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Dropshipping with US Suppliers and US Market While in the UK

Full Member
Posts: 1
Joined: 07 Apr 16
10 Apr 16 11:23:51 pm
Hi Guys,

I'm a complete novice, looking to get started with dropshipping. I'm based in the UK and seeking to deal/sell in the US market.
My questions are:
1)Do I need a Tax ID from the outset, and what are the tax implications?
2)Im concerned how long a payment from a buyer will be available for me to use and pay the dropshipper considering the reasonably short turn around expected by the customer.

Will appreciate any help

Site Admin
Posts: 6239
Joined: 27 Jul 07
10 Apr 16 11:59:02 pm
Hi Edward and welcome to the forum,

Regarding tax id, this will depend on the supplier. It's far more common for a wholesaler to require a tax id than a dropshipper, however more and more dropshippers are now requesting a tax id as well. If you do find that one does require it, using a UK tax should be fine.

Regarding payment, if you are going to accept PayPal, and most customers will expect you to, then you will most likely have some issues if your account is new. PayPal may well put a hold on your account, usually lasts up to 28 days, and all the funds will be locked during the hold period. What you can do is contact PayPal ahead of time, give them the details of the suppliers you will be using and that may make it easier to get through the initial new account stage with them.


Mark (fudjj)

Community Manager

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