Payment processing

Panaiyappan
Visitor
3 0 0

I hope this message finds you well. I am writing to seek guidance regarding the setup of my dropshipping business using Shopify Payments.

I am currently based in India, but I am considering using a UK address to enable Shopify Payments for my business. My main concern revolves around the financial transactions and banking details. As of now, I am using a Wise business account registered in India, primarily for freelance work. Given the nature of dropshipping, I anticipate receiving substantial payments and need to ensure smooth transactions to pay my suppliers.

Here are a few specific queries I have:

  1. Will using a UK address for Shopify Payments while operating from India pose any legal or operational issues?
  2. Can my India-registered Wise business account effectively handle high-volume transactions typical in dropshipping, or is there a risk of payments being held?
  3. Would it be more prudent to register my business in the UK and open a UK business bank account to streamline the process?
  4. Are there any specific regulations or compliance requirements I should be aware of in this scenario?

I am keen to ensure that my business operates within legal and financial guidelines while maximizing efficiency. Any advice or suggestions you can provide would be greatly appreciated. If there are other options or solutions I haven't considered, I would be eager to learn about them.

Thank you for your time and assistance. I look forward to your guidance in this matter.

Best regards,

panaiyappan

Reply 1 (1)

Ivy
Shopify Staff
1033 80 129

Hi there, @Panaiyappan.

It is best to use a bank account and payment gateway that is supported in the country you are physically located in. Using a UK address in this case to access Shopify Payments could result in the store being flagged for security review.

  1. Will using a UK address for Shopify Payments while operating from India pose any legal or operational issues? Yes this is possible, so I do not advise doing this.

  2. Can my India-registered Wise business account effectively handle high-volume transactions typical in dropshipping, or is there a risk of payments being held? There are many gateways available for our India based merchants, you can view the options here. I would advise researching to find one that works best for you. The risk of payments being held exists for all gateways, so researching thoroughly is the best way to avoid this.

  3. Would it be more prudent to register my business in the UK and open a UK business bank account to streamline the process? I would advise seeking legal counsel around this as I am not in a position to comment on this. 

  4. Are there any specific regulations or compliance requirements I should be aware of in this scenario? Again, a legal expert is best positioned for this. 


I trust this helps, thank you! 

Ivy | Social Care @ Shopify


Out Of Office

-Was my reply helpful? Click Like to let me know! 
 - Was your question answered? Mark it as an Accepted Solution
 - To learn more visit the Shopify Help Center or the Shopify Blog