How can I run my business in the most safe and effective way?

[spagge]

Hi,

New member here. Posted this on OCT as well but didn’t get decent help so I am trying here.

I run a crypto focused business based in Sweden. My Swedish bank have been questioning the source of funds. I have providing all the documents but the Swedish bank don’t like that I work and invoice in crypto and has closed my company accounts.

The set up is like this:

1. Invoice goes to client in crypto
2. Gets paid to my business account on CoinsPaid
3. I exchange crypto to EUR and transfer it to my Swedish business bank account.

I need a Swedish bank account to pay for tax, salary and dividend. But maybe this is doable with a more global bank?

Now I am running out of ideas. How can I set this up legally and use a crypto friendly bank?

I tested opening an account with Wise, but CoinsPaid can’t send EUR to Wise due to their crypto policy. I am in the process with Nebeus as well, let’s hope they can help me in some way but I think it will be the same as CoinsPaid.

Any ideas?

 

[JohnnyDoe]

Hello, you have come in the right place. Offshorecorptalk is just a scam site where they try to sell you their own shitty products, and if you don’t qualify as a victim they ignore or ban you.

So the first question is: what is your business? Can you describe it in detail? What do you mean with “crypto focused”?

 

[spagge]

Sure. We operate comparison sites and get paid by revenue share and CPA. Niches crypto exhanges/crypto casinos/CFD-trading.

 

[JohnnyDoe]

Sure. We operate comparison sites and get paid by revenue share and CPA. Niches crypto exhanges/crypto casinos/CFD-trading.

This is a completely legit business that you have structured in a smart way and fully within the law. You don't require a license and you are not subject to any special regulation.
Still, financial institutions consider your vertical "high risk", mostly because they see the words crypto, casino and CFD. It's not easy to deal with them because of this: once they see those words, they stop thinking and start blocking.

First, a reality check: Sweden is a nazi socialist EU state. Expect nothing supportive from it, and the situation will only worsen. Leave, until you can.
If you insist remaining in Sweden, there are some solutions.

By default, Swedish companies must keep their books in SEK. However, you can apply to Skatteverket for permission to use USD or EUR if that is your “primary economic environment” (i.e. most revenues and expenses are in that currency). If approved, you keep ledgers in USD, prepare accounts in USD, and only convert to SEK when filing taxes.
You don’t actually need a corporate bank account. You can record everything at the USD value of the crypto received. Using USDT/USDC as your standard settlement currency simplifies life: no FX rate disputes or conversion fluctuations.
When it comes to tax filings, you still need to report in SEK and pay in fiat. Your accountant can pay on your behalf, it's going to be easy to send him fiat.

The alternative is to setup a front business that will be welcomed by banks.

 

[spagge]

Thanks for a great answer. Yes, Swedish banks are pretty impossible regarding those words. I have my family here with wife and 3 small kids so leaving the country is not an option.

I forgot to mention that I work as a consultant as well. I need to invoice that in SEK. But I think that would be possible by using Revolut or Wise.

But as an alternative maybe I can use the consulting invoices as a front business to open account and send FIAT from time to time in small amounts to the bank account for salary and expenses and such.

 

[JohnnyDoe]

Thanks for a great answer. Yes, Swedish banks are pretty impossible regarding those words. I have my family here with wife and 3 small kids so leaving the country is not an option.

There's always an alternative. Don't be a boiling frog. Think seriously about leaving the country, Sweden will not give you and your family anything good.

I forgot to mention that I work as a consultant as well. I need to invoice that in SEK. But I think that would be possible by using Revolut or Wise.

As a consultant with all your papers in order you can open an account with any EMI. Try ZEN.com (crypto friendly, direct connection with ByBit). Bunq is fine too.

But as an alternative maybe I can use the consulting invoices as a front business to open account and send FIAT from time to time in small amounts to the bank account for salary and expenses and such.

Of course you can do that.
Don't forget that you can have anonymous debit cards funded in crypto that you can use worldwide.

It also depends on the plans you have for your comparison site business. If you want to expand and eventually sell it, it might be worth to structure it as a company with proper (crypto) accounting. A future buyer will want to see the books.

 

[spagge]

There's always an alternative. Don't be a boiling frog. Think seriously about leaving the country, Sweden will not give you and your family anything good.

Yes, I hope that is the plan in a couple of years.

As a consultant with all your papers in order you can open an account with any EMI. Try ZEN.com (crypto friendly, direct connection with ByBit). Bunq is fine too.

Thanks, ZEN feels good. Let’s try that.

Of course you can do that.
Don't forget that you can have anonymous debit cards funded in crypto that you can use worldwide.

Hmm, I don’t know how I could use that. I want everything to be taxed for and legit.

It also depends on the plans you have for your comparison site business. If you want to expand and eventually sell it, it might be worth to structure it as a company with proper (crypto) accounting. A future buyer will want to see the books.

Yep, currently expanding and the plan is to sell in a year or two when we have conquered some more markets. We already got some offers actually.

 

[JohnnyDoe]

Yes, I hope that is the plan in a couple of years.

You should start planning now, not in two years then.

Hmm, I don’t know how I could use that. I want everything to be taxed for and legit.

If you use a completely anonymous card, you just use it for anything you want - groceries, fuel, travel... - and don't care too much, especially if your plan is to leave anyway.

Yep, currently expanding and the plan is to sell in a year or two when we have conquered some more markets. We already got some offers actually.

You should sell it as a non-Swedish resident if you want to keep some (a lot) more money in your pockets. You could also consider setting up the company abroad.
Do your math, weigh pros, cons and all risks.
You might even manage to handle everything without Sweden knowing...

 

[spagge]

Thank you for your expertise and for sharing your knowledge.