open a webshop need license??

sabrina_fi · Post by **sabrina_fi** » Fri Oct 31, 2008 11:23 am

Dear all,

My friend and I plan to set up an web shop to sell some clothes. As to register an .fi website is expensive, we plan to register an .com in other country. My question is, open a webshop is similar to start up an some company or real shop? Do I need the license? Need to pay the tax? or I needn't pay the tax or anything else until the anual revenue is over 8500 Euro?

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raamv · Post by **raamv** » Fri Oct 31, 2008 11:56 am

€8500 is a limit for a TMI ( Toimanimi)
As long as you declare the revenue to Vero, you should be fine..
Doenst matter if you have shop setup in Antartica. As long as you are a resident of Finland, and you make money...you are liable for tax here.

Upphew · Post by **Upphew** » Fri Oct 31, 2008 12:56 pm

raamv wrote:€8500 is a limit for a TMI ( Toimanimi)
As long as you declare the revenue to Vero, you should be fine..
Doenst matter if you have shop setup in Antartica. As long as you are a resident of Finland, and you make money...you are liable for tax here.

8500 is limit for VAT.

www.vero.fi is your friend (and your enemy), read and learn, it could save you nerves later.
About VAT: http://www.vero.fi/nc/doc/download.asp?id=3516;67701

ajdias · Post by **ajdias** » Fri Oct 31, 2008 5:30 pm

sabrina_fi wrote: As to register an .fi website is expensive

If 10 euro/ year is expensive to you, perhaps you should consider whether to open a shop or not...Unless you were giver reseller prices, it costs 17,5 eur/year, that's from Ficora.

If you are selling to finns/in finland it is wise to invest in a .fi domain, locals will trust you more easily. Further, the best .com domains are normally taken, not necessarily with .fi. A domain name can play a very important role on your webshop sales volume

raamv · Post by **raamv** » Fri Oct 31, 2008 11:01 pm

Upphew wrote:
raamv wrote:€8500 is a limit for a TMI ( Toimanimi)
As long as you declare the revenue to Vero, you should be fine..
Doenst matter if you have shop setup in Antartica. As long as you are a resident of Finland, and you make money...you are liable for tax here.
8500 is limit for VAT.

http://www.vero.fi is your friend (and your enemy), read and learn, it could save you nerves later.
About VAT: http://www.vero.fi/nc/doc/download.asp?id=3516;67701

Thanx.. I keep forgetting to mention VAT instead of TMI..

Rosamunda · Post by **Rosamunda** » Sat Nov 01, 2008 2:09 pm

It makes sense to register for VAT then you can deduct the VAT you are paying on your purchases (ie fabric if you are making the clothes yourselves). When you hit the 8500 euro threshold for VAT you will be liable for 22% on your total sales (including the 8500 e you already booked) which could leave you out of pocket. It is quite complicated but there are books out there that explain it all. Also your clients may ask for VAT receipts (it depends who you are selling to).

sabrina_fi · Post by **sabrina_fi** » Wed Nov 05, 2008 2:32 pm

Thanks so much for your valueable info, although some of which did surprised me. For example, open a webshop in my coutry is absolutely free (except for the website registration fee).

Besides the procedure lisence, I need to consult your specialty. I do have the problem of Finish languages, if the webshop target audience is young women (age 16-25), can I just write everything in English? Does young people have less difficulty in English and web shopping? (The product is fashionable stuff, clothes, accessory....) To be frank, I dont want to increase too much the investment esp. at the first beginning. At least after half a year, if this field is promising, I can pay more. Otherwise, it will be too much risks.

Thanks all of you.

rinso · Post by **rinso** » Wed Nov 05, 2008 4:20 pm

if the webshop target audience is young women (age 16-25), can I just write everything in English?

You wouldn't get much Finnish customers that way.

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