What are the pros and cons of an EMI business account? Can we open an EMI business account for a new offshore company without facing any problem? Is it mandatory to also open a business account in a traditional bank or we can easily send and receive money with a an EMI business account?
EMI business account pros and cons
- Thread starter zeeoffshore
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Typically you can open an EMI account for a new offshore company with little issue however this of course depends on the EMI, some are stricter than others. EMIs are far less strict than traditional banks however so you will have a smoother/faster process getting an EMI account than a traditional bank account guaranteed.
You could certainly run a business with just an EMI business account their is nothing that says you need a business bank account however I wouldn’t feel comfortable storing large amounts of funds in an EMI.
Pros:
-Easier to open than traditional banks
-open to corps from countries that traditional banks︀ now a days aren’t in many jurisdictions.
-More lax compliance(depends on EMI)
-Faster transfers and︁ cheaper service
Cons:
-Less safe than traditional banks(I personally would use EMIs to move money︂ but not to store large amounts)
-Less reputation than a reputable bank(EMIs are only a︃ few years old and usually licensed in Eastern Europe)
-Depositor Insurance isn’t always available like︄ many traditional banks(EMIs will usually advertise they keep your funds separate from their business funds︅ = your money is safe, up to you if you trust this with large amounts︆ of money)
-Account closure and freezing is a risk but small if your not doing︇ anything shady
EMIs are great I use them frequently for transactions I’d look into a︈ real business bank account also for storing larger amounts of money you don’t plan on︉ transacting with in the short term. My little pros and cons list is by no︊ means all of the benefits or downsides of EMIs since no EMI is exactly the︋ same as the other. Look into where their licensed, their fund customer insurances/guarantees if any,︌ and how long they have been around.
You could certainly run a business with just an EMI business account their is nothing that says you need a business bank account however I wouldn’t feel comfortable storing large amounts of funds in an EMI.
Pros:
-Easier to open than traditional banks
-open to corps from countries that traditional banks︀ now a days aren’t in many jurisdictions.
-More lax compliance(depends on EMI)
-Faster transfers and︁ cheaper service
Cons:
-Less safe than traditional banks(I personally would use EMIs to move money︂ but not to store large amounts)
-Less reputation than a reputable bank(EMIs are only a︃ few years old and usually licensed in Eastern Europe)
-Depositor Insurance isn’t always available like︄ many traditional banks(EMIs will usually advertise they keep your funds separate from their business funds︅ = your money is safe, up to you if you trust this with large amounts︆ of money)
-Account closure and freezing is a risk but small if your not doing︇ anything shady
EMIs are great I use them frequently for transactions I’d look into a︈ real business bank account also for storing larger amounts of money you don’t plan on︉ transacting with in the short term. My little pros and cons list is by no︊ means all of the benefits or downsides of EMIs since no EMI is exactly the︋ same as the other. Look into where their licensed, their fund customer insurances/guarantees if any,︌ and how long they have been around.
You are probably wrongly informed! In this point, the advantage is clearly with EMI!
Unlike with classic bank accounts which covers you up to a maximum of 100.000 EUR at EMI`s your deposit is 100% protected regardless of the account balance you maintain!
Unlike with classic bank accounts which covers you up to a maximum of 100.000 EUR at EMI`s your deposit is 100% protected regardless of the account balance you maintain!
sure if you trust the statements of the EMI established in eastern europe that 100% of your funds are totally safe they pinky promise lol. If banks in places with depositor insurance schemes have not even repaid their depositers 100% I got some bad news to tell you about any EMI... keep your money where you want︀ but I personally wouldn't hold anymore than 5 figures in an EMI of any kind.︁ They are 1000% not safer than a bank in a good jurisdiction like UAE, Switzerland,︂ Singapore.
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