E-commerce: Turn Plastic Money Real
Typically, sales tax laws are based on the existence of a tax nexus, and you'll need to consult your legal team to make sure you're complying with local tax collection and remittance requirements. This is especially true in the face of ever-changing tax laws, which may affect the status of your nexus from one day to the next. So before implementing new payment methods, make sure you receive the necessary input from your legal and compliance teams.
Challenge No. 3: Multicurrency Contracts
Have you read about the bullish e-commerce market in Brazil? At some point, you're going to want to sell your products in Brazilian reals (the local currency). What kind of prices should you set? There's a lot more to selling in a different country than just signing a new contract with your payment provider, which may be relatively easy to do. It also requires back-end development, which involves close work with your IT department.
Invariably, your marketing team is going to broach the subject of tapping into new regional markets, and it's a good idea to accept local credit cards. But marketing teams need to be aware of the complexities involved in targeting new markets before signing contracts for new payment methods.
Challenge No. 4: Developer Drain
Who implements the payments in your e-store? Are the people who developed the platform still around, or have they left the organization and taken the original source code with them? Don't underestimate the time required to implement all those specialized international e-commerce features that your sales and marketing teams want.
Larger software companies can afford to throw an army of developers at any problem. But in many cases, even those larger companies don't get it right because they are product development houses, not global e-commerce experts. If the larger companies can't solve this problem easily, what chance do small- to medium-sized companies have? The solution is to consult your IT team when you begin to accept new credit card payment methods so implementation is as fast and smooth as possible.