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Top 5 Reasons An Offshore Merchant "' .......... '-/...-.",,'" May Be For You I WebProNews Page 1 of 4

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1. Protecting Your Income

When talking about "going offshore", asset protection and legal taxreduction are the first things that usually come to mind, Acquiring amerchant account in an a low or no tax jurisdiction outside of your ownborders can help you accomplish both of these things legally and securelyif arranged properly.

Plenty of countries outside of the U.S.A. have an equivalent level oftechnology and banking infrastructure. Furthermore though, there are anumber of these countries that are also much more tax friendly andprivacy friendly than current laws allow for American banks to be.

Selling your products, services or subscriptions via an internationalmerchant account and receiving the payments through an offshorecorporation into an offshore bank accountcan legally cut down on your taxburden and put more money in your pockets.

2. New Businesses

Incorporating an offshore merchant account into your onlinebusiness is a process anyone who makes income onlineshould consider. Currently little is known about this nichefinancial tool within the USA. The fact is though, not only canoffshore merchant accounts be found that are completely up

to par with their domestic counterparts, but they can also offer a numberof benefits that can make their use even more appealing.

Next, we'll explore a few of the advantages of offshore merchant accountsin the hopes that the information may prove profitable to our fellowinternet marketers.

Top 5 Reasons Why An Offshore Merchant AccountMay Be Right For You

For the new online business, procuring a domestic merchant account canoften be difficult. Your chances of being accepted for a domestic merchantaccount are at the mercy of many factors, including your credit history, thetype of business you are running, your business plan, funding and more.Furthermore, a domestic merchant account provider can require a largeup-front security deposit if you are a new business.

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Let's face it,despite the ideal of pure capitalism that America claims to beall about, the truth is another matter. Just try getting a domestic merchantaccount if you are operating an adult website! Banks will claim that highlevels of chargebacks and fraud are the real reason they won't grantmerchant accounts as easily for these types of businesses. Consideringtheir profit potential and the fact the higher risk accounts can be balancedoff with lower risk accounts, that defense doesn't quite hold up.

Fortunately, for those who have seen where the big money lies in onlinebusiness - online gambling and online pharmacies for example, there areplenty of countries that aren't run by a "moral majority" that will be morethan happy to consider almost any type of business for a merchantaccount.

Send me relevant info4. "Sin" Businesses

On the other hand, many offshore merchant account providers areconsiderably more entrepreneur friendly and are much more likely toaccept a new business for merchant account. On top of this, there arelegitimate offshore providers who will set up your account withoutrequiring a large deposit. Although the discount rate will invariably behigher, this can still be a better option for the new business where cashflow is important from the start.

3. Expanding Your Business Globally

Whether you are a new or established online business, expanding yourcustomer base globally is an excellent way to increase your bottom line.Utilizing an offshore merchant account can help you achieve this in acouple of ways.

For one, there are plenty of international providers who will allow you toaccept not only Visa and Mastercard, but also credit cards commonly usedoutside the U.S. such as JCB, Switch, Maestro and many of the debit cardscommon in Europe.

Furthermore, since your offshore merchant account can be integrated withan offshore banking account, you can accept funds in multiple currencies.Your customers can be presented with prices in their local currency andpay in their local currency, making it more convenient for them andtherefore, more profitable for you.

5. Other Considerations

As you can see, there are many reasons to look into setting up an offshoremerchant account. You can find an offshore merchant account to suitalmost any situation, be it integrating it into your online shopping cart,accepting payments for recurring subscriptions or making sales ofdownloadable products. Many offer easy online access and administrationtoo.

Keep in mind though, discount rates tend to be higher for offshoremerchant accounts - upwards of 6% as opposed to 2-3% domestically.Also, depending on the type of business and other factors, the hold backamount may be higher. Both of these factors are small prices to payconsidering the benefits though.

When comparing offshore merchant account providers, be sure to takethese points into consideration. Ask plenty of questions and make certainto get recommendations from current customers. Do your due dilligenceand always consult your lawyer or financial advisor before taking anyaction.

Contrary to what you might have come to believe (much to the benefit of

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domestic banks), there are plenty of legitimate providers of offshoremerchant accounts. Coupled with the multitude of profitable and protectivebenefits that many offer, all internet marketers and online business peoplewould be well advised to explore this financial tool further.

