Banking and foreign-exchange rulesLesson 12 of 136

Banking and foreign-exchange rules

Most countries require international payments related to trade to go through a licensed bank rather than informal channels, and many require the transaction to be recorded or 'domiciled' with that bank, sometimes above a minimum value threshold. Ask your bank directly what paperwork they need before you send money abroad: typically a pro forma invoice, your registration documents, and sometimes an import declaration.

Opening a dedicated business account, separate from your personal account, makes this process smoother and gives you a clean paper trail that customs, tax authorities and your own bookkeeping will all thank you for later.

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