote: post #289

Earlier quoted context omitted.

Great question! I've learned a lot about this as I've gotten to hear from entrepreneurs that tried to setup in their own country, but ultimately came to the US. The video on our site gives some glimpse into the problems these entrepreneurs run into: https://stripe.com/atlas#stories The gist is that certain countries have a better business and banking infrastructure than others for entrepreneurs looking to establish a…

This only really works for people that aren't already setup as a company though. You can't just open a new company in another country and expect to start moving your revenue to it, it just doesn't work like that. For instance, I'm registered in the UK and would have a tough time telling HMRC 'oh that's my US company, nothing to do with you'. It's a completely different problem if you already run a business and want t…

>You can't just open a new company in another country and expect to start moving your revenue to it, it just doesn't work like that.

It kind of does work like that? Granted, it depends on how you structure it.

I confess I'm not privy to how taxes work in the UK, and that further I'm not an accountant but: I too am responsible for a US and non US corp. You may have to declare your US corp as an asset in the UK, for all I know.

That said, if you have a US legal entity that is booking revenue then HMRC doesn't have any jurisdiction. That USCorp pays US corporate taxes just like any other.

If you move any of the US income to your UKCorp or your UK resident person then the Crown will happily takes its cut.

Re: Stripe Atlas

#312

Post by rsync »

ripberge wrote: post #201
tvladeck wrote: post #121

This is cool, but they should not offer a C corp as the default choice. An LLC should be the default for the vast majority of entrepreneurs. The only reason VC-funded companies are C corps is becaused VC LPs don't want to be hit with taxable income (which would flow through the VC to them). An LLC is much better for a variety of reasons: - Flow through taxation = you only get taxed once. With a C corp you pay corpora…

Not so fast. These are getting formed in Delaware, but I believe if you operate in another state you have to register and may be subject to their taxes. In California there is a "gross receipts tax" based on revenue for an LLC. Do over a million dollars? Pay $6,000 in LLC Fees. Fine for a software co or a law firm not a huge deal. Ecommerce can be a crazy low margin business though and many Stripe customers could get…

"These are getting formed in Delaware, but I believe if you operate in another state you have to register and may be subject to their taxes."

I think the Delaware corp is a fine idea and a good choice here, but combining that with a Silicon Valley Bank bank account gives me pause ...

California really goes after state tax revenue, and I worry that a corporate entity that has no presence in California, and is not a CA corp has created an opening with a SVB bank account to allow CA FTB right in ... and they are aggressive.

I would feel more comfortable if the bank account was also in Delaware...

Re: Stripe Atlas

#313

Post by ridgeguy »

kels wrote: post #154
cynical_sheet wrote: post #144

Earlier quoted context omitted.

You are right and it's also much cheaper to form and maintain an LLC. I think that forming an LLC in Colorado is the cheapest option ~ $250 total costs. That is great if you're just bootstraping and don't know if the business is going to be successful. BTW, if you're not a US citizen + the business is providing services + you're the only owner (single member LLC), then there are NO TAX-paying requirements. Also, the…

I'm in Colorado and it costs only $50 to file for an LLC online. Where is it costing you $250?

I'm envious. Here in CA, while it only costs $20 to form an LLC, there is an $800 annual tax thereafter.

Delaware has a $300 annual tax on LLCs.

Re: Stripe Atlas

#314

Post by WordSkill »

Keats wrote: post #166
pentae wrote: post #113

Earlier quoted context omitted.

Hate to tell you this but you chose the worst time of year to come. Google “Burning Season Chiang Mai” - I’d recommend sticking to the south of Thailand, particularly the islands, and then come up around April 10 for Songkran. Punspace is the big coworking space, I’d recommend booking a place in Nimman and trying the various cafes there. Kaweh is a good spot if its not too busy.

Damn, thanks for the advice

Yup, ignore anyone who understates the problem (some prominent voices in the nomad forums are either in denial or have a vested interest), it is absolutely lethal during March and April. I love Chiang Mai but will be leaving on Friday night, probably returning mid-May.

