Export-Import

  • USA Green Card
  • Export – Increase in sales.
  • Import – Decrease in purchase price.

It seems there is nothing easier than to purchase something in America. This sense of easiness – is the main mistake and problem of many businessmen, as they do not notice (and are sometimes reluctant to notice) the serious problems.

For example, one of the problems is that the majority (especially big companies) sell their goods ONLY to American companies and dispatch ONLY to American addresses. And purchasers from Europe are offered to purchase goods from European branches of those companies, whose prices are usually much higher than in the USA (usually the price in Europe in Euros in figure is the same as it is in dollars in the USA. That is 1 USD = 1 Euro. Welcome to purchase…), and the selection, as a rule, does not conform to that of America. That is not just because they do not want to sell in Europe and Russia, but because preparation of goods for sale in Russia and Europe takes time. For example, translation of all those numerous manuals and instructions into all the European languages, certification in each country, etc.

Besides, the correct approach to purchases requires the knowledge and understanding of lots of things, which at first sight seem insignificant (and even just impossible). For example:

  • How to purchase goods at rates lower than those of manufacturer’s.
  • How to make the manufacturer even pay you for the goods purchased.
  • How to minimize you transportation expenses in the USA and even reduce them to zero.
  • How to minimize the storage expenses.
  • How to arrange goods Insurance.
  • How to become a dealer of some goods important for you in the USA.
  • How to make sure that the goods comply with the norms and standards of the country where you are going to export them.
  • Customs duties in the USA.
  • If the goods arrived to the USA from abroad, how to receive the customs duties paid for them by the importer at the time of re-export thereof.
  • How to guarantee the receipt of commission at the time of goods procurement.
  • How the goods shall be packed for transportation.
  • Which documents shall be prepared for customs clearance of the goods…

You have to know answers to these and many other questions to organize the correct purchase of goods. Ignorance of correct answers to these and many other questions, wrong planning of purchases result for companies and entrepreneurs in huge losses in deals which appear exclusively interesting.

Our company possesses considerable experience in organization of purchases of goods in the USA and other countries (when the supply has to be made from the USA or on behalf of an American company). Of course, we will not be able to ensure to you the most successful solution of all the problems related with purchase of goods in a different country, their transportation, customs clearance, etc. But at least, using our experience we will help you to avoid those mistakes which are committed by the majority of businessmen purchasing goods in the USA or via the USA. That will FOR SURE cover all your expenses on our services for procurement of goods and services in the USA.

Now let us discuss some details. For example, how to purchase cheaper in the USA and how to sell in Russia what the company itself is not yet selling. To a large extent that is what is called the “grey market”. Many companies resort to grey market due to two basic reasons:

  • They want to be one step ahead of all the main competitors
  • They wanted to become official dealers but for reason or other they were refused. (But the customers are there!)

There are 2 basic legal options to obtain “grey” goods

Option 1. To buy up small “left-over” consignments from a major dealer. As a rule, you can get the price lower than the dealer’s purchase price (we will explain why). But the decision has to be taken very quickly. It is the matter of hours.

Option 2. To become an official dealer in the USA of the goods you are interested in and to quietly order everything in the USA directly from the company at dealers’ rates and to dispatch to Russia.

Do American companies fight against this type of dealers in the USA? In principle, of course they do, but too much inertly and without spirit – approximately the same way as they fight corruption in Russia. The bigger the turn-over, the more inert is the fight. (Exceptions are only very profitable automobile companies like BMW or Daimler-Benz).

But according to American laws, fighting it is almost impossible. A dealer in the USA is entitled to sell goods to anyone inside the country. So we in fact relieve you of all the problems related with the purchase and transportation of goods. Only financing of purchases, customs and realization of goods remain as your tasks.

The dynamics of purchases is also changing now. If previously automobiles and computers were purchased more, at present these are communicators (iPhone and others), game consoles, miniature storage devices (for photos storage), photo cameras, and MP3 music players.

But there are orders for rather exotic things as well, like heavy haulers, different construction rigging and heated concrete mixers.

Usually, we are asked a question, why purchase everything in the USA, if you can purchase in China? At once, we can explain the following. Chinese companies manufacturing goods for American companies and under the brands of American companies are controlled by Chinese authorities in the strictest manner. Schemes like purchasing “overwork products” directly from works in China are at present punishable with death penalty (that is not a joke) for the organizers of schemes like that. Therefore, all the distribution and sales are located in the USA and are strictly controlled in the USA. Meanwhile, the Chinese Works on their own are not entitled to sell anything to you. In one word, if you want to be at the very source, you will have to be in the USA…

USA Green Card

It is not that important whether you export to the USA or import from the USA – it is important that the greatest interest of America is in your hands -money. Out of all of your money, USA authorities are interested in a small portion which can be taken as taxes. US Internal Revenue Service imposes taxes upon the money turnover between your, for example, Russian company, and the American company (no matter whether it is a suppler or a purchaser). You do not see them in total price, but your American partner always takes those taxes into account while agreeing upon the price of goods or services with you. Your American partner pays those taxes. That is the scheme, according to which you are working now.

But happiness can be true. Just have a more careful look.

At the time of import from the USA. Having registered your company in the USA, you can purchase in the USA on behalf of your American company and to further sell to your Russian company. At the same time, you pay small taxes in the USA and claim a price convenient for you for Russian customs.

At the time of export to the USA. You sell goods and services from your Russian to your American company. American company sells further in the USA or elsewhere you wish.

What does “small taxes” mean? Each state has different taxes. The lowest taxes are in Nevada, and at the same time you can purchase-sell goods and services, rent an office in any other US state.

There is no VAT in the USA, but there are income taxes: federal ones (15% for the income amount up to $50,000, 25% – for next $25,000, 34% – above $75,000) and local ones (for example, Delaware – 8,7%, California – 9,3%, New York- 9%, Wyoming and Nevada – 0%).

View State Corporate Income Tax Rates – 2007

No profit – no taxes. Though you have to deposit an annual registration fee in some states (Nevada – 125 USD). Foreigners do not pay individual income tax. For that purpose, a special 8ben form is filled in, which has to be sent to IRS (US Internal Revenue Service). We will send you this form immediately after we open your company account in the bank of the USA. Let’s come back to taxes. I.e. the main tax burden rests on profit. Dear friends, which Russian has to be taught ways not to show profit? Even if your attention was diverted away to Kurshevel’, and suddenly by the end of the financial year you accumulated big profit in your American company – do not be upset. You can always pay for marketing research or advertisement, or any other services in the USA. More than 90% of that amount will return to you, if you discuss this issue with us. Having shown to IRS the annual income of, for example, $10.000, you pay around $1.500 as taxes. To obtain the L-1 visa, and Green Card afterwards, it is important to show a turnover of not less than $100,000 per annum. Immigration service is not IRS. For the immigration service, it is not important how much you have paid as taxes, they are not interested in those figures. Moreover, accountancy and communication with IRS – are our concern, but not the concern of your clients.

Therefore, by simple inclusion of your American company into the chain of import-export, you ensure an annual turnover for your American company, required for obtaining the USA Green Card, and American citizenship for you and your family subsequently.

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