Advice for store set up

[ekrom399]

Hi,

I am new to ecommerce and recently set up a Shopify store aimed at women's fashion. I have the option of setting up a company in order to accept payments in either the US or in Mexico. I wanted to see if anyone had advice.

A few considerations:

• My target market is the Mexican customer, possibly in the future I would target US.

• My supplier is located in the US, I'm doing dropship, thus products are priced in USD. (I am using an app to convert language and currency which is a pain in the...)

• So I would need to accept payments in MXN and pay the supplier in USD, which is not ideal, not sure how foreign transaction fees would work.

Additionally I am thinking about taxes. Seems the US system is more complicated with each state having its own reporting requirements. MX asks for 16% VAT and monthly reporting (same as US, although US has lower tax rate, but I would need to also pay tax as employer and employee which makes it more expensive...).

I'm leaning toward MX set up. Any things I should consider that I didn't? Advice?

Thank you!