Re: Stripe Atlas

#315

Post by tn13 »

pbreit wrote: post #276
grellas wrote: post #259

If Atlas is implemented as promised (probably a safe assumption given the Stripe team), it will afford founders throughout the world a pain-free entry point into the world's most advanced economy, opening the way for key financing, for seamless payments processing, for ease of banking transactions to get people paid and to move funds easily, and for access to advice and guidance from people in the know to address a w…

I'm still a little confused on whether or not this is better than incorporating in your own country. Is this more geared to accelerator startups who are thinking of moving to the US? Certainly US incorporation is not required (or even all that helpful?) in establishing a US presence?

I run an independent business in India and all my clients are in USA. I would rather setup a US based company where the regulatory certainty is much better in India. Keep and invest money within US to the extent taxation is not a problem.

I am pretty sure there are many more people like me.

Re: Stripe Atlas

#316

Post by chrisdew »

phillmv wrote: post #311
flashm wrote: post #291

Earlier quoted context omitted.

This only really works for people that aren't already setup as a company though. You can't just open a new company in another country and expect to start moving your revenue to it, it just doesn't work like that. For instance, I'm registered in the UK and would have a tough time telling HMRC 'oh that's my US company, nothing to do with you'. It's a completely different problem if you already run a business and want t…

>You can't just open a new company in another country and expect to start moving your revenue to it, it just doesn't work like that. It kind of does work like that? Granted, it depends on how you structure it. I confess I'm not privy to how taxes work in the UK, and that further I'm not an accountant but: I too am responsible for a US and non US corp. You may have to declare your US corp as an asset in the UK, for al…

If you are resident in the UK and control a US company, HMRC need to be told about it. https://www.gov.uk/guidance/controlled-foreign-company-an-ov...

The US company will pay 20% UK Corporation Tax on (worldwide) profits and need to fill out CT600 each year.

You will probably be able to pay lower taxes in the US as a result of double taxation treaties, but it's going to be a very tedious task to organise.

Re: Stripe Atlas

#317

Post by bing_dai »

jimbunnay wrote: post #162

I'm a UK citizen, if I do this, would I then be able to qualify for a visa to live and do business in the US?

I am not from Stripe, but my guess is "absolutely no":)

On the other hand, I do wonder if one day a startup will be able to offer one-click business, residential, or tourist Visas. "Visa-as-a-Service".

Re: Stripe Atlas

#319

Post by [deleted] »

grellas wrote: post #259

If Atlas is implemented as promised (probably a safe assumption given the Stripe team), it will afford founders throughout the world a pain-free entry point into the world's most advanced economy, opening the way for key financing, for seamless payments processing, for ease of banking transactions to get people paid and to move funds easily, and for access to advice and guidance from people in the know to address a w…

[deleted]

Re: Stripe Atlas

#320

Post by phillmv »

chrisdew wrote: post #316
phillmv wrote: post #311

Earlier quoted context omitted.

>You can't just open a new company in another country and expect to start moving your revenue to it, it just doesn't work like that. It kind of does work like that? Granted, it depends on how you structure it. I confess I'm not privy to how taxes work in the UK, and that further I'm not an accountant but: I too am responsible for a US and non US corp. You may have to declare your US corp as an asset in the UK, for al…

If you are resident in the UK and control a US company, HMRC need to be told about it. https://www.gov.uk/guidance/controlled-foreign-company-an-ov... The US company will pay 20% UK Corporation Tax on (worldwide) profits and need to fill out CT600 each year. You will probably be able to pay lower taxes in the US as a result of double taxation treaties, but it's going to be a very tedious task to organise.

Aha, that's fair. Judging by the site it seems you'll have to take care to demonstrate that you're not shifting UK derived profits; but either way you'll want to chat up an accountant.

In my jurisdiction, to my knowledge and experience, they're considerably more lax.

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