EMI for US company with Russian founders

[Vilgelm]

Hi everyone,

My partner and I are looking to start selling on Amazon. We recently formed a C-Corp in Florida, obtained an EIN, and created a website. We opened the company through a registered agent. We are both Russian citizens, but we currently reside in Georgia.

We need a payment processor that supports ACH payments. We have applied to Mercury, Relay Finance, and Airwallex, but we have been denied.

Can anyone recommend an EMI that will open an account for a US company with Russian founders?

We appreciate for any help.

 

[JohnLocke]

I think that Bankera is the only one that might be able to make it happen. Most EMIs (if not all) will refuse to open an account when there are Russian owners involved.

Toggle signature

>> Unlock the Power of OffshoreCorpTalk: Become a Member of the Mentor Group Gold <<​

Latest Video Interviews, Offshore Company Resources, Payment Processing Tips & Tricks, Articles and Anonymity Hints only a click away!
Support the Freedom of Speech of our Community

Disclaimer: Nothing I say should be taken as tax, legal or financial advice. Anything I say is for general informational purposes only. Always seek independent professional advice.​

 

[Vilgelm]

JohnLocke said:
I think that Bankera is the only one that might be able to make it happen. Most EMIs (if not all) will refuse to open an account when there are Russian owners involved.
Click to expand...

Thank you very much! Are there any workarounds? Like can you recommend a nominee service or something?

 

[Sols]

Nominees won't make a difference in the end. The real owners (the Russians) must still be declared.

Toggle signature
This is the probably the answer to your question.

 

[CyprusLawyer101]

I can help.
What are ACH payments though?

 

[Martin Everson]

Vilgelm said:
Can anyone recommend an EMI that will open an account for a US company with Russian founders?
Click to expand...

Maybe look at Multipass in worst case. However the Russian director has resigned a few days ago so don't know their position today. My feelings below are however clear but you may have no choice.

https://www.offshorecorptalk.com/th...-the-multipass-com-bank-emi.41229/post-257954

Toggle signature
Please note my posts should not be taken as financial or tax advice. Please seek professional advice in that respect.

 

[Forester]

CyprusLawyer101 said:
What are ACH payments though?
Click to expand...

ACH stands for the Automated Clearing House; ACH payments is one of the intra-US payment systems (as well as Fedwire or CHIPS). See e.g. here What Is An ACH Payment And How Does It Work?

Vilgelm said:
Hi everyone,

My partner and I are looking to start selling on Amazon. We recently formed a C-Corp in Florida, obtained an EIN, and created a website. We opened the company through a registered agent. We are both Russian citizens, but we currently reside in Georgia.

We need a payment processor that supports ACH payments. We have applied to Mercury, Relay Finance, and Airwallex, but we have been denied.

Can anyone recommend an EMI that will open an account for a US company with Russian founders?

We appreciate for any help.
Click to expand...

Generally, I am afraid that with this setup your chances are really quite low. You can have a look at another banks/EMIs, some possibilities for US companies you can find e.g. here US neo-banks List [For Non-Residents LLCs] and here Mercury, TryNovel, or something else? but the Russian owners (although residing in Georgia) of a US company are IMO really a trouble.
If you need to sell under a US label a not e. g. under a Georgian one (I can imagine well some reasons), you probably need some intermediary ”“ you will sell to him and he will sell at Amazon...

Last edited: Dec 4, 2023
Toggle signature
--------------------------------------------------------------------------------------------------------------------------------------

I am just a simple countryman. Anything I say is only a personal opinion, not a certified advice 🙂

If you think it makes sense, you can like it; if opposite, please, tell me, why I am wrong...

 

[avalanche]

Vilgelm said:
Hi everyone,

My partner and I are looking to start selling on Amazon. We recently formed a C-Corp in Florida, obtained an EIN, and created a website. We opened the company through a registered agent. We are both Russian citizens, but we currently reside in Georgia.

We need a payment processor that supports ACH payments. We have applied to Mercury, Relay Finance, and Airwallex, but we have been denied.

Can anyone recommend an EMI that will open an account for a US company with Russian founders?

We appreciate for any help.
Click to expand...

You can make your company way more attractive to wide range of banks and EMIs if you get an EU residency

 

[Forester]

avalanche said:
You can make your company way more attractive to wide range of banks and EMIs if you get an EU residency
Click to expand...

