International Money Transmission Services Licenses

Money Transmission Services Licenses

If you are thinking of making money in an offshore business you might think of getting a license for money transmission services. For an example of just how much money is transferred a look at WU’s financials for the first quarter of 2010 is instructive. They reported revenues of $1.2 Billion for the first three months of 2010 and a profit of over 25% on revenues. PayPal reported over $650 million in revenue in 2009. In addition there are SWIFT transfers, bank to bank, world wide.

Companies such as WU, Moneygram, and many others offer wire transfer services most typically to individuals who do not have other means of transferring or sending money across a country or internationally.

It is entirely possible so set up such an operation as an offshore business. There are a number of offshore locations where this is possible. What is necessary is to assess how to most efficiently and profitably address a need to transfer money. What is necessary is to choose a location and purchase a license.

Who Needs the Service and How Can One Profit Offshore?

We use WU and PayPal as examples as people typically use these companies to transfer hundreds instead of tens of thousands of dollars. This is a very large market as seen by the financials of both companies. Mexican workers in the USA send money home as Nicaraguans working in Costa Rica and Colombians working in Panama. Although many expat workers present cash to send home it is entirely possible to pay by credit card in order to send money from country to country.

Is This a Feasible Idea?

There is a market throughout the world and with a competitive business plan it is possible to tap into the need to transfer money. There are new companies setting up every day. Setting up in the right tax advantaged jurisdiction with minimum paperwork and capital investment requirements could give the individual or corporation a head start on competitors. The first step is to consult with competent counsel and obtain a license to transmit money.

Obtaining a Government License for Money Transmission Services

Your first decision will be to choose a jurisdiction from which to operate. With good advice you will be able to pick a spot where paperwork is minimal and the potential for profits high. Setup costs typically run around $27,000 including the government application fees.

Required information for an individual or corporate application will include personal information, business history, and the like from all directors, shareholders, and officers of the company.

With the choice of a competent advisor in setting up offshore money transmission services the owners can effectively deal with paperwork issues even to the point of using qualified nominee services to maintain individual privacy in setting up the business. Other useful aspects of such an operation are that back office work can be cost effectively outsourced and professional software obtained. Competent counsel can help with setting up and maintaining a web presence to drive business to your money transmission services offshore business.

Hire The Best International Shipping Company For Efficient And Trusty Shipping Services

If you’re starting a business abroad, you’ll want to think of ways to get ahead of the competition. Such businesses typically sell products in other countries, and you’ll have to rely on the safe and timely shipment of your merchandise. In the process of shipping your products, you also have to consider saving on your resources. Transport of your products has to be cost-effective. By all means, do away with shipment woes, and to be able to do so, you may opt to hire the services of a trusty international shipping agency. Air and sea freight packages are among the top services of these agencies and they cater to different kinds of clients. These services are offered at different price points. Diverse cargo shipments are transported by international shipping agencies, including cars, machineries, toys and medicine.

You normally have to choose from a wide range of shipment options when you transact with such companies. Consider that the company you do business with offer quality cargo containers for overseas shipments. Inquire about the means that they apply to ensure that your cargo arrives in one piece at the destination country, especially if your shipment contains glassware and steel parts. A reliable company will guarantee that their services take good care of your goods and items.

Ask about the agency’s comprehensive shipment packages from the cargo collection to the shipment and all the way to the delivery. Make sure that the shipping is timely. These companies usually have a trained staff that efficiently packages your goods (in the proper manner). Suitable containers are used to pack the goods so that they become free from damage while in transit. The staff strictly adheres to industry norms when packing the items.

There may be times when you’ll have to send a shipment to its destination at a specific time span. Again, you’ll have to choose a reliable company for this endeavor. If you choose an efficient company, you can be worry-free when it comes to the shipment and delivery of your goods. Your cargo will arrive at the designated schedule, and safe and intact at that. These kinds of companies likewise utilize means to keep track of your cargo about its status and location so you are well-informed.

If you’re sending an expensive shipment abroad, you may have qualms about the safety of the items. You can get rid of these worries if you hire the services of an efficient company. Sit back and relax because the company has an insurance coverage for the fragile items that you shipped. Basically, you can choose from several options of insurance coverage depending on your needs and budget. Should natural calamities take place or if there is prospect of delay or loss, the company will cover for you and salvage the situation.

Then there’s customs clearing for export and import of products. No need to go through the hassles of this because the company will handle it for you. These companies are proficient in the area of customs documentation and clearance.

While transacting with the agency, make sure that all your queries about the cargo shipment are resolved. In the same way, discuss with the staff issues about costs and packaging, among your other concerns.

Now Is the Time To Break Into the US Market and Sell Your Products and Services

Some have said that the Trump Administration has made the US is an unfriendly place to do business for foreign companies. The political opposition says that the threat of tariffs and trade wars causes uncertainty in global markets and is not good for the US economy. Those who call themselves ‘traditional free traders’ have sided with Trump’s political opposition, at least temporarily. Personally, I see just the opposite.

First, I see more foreign money coming into the US market to seize the opportunities of low corporate tax rates, and as a way to avoid potential tariffs. Further, I see temporary tariffs as a shot over the bow that the US will not be played with unbalanced trade agreements or lack of fair trade agreements. These temporary trade tariffs will bring billions into the US government’s coffers while trade negotiations happen, and our foreign counterparts will rush back to the table to renegotiate with more favorable terms. No international company wants to skip the US Market, it’s too big, and there is far too much money here.

Why Should Companies Move Operations to the US and Establish Themselves Here?

The United States of America is the largest consumer market on the planet. In 2016 and then again in 2017 the US consumer market alone was nearly 13 Trillion Dollars, and that doesn’t account for another Trillion or two in unreported sales – cash transactions in the underground economy, which includes everything from a kid’s lemon aid stand or house maid to a handyman remodeling a kitchen. And, realize at 13-15 Trillion, this is only the “consumer economy” and has nothing to do with what businesses spend or the US government spends annually.

The Federal Government, not including state governments or local governments, has a budget of $4 Trillion. State Governments total an estimated $2 Trillion and all the local governments combined also near $2 Trillion. The total government spending for fiscal year 2018 is estimated to be around $7.5 Trillion. Guess how much US businesses spent in 2017? It’s so huge no one can figure it out, it’s so mind-boggling that it makes the rest of the world’s economies look like child’s play. Did you know that 2018 business spending is already on course for a 7% increase, even with a so-called trade war scare?

The United States is not only the largest consumer economy by far, but it is the largest for government and business spending as well, and second place isn’t even close. If you are not in the US Market selling your goods and services you are missing out. Are you ready to go for it? If so, there are plenty of US based international business consultants here who are ready and willing to help get you set up. Here are some of the things you’ll need to enter the greatest market in human history;

  • Business Plan
  • Marketing Plan
  • Set Up Books – Accounting
  • Business Name Registration
  • Business License Acquisition
  • Business/Commercial Insurance
  • Website with email addresses
  • Tax Strategy and Tax Planning
  • Set Up Books – Bookkeeping/Accounting
  • Business Location and Rental/Lease Negotiation
  • Business Corporation Formation
  • Setting Up Bank Accounts (Business Checking)
  • Start-up Business Coaching
  • Start-up Marketing Consulting

If you own a business that sells internationally, you’ll now need a US base of operations, and you’d be wise, very wise to do it sooner than later to take advantage of this booming economy.