| |
02-18-2019
| Junior Member | | Join Date: Feb 2019
Posts: 21
Thanks: 13
Thanked 0 Times in 0 Posts
Activity: 0% Longevity: 29% | | Paypal Limited Business Account
Long time watcher on this forum and decided to join today. A few years ago I had my personal paypal limited permanently. I started wanting to sell things again so I created a EIN as a sole proprietor (which I know now was a mistake). It lasted a few months until last week when I then got limited asking for Photo ID, proof of address, bank statements, etc. When I tried supplying those they probably linked me and limited my business account.
My new plan is to create a Multi-Member LLC for my wife and I and get a EIN number for that with a new business address, new business phone, and a new business bank account. I've completely bought a new laptop and my IP address changes daily at my house. This is a legit business and a non-stealth account.
I guess I'm just asking if this sounds like a sound plan to you guys? Also, they shouldn't ask for a Photo ID for a LLC multi-Member business account should they?
thanks so much for your time!!
|
The complete step-by-step guide to get back to selling today!
| |
02-18-2019
| Junior Member | | Join Date: Jan 2017
Posts: 317
Thanks: 10
Thanked 51 Times in 46 Posts
Activity: 0% Longevity: 41% | | Re: Paypal Limited Business Account
Sounds like it should work fine for PP. You're gonna want to enter your wife's info for the business owner, because they will probably still ask for verification. You'll also want to get a bank account that mails to the business address to connect to the account, and preferably something else like a utility bill that gets mailed to the business address.
| The Following User Says Thank You to BaggaDonuts For This Useful Post: | |
02-18-2019
| Junior Member
Threadstarter  
| | Join Date: Feb 2019
Posts: 21
Thanks: 13
Thanked 0 Times in 0 Posts
Activity: 0% Longevity: 29% | | Re: Paypal Limited Business Account
Unfortunately my wife has also been limited from PP, that's why I'm hoping to hide our personal info behind our LLC.
And yes I planned on getting the business bank account to mail to the business address. All utility's are paid by the landlord at my business address ... maybe a prepaid business cell phone bill mailed to that address?
Thanks so much for your time.
|
02-19-2019
| Junior Member
Threadstarter  
| | Join Date: Feb 2019
Posts: 21
Thanks: 13
Thanked 0 Times in 0 Posts
Activity: 0% Longevity: 29% | | Re: Paypal Limited Business Account
In today's paypal environment is it still worth it to get the stealth guide? I only use paypal, not ebay or amazon.
|
02-20-2019
| | Junior Member | | Join Date: Feb 2019
Posts: 71
Thanks: 19
Thanked 76 Times in 16 Posts
Activity: 0% Longevity: 29% | | Re: Paypal Limited Business Account Quote:
Originally Posted by toofun Unfortunately my wife has also been limited from PP, that's why I'm hoping to hide our personal info behind our LLC.
And yes I planned on getting the business bank account to mail to the business address. All utility's are paid by the landlord at my business address ... maybe a prepaid business cell phone bill mailed to that address?
Thanks so much for your time. | As someone who's carried out exactly your plan in the UK with the equivalent of an LLC, I can assure you that a registered company won't provide any further assurance to PayPal - I truly believe any documents that they will ask for about the company are strictly legal requirements of keeping records (perhaps for tax purposes etc).
What PayPal really care about is risk (of losing money from you), so the best way for them to make an informed decision upon review is by checking out the account holder, even though the company is a separate legal entity - the account holder is the only valuable entity they can scan for risk, especially at the start.
Regarding using a family member as the account holder, it's a good idea (I did it too), but only if they have a clear record with PayPal, otherwise when Photo ID comes around, you probably know what's going to happen...
Depending on what kind of sales volume you were hoping to do and how serious it is (full-time or not), it may be worth just taking the stealth approach, though I always encourage appealing limitations where one has done nothing wrong.
| The Following User Says Thank You to HangInThere For This Useful Post: | |
02-24-2019
| Junior Member
Threadstarter  
| | Join Date: Feb 2019
Posts: 21
Thanks: 13
Thanked 0 Times in 0 Posts
Activity: 0% Longevity: 29% | | Re: Paypal Limited Business Account Quote:
Originally Posted by HangInThere As someone who's carried out exactly your plan in the UK with the equivalent of an LLC, I can assure you that a registered company won't provide any further assurance to PayPal - I truly believe any documents that they will ask for about the company are strictly legal requirements of keeping records (perhaps for tax purposes etc).
What PayPal really care about is risk (of losing money from you), so the best way for them to make an informed decision upon review is by checking out the account holder, even though the company is a separate legal entity - the account holder is the only valuable entity they can scan for risk, especially at the start.