Just 2 cents worth:
”“ not a way more but just a very little bit;
”“ regardless of it, especially for a US company the Russian citizenship of UBOs counts;
”“ do you think that there is some reasonable way for @Vilgelm to get an EU residency?

Toggle signature
--------------------------------------------------------------------------------------------------------------------------------------

I am just a simple countryman. Anything I say is only a personal opinion, not a certified advice 🙂

If you think it makes sense, you can like it; if opposite, please, tell me, why I am wrong...

 

[avalanche]

Forester said:
Just 2 cents worth:
”“ not a way more but just a very little bit;
”“ regardless of it, especially for a US company the Russian citizenship of UBOs counts;
”“ do you think that there is some reasonable way for @Vilgelm to get an EU residency?
Click to expand...

Cyprus banks were closing Russian accounts after asking them if they have residence permit in EU. If they didn't, account was terminated. A couple more EMIs were also asking for EU residency during KYC onboarding. So its a pretty big difference Id say

There are many ways to get residency in EU for Russian citizen. That's what plenty of people did already including residency in Germany and other countries.

 

[JohnLocke]

avalanche said:
Cyprus banks were closing Russian accounts after asking them if they have residence permit in EU. If they didn't, account was terminated. A couple more EMIs were also asking for EU residency during KYC onboarding. So its a pretty big difference Id say

There are many ways to get residency in EU for Russian citizen. That's what plenty of people did already including residency in Germany and other countries.
Click to expand...

OP, I think you should listen to this and everything else that has been written in the thread, with a Russian director living in Russia this is mission impossible.

Toggle signature

>> Unlock the Power of OffshoreCorpTalk: Become a Member of the Mentor Group Gold <<​

Latest Video Interviews, Offshore Company Resources, Payment Processing Tips & Tricks, Articles and Anonymity Hints only a click away!
Support the Freedom of Speech of our Community

Disclaimer: Nothing I say should be taken as tax, legal or financial advice. Anything I say is for general informational purposes only. Always seek independent professional advice.​

 

[Forester]

avalanche said:
Cyprus banks were closing Russian accounts after asking them if they have residence permit in EU. If they didn't, account was terminated.
Click to expand...

Well ”“ yes, this is true. I can confirm.
Nevertheless, in my perception, e.g. Georgian residence was not much worse. Simply, CY banks were not so reluctant to Russians...

avalanche said:
A couple more EMIs were also asking for EU residency during KYC onboarding.
Click to expand...

Yes, I believe that some EMIs are still onboarding Russians residing in the EU. I guess that in such a case they could onboard also Russian expats residing in another country
”“ but it is true that a lot of EMIs do not onboard non-EU residents in general... So yes, you are right; this really makes some difference.

avalanche said:
So its a pretty big difference Id say
Click to expand...

See above. Nevertheless, in some EU countries ”“ CZ, PL, Baltics ”“ with Russian passport IMO you have troubles unless you are a long-time resident in the concerned country (residence in some another EU country does not help much); and even if you are a local it can happen.

And in the US, the scale seems to be “Russian resident ”“ Russian expat ”“ Russian US resident”.

But maybe I have a wrong picture, I have not investigated it deeply.

Simply, it seems to me that
”“ in the Russia sanctioning countries (~25%) with Russian passport you are in a trouble;
”“ in another countries nobody cares, especially if you are an individual.
But it is probably over-simplified.

avalanche said:
There are many ways to get residency in EU for Russian citizen. That's what plenty of people did already including residency in Germany and other countries.
Click to expand...

Well, I am not oriented much in this, so I can believe you. My impression would be that it is very difficult nowadays unless you ask for the political asylum ”“ but I can be completely wrong.

JohnLocke said:
OP, I think you should listen to this and everything else that has been written in the thread, with a Russian director living in Russia this is mission impossible.
Click to expand...

Just a tiny correction ”“ @Vilgelm and his partner are living in Georgia 🙂 But see above...

Toggle signature
--------------------------------------------------------------------------------------------------------------------------------------

I am just a simple countryman. Anything I say is only a personal opinion, not a certified advice 🙂

If you think it makes sense, you can like it; if opposite, please, tell me, why I am wrong...

