Have you ever found yourself asking whether you’re required to have a business bank account when setting up an Amazon FBA in Germany? Or even pondered if a credit card is necessary for registration? Don’t worry, you’re not alone! These are some of the most common questions from entrepreneurs like yourself, looking to explore this exciting, but sometimes confusing, world of eCommerce.
In this article, we’re going to address these pressing questions and more:
1. Do you need a business or personal bank account when registering for tax ID & VAT registration?
Do you need a business or personal bank account when registering for tax ID & VAT registration?
To get you up to speed with this question, you first need to be familiar with the Amazon Seller Central registration process. The process is simple and is comprehensively covered in this ultimate guide on how to start selling in Amazon Germany in 2023.
In a nutshell, you need to register with the Gewerbeamt first, after which you apply for a tax ID number (Steuernummer) and a VAT ID number. This applies whether you register as an Einzelunternehmer (sole proprietor) or Kleinunternehmer (a small business that does not make over 22,000€ in sales or services in their first year and over 50,000€ in their second year).
This process involves filling in the Fragebogen zur steuerlichen erfassung (Tax Registration Questionnaire) which will request your bank account details. So, do you need a business bank account, or will a personal bank account do just fine?
Well, it depends. I advise you that as you create your bank account, inquire from the bank if you can use that account for business. Some banks may not allow you to use your personal bank account for business purposes. Some do not care. Whatever the case, always remember that the account should be registered with your name. Of similar importance is that the address should be the same as that you intend to use on Amazon.
However, generally, due to the additional benefits that come with a business bank account, I recommend that you get a business bank account. However, when you can’t, your personal account will do just fine.
2. Do you need a business or personal bank account when you register for Amazon Germany FBA?
Yes, you must have a bank account, whether a business or a personal bank account. Again, the details on the bank account must match perfectly with those on your Amazon account.
3. Do you need a credit card when registering for Amazon Germany FBA?
Yes, you need a credit card. The card must be from Visa or Mastercard. From my experience, Amazon does not like Prepaid Visa or Mastercard cards. If you have a bank account that has a debit card attached, and the card has a MasterCard or Visa Logo, you can use it.
What about virtual cards? Provided the details match and the credit card is chargeable, Amazon won’t have a problem.
The whole reason why they need your credit card details is to allow you to pay the subscription fee. However, as you proceed with your Amazon venture, it will reach a point when they won’t be charging your card as the money you make from your selling activities will cater for this fee.
4. Can you change your bank account info after registering for Amazon Germany FBA?
Yes, you can change bank account details. Whatever the reason, the process will involve the verification process all over again. You have to submit a printout of your bank statement so that they confirm your name and address.
5. What about online banks?
So, what about online banks such as Wise.com, Revolut, N26, Qonto, and Bunq?
Yes, if these online banks provide an IBAN numver, you can always use it. IBAN will usually start with a European country’s first two letters e.g. Belgium starts with BE, Germany starts with DE Italy starts with It, and so on.
The name and address on this bank should also reflect the same details that you have used on your Amazon account. In fact, one of my students used Wise and Amazon approved the use of the bank account.
If you need to register with these online banks, feel free to register with the links below:
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Parting Shot
I hope I have cleared some questions for you. If you have any other questions that I haven’t covered, let me know in the comments and I will get back to you.
Diving into Amazon is a big step, but with the right preparation and understanding, you’re well on your way.