Getting a paypal business account for IBC?

[howard]

My understanding is that Paypal requires that your business bank account be in the same country as your company. So, let's imagine, for example, that you have an IBC in Dominica and a business bank account in Dominica. 1) Would Paypal give you a business bank account? I know nothing about Dominca; feel free to substitute a different jurisdiction if necessary. The Paypal account would receive 12 payments per year in the 1-10k range and make 12 transfers to the Dominica business bank account per year.

Further questions:

2) Does Paypal require KYC documents?

3) If it could be set up, would it be stable? Or would you be subject to *&)#(*$ random service interruptions and loopy demands for more documents?

4) If the above is problematic, how much better would it be for a non-IBC, e.g., a Gerogian company with substance and nominee director(s)?

Thanks

 

[bibing]

1) Nope. Think of PayPal as an intermediary or financial institution. They hold your money. In Dominica case you can withdraw your money to your Dominica company bank account only if such company has a U.S. bank account

2) Sometimes they do, and usually they block your account

3) same as answer #2

4) It's much better to use a jurisdiction where PayPal allows direct local bank account deposit. There are plenty but not sure if in any IBC

 

[Outlander]

It really depends on your type of business and how you use your Paypal account. If you run an e-commerce for example and you do frequent withdrawals and leave a low average balance, the chances that they will do random blocks/checks is higher, because they feel you could be trying to dodge chargebacks.

Overall your mileage may vary with Paypal but if you get them on a bad day prepare to produce a sizeable amount of docs and have funds held hostage for up to 6 months with no explanation.

 

[Andrew Gooden]

howard said:
My understanding is that Paypal requires that your business bank account be in the same country as your company. So, let's imagine, for example, that you have an IBC in Dominica and a business bank account in Dominica. 1) Would Paypal give you a business bank account? I know nothing about Dominca; feel free to substitute a different jurisdiction if necessary. The Paypal account would receive 12 payments per year in the 1-10k range and make 12 transfers to the Dominica business bank account per year.

Further questions:

2) Does Paypal require KYC documents?

3) If it could be set up, would it be stable? Or would you be subject to *&)#(*$ random service interruptions and loopy demands for more documents?

4) If the above is problematic, how much better would it be for a non-IBC, e.g., a Gerogian company with substance and nominee director(s)?

Thanks
Click to expand...

You need to include more than one way to receive money so also sign up with Payoneer, Skrill, Transferwise, and others, do not depend on Paypal alone.

 

[bibing]

You cannot anymore withdraw PayPal to your Payoneer US account. They blocked it because too many fake accounts going around.

 

[fshore]

howard said:
My understanding is that Paypal requires that your business bank account be in the same country as your company. So, let's imagine, for example, that you have an IBC in Dominica and a business bank account in Dominica. 1) Would Paypal give you a business bank account? I know nothing about Dominca; feel free to substitute a different jurisdiction if necessary. The Paypal account would receive 12 payments per year in the 1-10k range and make 12 transfers to the Dominica business bank account per year.

Further questions:

2) Does Paypal require KYC documents?

3) If it could be set up, would it be stable? Or would you be subject to *&)#(*$ random service interruptions and loopy demands for more documents?

4) If the above is problematic, how much better would it be for a non-IBC, e.g., a Gerogian company with substance and nominee director(s)?

Thanks
Click to expand...

PayPal in Asia doesn't require the business to be incorporated in the same country. You can chose the incorporation country. Not sure the current situation but a few years ago they accepted bvi incorporated company with a (virtual) address and bank account in HK.
Still today you can chose another incoportion country in the countries that are managed by PayPal Singapore.

 

[Outlander]

fshore said:
PayPal in Asia doesn't require the business to be incorporated in the same country. You can chose the incorporation country. Not sure the current situation but a few years ago they accepted bvi incorporated company with a (virtual) address and bank account in HK.
Still today you can chose another incoportion country in the countries that are managed by PayPal Singapore.
Click to expand...

Would be nice to know if anyone succeed with this recently. I have a Singapore business account, just missing a virtual address.

 

[busdriver]

fshore said:
PayPal in Asia doesn't require the business to be incorporated in the same country. You can chose the incorporation country. Not sure the current situation but a few years ago they accepted bvi incorporated company with a (virtual) address and bank account in HK.
Still today you can chose another incoportion country in the countries that are managed by PayPal Singapore.
Click to expand...

Just in HK, the problem is to get a bank account. High street banks (HSBC or so) would (probably) not give you a bank account and without that you could not verify your PayPal account.
If still and for how much longer virtual addresses work would be a secondary questions.

 

[fshore]

busdriver said:
Just in HK, the problem is to get a bank account. High street banks (HSBC or so) would (probably) not give you a bank account and without that you could not verify your PayPal account.
If still and for how much longer virtual addresses work would be a secondary questions.
Click to expand...

PayPal HK also supports banks in USA (but charge 2.5% to withdraw).
Still you need proof of address.