 

[avalanche]

Forester said:
Well, I am not oriented much in this, so I can believe you. My impression would be that it is very difficult nowadays unless you ask for political asylum ”“ but I can be completely wrong.
Click to expand...

Easiest way for Russians to immigrate to EU is skilled labor visas etc. When the war started most senior IT specialists and entrepreneurs from Russia decided to go to Europe and start their own business. Actually these sanctions only increased the number of startups of Russian origin across the world and in the West.

The only thing you need is the brain and money, everything else is just an obstacle to overcome.

As a side note, I also heard there is still a bank somewhere in Asia that opens personal accounts with debit cards for people residing in Russia 😀 Furthermore, there are plenty of middleman companies offering to accept transactions and forward them to Russia. I would question their reliability though.

Forester said:
See above. Nevertheless, in some EU countries ”“ CZ, PL, Baltics ”“ with Russian passport IMO you have troubles unless you are a long-time resident in the concerned country (residence in some another EU country does not help much); and even if you are a local it can happen.
Click to expand...

I would not even mention Baltics, CZ and PL because they are soaked with hatred for anything Russian. Even considering this, I knew some people getting residency in Finland a year ago

Last edited: Dec 4, 2023

 

[Forester]

avalanche said:
Easiest way for Russians to immigrate to EU is skilled labor visas etc.
Click to expand...

Well, if it is still possible, it's pretty interesting.
Do you posses an information whether all EU coutries allow this, or only some? (I guess the latter but I can be well wrong.)

avalanche said:
When the war started most senior IT specialists and entrepreneurs from Russia decided to go to Europe and start their own business. Actually these sanctions only increased the number of startups of Russian origin across the world and in the West.
Click to expand...

🙂

avalanche said:
The only thing you need is the brain and money, everything else is just an obstacle to overcome.
Click to expand...

This is a common situation in general 😉

avalanche said:
As a side note, I also heard there is still a bank somewhere in Asia that opens personal accounts with debit cards for people residing in Russia 😀
Click to expand...

E.g. in Kazakhstan there is for sure.

avalanche said:
Furthermore, there are plenty of middleman companies offering to accept transactions and forward them to Russia.
Click to expand...

Yes, I can confirm.

avalanche said:
I would question their reliability though.
Click to expand...

Well, it is as usually ”“ some are reliable, some not...

avalanche said:
I would not even mention Baltics, CZ and PL because they are soaked with hatred for anything Russian. Even considering this, I knew some people getting residency in Finland a year ago
Click to expand...

When I say Baltics, I mean LT, LV, EE; not FI. And I agree with you.

Toggle signature
--------------------------------------------------------------------------------------------------------------------------------------

I am just a simple countryman. Anything I say is only a personal opinion, not a certified advice 🙂

If you think it makes sense, you can like it; if opposite, please, tell me, why I am wrong...

 

[avalanche]

Forester said:
Well, if it is still possible, it's pretty interesting.
Do you posses an information whether all EU coutries allow this, or only some? (I guess the latter but I can be well wrong.)
Click to expand...

I know a group in Telegram where people share their immigration experiences and you can see Portugal, Spain, Germany, France, Hungary, United Kingdom, Montenegro, Serbia, USA, Cyprus, Poland, Netherlands just to name a few. The visa process became annoying for people but it just increased time and number of attempts required to get through. However I'd say its pretty doable even today.

Forester said:
E.g. in Kazakhstan there is for sure.
Click to expand...

No, that country is outside of CIS region. Closer to SouthEast Asia

 

[Forester]

avalanche said:
I know a group in Telegram where people share their immigration experiences and you can see Portugal, Spain, Germany, France, Hungary, United Kingdom, Montenegro, Serbia, USA, Cyprus, Poland, Netherlands just to name a few. The visa process became annoying for people but it just increased time and number of attempts required to get through. However I'd say its pretty doable even today.
Click to expand...

Really interesting. Thanks for sharing. (Of course, Serbia and Hungary are obvious.)

avalanche said:
No, that country is outside of CIS region. Closer to SouthEast Asia
Click to expand...

May be 🙂

Toggle signature
--------------------------------------------------------------------------------------------------------------------------------------

I am just a simple countryman. Anything I say is only a personal opinion, not a certified advice 🙂

If you think it makes sense, you can like it; if opposite, please, tell me, why I am wrong...