Regarding using a family member as the account holder, it's a good idea (I did it too), but only if they have a clear record with PayPal, otherwise when Photo ID comes around, you probably know what's going to happen...
Depending on what kind of sales volume you were hoping to do and how serious it is (full-time or not), it may be worth just taking the stealth approach, though I always encourage appealing limitations where one has done nothing wrong. | Thank you very much!
|
02-24-2019
| | Executive [VIP] | | Join Date: Dec 2009
Posts: 76,015
Thanks: 5,942
Thanked 8,922 Times in 8,214 Posts
Activity: 100% Longevity: 83% | | Re: Paypal Limited Business Account Quote:
Originally Posted by toofun In today's paypal environment is it still worth it to get the stealth guide? I only use paypal, not ebay or amazon. | Always good to understand stealth and how any platform can link - you can learn a lot from reading forum posts as well
| The Following User Says Thank You to rsot For This Useful Post: | |
02-24-2019
| Junior Member
Threadstarter  
| | Join Date: Feb 2019
Posts: 21
Thanks: 13
Thanked 0 Times in 0 Posts
Activity: 0% Longevity: 29% | | Re: Paypal Limited Business Account Quote:
Originally Posted by rsot Always good to understand stealth and how any platform can link - you can learn a lot from reading forum posts as well | Yes I purchased it and it's a wealth of knowledge. I've already read it once ... but I can tell I'm going to need to read it a few more times.
|
02-24-2019
| | Senior Member | | Join Date: Jul 2018
Posts: 12,187
Thanks: 1,648
Thanked 1,103 Times in 1,039 Posts
Activity: 90% Longevity: 33% | | Re: Paypal Limited Business Account
if you are just using Paypal and not for AMZN or EBay ,why not apply for a merchant account to accept credit card payments instead of using Paypal?
If you are a Costco member,you can inquire or apply for one cheaper than going to a bank,there are also others offering merchant account besides your bank,look around.
LLC etc would not shield you from Paypal wanting to know who is behind it,and what about sending out 1099 at yearend,if you collect 200 transactions and $20k,Paypal would send out 1099,in most cases ,it will go to the SS number of the owner,
|
02-24-2019
| | Senior Member | | Join Date: Jul 2018
Posts: 12,187
Thanks: 1,648
Thanked 1,103 Times in 1,039 Posts
Activity: 90% Longevity: 33% | | Re: Paypal Limited Business Account
there are also Google Pay,Apple Pay,not sure what happens to Propay.
ETsy also have its own like AMZN one click,if you open a shop there.
|
02-24-2019
| Junior Member
Threadstarter  
| | Join Date: Feb 2019
Posts: 21
Thanks: 13
Thanked 0 Times in 0 Posts
Activity: 0% Longevity: 29% | | Re: Paypal Limited Business Account Quote:
Originally Posted by agent006140 if you are just using Paypal and not for AMZN or EBay ,why not apply for a merchant account to accept credit card payments instead of using Paypal? | Most of my customers prefer paypal unfortunately.
|
02-24-2019
| | Senior Member | | Join Date: Jul 2018
Posts: 12,187
Thanks: 1,648
Thanked 1,103 Times in 1,039 Posts
Activity: 90% Longevity: 33% | | Re: Paypal Limited Business Account
why were your and your spouse account restricted?
|
02-24-2019
| | Executive [VIP] | | Join Date: Nov 2013
Posts: 8,983
Thanks: 2,744
Thanked 3,109 Times in 2,282 Posts
Activity: 0% Longevity: 60% | | Re: Paypal Limited Business Account
If you are having problems with paypal now, you are going to have more problems in the future. Keep that in mind. Consider changing your methods, customer service or items being sold.
| The Following User Says Thank You to yankee For This Useful Post: | |
02-24-2019
| Junior Member
Threadstarter  
| | Join Date: Feb 2019
Posts: 21
Thanks: 13
Thanked 0 Times in 0 Posts
Activity: 0% Longevity: 29% | | Re: Paypal Limited Business Account Quote:
Originally Posted by agent006140 why were your and your spouse account restricted? | I sold a few high priced car parts and had the buyer send as friend and family so I could avoid the fees. Yes I know now ... very stupid. Wish I would have come accross this forum a few years ago.
|
02-24-2019
| Junior Member
Threadstarter  
| | Join Date: Feb 2019
Posts: 21
Thanks: 13
Thanked 0 Times in 0 Posts
Activity: 0% Longevity: 29% | | Re: Paypal Limited Business Account Quote:
Originally Posted by yankee If you are having problems with paypal now, you are going to have more problems in the future. Keep that in mind. Consider changing your methods, customer service or items being sold. | Yes sir I'm going to be MUCH more cautious.
|
Posting Rules
| You may not post new threads You may not post replies You may not post attachments You may not edit your posts HTML code is Off | | | |