Receiving Euro Cheques in a UK account

jgos

Hello.

I have set up a business in UK and and seeing a demand for services in Ireland. It seems to be trouble to invoice in Sterling as clients have to organize a sterling draft, which takes time.

Can any one advise me if I send an Invoice from UK to Ireland:

1. Can I ssue the invoice in the euro equivalent to Sterling to an Irish Client?
2. What are banks in UK charging to clear this cheque in my account?
3. If I Charge UK VAT, how does the Irish client claim this back?
4. Anyone recommend a Bank for EU transactions that is low rate or even free?

Many Thanks, all replies are appreciated.:j

NFH

1. Yes, but I believe you also have to show the GBP equivalent.
2. Any bank will do this, but will charge you prohibitively high fees. Forget cheques for cross-border payments; use bank transfers instead.
3. You don't charge UK VAT to an Irish VAT-registered customer. Instead, you zero-rate the supply when the Irish customer gives you his IE-prefixed VAT number. There is a box on your UK VAT return for such supplies.
4. The only half-decent EUR-denominated business account I've seen is from UBS in Switzerland. Otherwise try an Irish bank.

eslick

your bank should be able to offer you a euro bank account but you would still need to FX this to your pound account so you will have some FX exposure. I would suggest asking your customers to pay you by SEPA credit transfer, this way you wont see beneficiary bank fees or shouldnt shortly for payments over 50,000 euros and they will be charged smaller fees on their side, they can pay direct to your pound account. Ask your bank to limit the beneficiary bank fees is your customers dont pay by SEPA some banks will allow you to cap these saves having you the high costs that can be charged.