 

[JohnnyDoe]

It's very easy to pretend to reside somewhere. The Mentor Gold Group will give you answers 😉

Toggle signature

@JohnnyDoe ”“ Your #1 Source for Guidance in Different Offshore Fields​

 

[Vilgelm]

CyprusLawyer101 said:
I can help.
What are ACH payments though?
Click to expand...

Hi there. It's a US version of SEPA, many EMIs like Wise support it. It is required for Amazon account for US companies. But it is possible to use SEPA if account is opened on the EEA company, so if you can help me with SEPA it's ok too, I'll just open a UK company instead of US.

Martin Everson said:
Maybe look at Multipass in worst case. However the Russian director has resigned a few days ago so don't know their position today. My feelings below are however clear but you may have no choice.

https://www.offshorecorptalk.com/th...-the-multipass-com-bank-emi.41229/post-257954
Click to expand...

Thank you!

JohnLocke said:
OP, I think you should listen to this and everything else that has been written in the thread, with a Russian director living in Russia this is mission impossible.
Click to expand...

I live in Georgia, not Russia. Also there is almost no chance to get an EU residency for a regular Russian nowdays (like not for senior IT or an oligarh).

avalanche said:
Cyprus banks were closing Russian accounts after asking them if they have residence permit in EU. If they didn't, account was terminated. A couple more EMIs were also asking for EU residency during KYC onboarding. So its a pretty big difference Id say

There are many ways to get residency in EU for Russian citizen. That's what plenty of people did already including residency in Germany and other countries.
Click to expand...

Actually, I have a personal account in one of EU's EMI's that was opened before the war started and they are OK with my Georgian residency. However, it is impossible to open a new account with Russian passport even if it is corporate.

JohnnyDoe said:
It's very easy to pretend to reside somewhere. The Mentor Gold Group will give you answers 😉
Click to expand...

I know, but it seems that they don't like my passport, not my place of residence (which is NOT Russian). Pretending to have another passport is much harder and not reliable I think.

 

[Forester]

Vilgelm said:
Hi there. It's a US version of SEPA, many EMIs like Wise support it.
Click to expand...

Just a technical comment: It not much similar to SEPA, technically ”“ AFAIK. Just an intra-US clearing system, perhaps the only one that is used even by small players (they often do not have access to Fedwire and CHIPS is really for big sharks).

Vilgelm said:
It is required for Amazon account for US companies.
Click to expand...

Quite natural, see above.

Vilgelm said:
But it is possible to use SEPA if account is opened on the EEA company, so if you can help me with SEPA it's ok too, I'll just open a UK company instead of US.
Click to expand...

UK companies do not bank inside SEPA so easily now (but it's possible that @CyprusLawyer101 can solve this). If you were able to open an EEA company it would help you a lot.

Vilgelm said:
Actually, I have a personal account in one of EU's EMI's that was opened before the war started and they are OK with my Georgian residency. However, it is impossible to open a new account with Russian passport even if it is corporate.
Click to expand...

Yes, this corresponds to my information.

Vilgelm said:
I know, but it seems that they don't like my passport, not my place of residence (which is NOT Russian).
Click to expand...

Yes. As I have already written ”“ the Russian owners (although residing in Georgia) of a US company are IMO a trouble.

Vilgelm said:
Pretending to have another passport is much harder and not reliable I think.
Click to expand...

I share your opinion. Especially, if you want to sell at Amazon (and not to do some another specific business)...

Last edited: Dec 5, 2023
Toggle signature
--------------------------------------------------------------------------------------------------------------------------------------

I am just a simple countryman. Anything I say is only a personal opinion, not a certified advice 🙂

If you think it makes sense, you can like it; if opposite, please, tell me, why I am wrong...

 

[Martin Everson]

Yeah I mean in the end discrimination is a fact of life as is passport apartheid (I should know) 😕. And even if OP meets all legal requirements the fact he has a Russian passport will bury him with a lot of financial institutions.

Had a guy on here some years ago who lives in UK and has a Iraqi passport. No problem with opening personal accounts in UK as you cannot discriminate on that basis. But they did when it came to opening business accounts or anything commerce related if I remember. OP will really be up against the personal cross border attitudes of compliance officers within the companies you apply to who will see Russia and may just reject your application point blank.

Toggle signature
Please note my posts should not be taken as financial or tax advice. Please seek professional advice in that respect.