James B. Allen is a niche market consultant who provides keywordresearch for a small, exclusive client list of internet marketers, websitedesigners and SEQ professionals. Visit him at

News Tags: business

About the atrtnor:James B. Allen is a niche market consultant who provides keywordresearch for a small, exclusive client list of internet marketers, websitedesigners and SEO professionals. Visit him athttp://www.NichesExposed.com

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Key An Offshore 1\./lp1"'0h<:ln~ Account Page 1 4

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for merchant account or is asking for a secu or cashbond. with the in both regu environments wei!as with offshore merchant account it does not have tobe looked at as a but rather a convenient and beneficial choice.

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as the e-tailer will not have to too much time setting up and willbe familiar with the laws of the land in which it Going offshore means

up a business in another both time and money,more so than in the case of a domestic with the tremendous

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Offshore merchant accounts can offer substantial benefits for an e-tailer

1, Taxation benefits: set up offshore in tax havens cansubstantia reduce tax liabilities. countries have tax treaties in withother less nations that enable business to reduce not total taxliab: but also taxes on individual which can add a if/cantchunk to the retailer's line,

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4, Excellent : For many offshore destinations such as themerchant account and card are of the entireeconomy, and are hence dedicatedeconomic' zones with infrastructure for thisthe retailer can benefit from state of the art and whichindeed is being used even manv located banks to outsourcetheir credit card !·"'¥"r"rtr'<c'("'!!'.....r»

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5, live: With an merchant accou theservices to remain online and function for any time zone,

access to a market. In addition, the me available customerservices can be critical to a successful sale when an order cernes in that needsto be verified in real time.

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Jennifer is the President and CEO of Stradafee Limited.Stradafee is an electronic cornpany as well as aneC0l11rnerCe and Internet merchant account Merchantaccounts make it for businesses to online credit cardt"'\V"r'ortr'<.·00Intr"l For more inforrnatton on credit card visit

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• fVl LA Style Citation:Loganathan, Jennifer L. "Key Advantages Of An Offshore Merchant Account."Key Advanta~_Of AD Offs_bQre Merchant Account. 7 Feb. 2008.EzineArticles.com. 28 Oct 2008

• APA Style Citation:Loganathan, J. L. (2008, February 7). Key Advantages Of An Offshore MerchantAccount. Retrieved October 2008, from ill..,l..,~'JL~.'r,...I...i.I~"Ag Iwg"--,l~~'.\~:'-c/l.l

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TAB 7


Offshore Credit Card Processing - Offshore Merchant Accounts - 4Merchant.com Page 1 of2

uOffshore merchant accounts are the must for every e-business today that wants to be competitive andsuccessful. Accepting credit cards over the internet or by other means (phone or fax) significantlyincreases your turnover. To stay competitive you need to offer your customers a wider choice ofpayment options or they will go elsewhere.

Offshore merchant account is the key to your prosperity in e-comrnerce world, combined withoffshore company it allows you to trade tax free.

• Offshore merchant accounts generate more profit than normal merchant accounts as they aretax-free

• You become more competitive through offshore merchant accounts because you can offerlower prices due to tax savings than your competitors

• Your generated profits stay offshore and earn money tax free

And of course offshore credit card processing through merchant account will enable you to trade 24hours a day 365 days a year.

Your customers would be able to see your company's name on their statement if you choose to do so.You would be able to accept cards by using your own merchant VU (company vendor number). Ithelps to minimise the chargebacks. Please refer to our I~' section for more details about it.

All Accounts are multicurrency accounts. It means that you can display andcharge clients in different currencies and be settled in the currencies of your choice.

In order to derive the full benefits of e-commerce you need to trade through an offshore companyand a bank account in its name. Good structure and reliable offshore merchant services are "whatyouneed to achieve your objectives.

Note for annncanrs

We only accept clients whose offshore companies are incorporated in the following offshorejurisdictions: Isle of Man, Jersey, Guernsey, Sark, Alderney, Andorra, Cyprus, Malta, Madeira and

Gibraltar.

http://www.4Inerchant.com/offshore-Inerchant-accounts.html 11/12/2008


Offshore Credit Card Processing - Offshore Merchant Accounts - 4Merchant.com Page 2 of2

If you do not fall into this category, we can recommend you reliable incorporators that will provide afast and cost effective service to you.

We do not discriminate offshore companies by offering them higher discount rates. Our offer formerchant accounts is the same for onshore and offshore companies. Please choose the link below thatdescribes your activity more appropriate, check our typical rates and offers for your offshoremerchant accounts and apply online!

Offshore Merchant Accounts ©2002-2008 4MERCHANT.COM LIMITED. All Rights Reserved.

http://www.4merchant.com/offshore-Inerchant-accounts.html 11/12/2008


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