Do you feel the EU referendum will affect your business ?

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Nottingham United Kingdom
Bigian13
Kudos: 2,311
Joined: Feb 21, 2014
Do you feel the EU referendum will affect your business ?
19 Apr 2016
There is a lot of information going around about how the impact that leaving the EU will affect the UK.

Depending on what you believe this will / will not affect UK and European based on-line sellers.

As a UK based seller with around 25% of sales going into Europe this does concern us, as there is no clear information to clarify what will happen with an exit from the EU.

Are any other UK / European sellers having similar concerns ?

[Last edited: 19 Apr 2016]
E-commerce , love it or hate it, that's why we are here
sales418
Kudos: 23
Joined: Apr 24, 2016
Re: Do you feel the EU referendum will affect your business
26 Apr 2016
If you sell to consumers, it is better for you: You buyers will not pay VAT, which makes you more competitive.
United States United States
JoeCha
Kudos: 42
Joined: Sep 10, 2015
Re: Do you feel the EU referendum will affect your business
26 Apr 2016
One major downside I believe will be that Amazon will stop the EFN and MCI programs which allows you to ship inventory into UK FBA and have Amazon distribute to other EU customers/fulfillment centers.

That's my biggest concern.

[Last edited: 26 Apr 2016]
Nottingham United Kingdom
Bigian13
Kudos: 2,311
Joined: Feb 21, 2014
Re: Do you feel the EU referendum will affect your business
26 Apr 2016
@sales418

Fair enough, but would there be import duty instead ? Would there be a levy similar to Norway where all goods over circa £15 are vatable ?

Also, what about those sellers that sell over the VAT threshold in European countries and have had to register and pay VAT into those countries ?

Will Royal Mail and courier charges go up in price to European destinations ?

If you source goods from across Europe, how will this be affected ?

If multi billion pound companies in the UK can not agree on the consequences of the outcome, how can small business prepare ?
E-commerce , love it or hate it, that's why we are here
Nottingham United Kingdom
Bigian13
Kudos: 2,311
Joined: Feb 21, 2014
Re: Do you feel the EU referendum will affect your business
26 Apr 2016
@JoeCha

I am sure that Amazon have got all the bases covered.

They are currently building more distribution centres in the UK, and are not only pushing more sellers to EFN and MCI they are also trialling a new European fulfilment service.

Obviously Amazon fees may go up if there are any changes, but don't forget that Amazon expects the seller to cover all taxes, duties and charges in the purchase price to the customer.

Only time will tell.
E-commerce , love it or hate it, that's why we are here
Herts, England United Kingdom
Andy
Kudos: 11,665
Joined: Jan 1, 2001
Re: Do you feel the EU referendum will affect your business
26 Apr 2016

Bigian13 wrote:

If multi billion pound companies in the UK can not agree on the consequences of the outcome, how can small business prepare ?
You can't prepare. Despite all the posturing no-one really has a clue what will happen if we leave the EU. About the only thing for sure is there will be huge disruption and pain, probably for many years, while they try to figure it all out.

After five to ten years the dust will settle and we'll start to see whether it was worth it or not. The whole thing is a reckless Tory gamble in my opinion.

But there is one big benefit to leaving the EU, if there is any logic and justice in the world: no more f****** UKIP.
Andy Geldman, Web Retailer
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United States United States
JoeCha
Kudos: 42
Joined: Sep 10, 2015
Re: Do you feel the EU referendum will affect your business
27 Apr 2016

Bigian13 wrote:

@JoeCha

I am sure that Amazon have got all the bases covered.

They are currently building more distribution centres in the UK, and are not only pushing more sellers to EFN and MCI they are also trialling a new European fulfilment service.

Obviously Amazon fees may go up if there are any changes, but don't forget that Amazon expects the seller to cover all taxes, duties and charges in the purchase price to the customer.

Only time will tell.
I don't think Amazon will move FBA inventory from UK to the other EU countries if the UK is out and they'll have to deal with customs etc. same as they don't do it from US to Canada or Mexico.

They allow out of the country customers to buy on Amazon.com under the FBA Export program but the inventory comes out of US fulfillment centers and are not listed on Amazon.CA etc

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