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All sellers need to register with Amazon Payments Europe S.C.A.

By Chris Dawson May 27, 2015 - 7:45 pm

Amazon PaymentsAmazon are changing the company who are providing the payment component of their services to sellers. Up until now it’s been provided by Amazon Services Europe S.à r.l., but moving forwards Amazon Payments Europe S.C.A. will be the new entity you deal with.

In addition to your current Amazon seller account you now need to open a Selling on Amazon payment account with Amazon Payments Europe.

This is causing a number of issues for sellers. Amazon say that EU regulations require Amazon Payments Europe to collect certain business and personal information from you and take steps to confirm your identity. For businesses selling on Amazon as Limited companies it involves a ton of paperwork, which while tedious to gather isn’t particularly tricky to compile.

Where this is throwing up some issues is for sole traders and limited partnerships as Amazon don’t appear to readily recognise that in the UK, unlike many other parts of the EU, it’s easier to start a business and apart from registering with HMRC for income tax you may not have a whole load of paperwork identifying you as an entity. This means Amazon will want to know pretty much everything about you as an individual.

UK sole traders will need to request a Confirmation of Unique Taxpayer Reference letter from HMRC if they don’t already have one, other information Amazon may request is bank account number, passport details, VAT registration, utility bills etc. In some cases Amazon Payments Europe may need more information to verify your identity and request additional identity information.

Amazon Disbursement Frequency

We’ve also heard from sellers who are seeing more frequent disbursements from Amazon, weekly instead of fortnightly. We don’t know if this will be ongoing, but anything that gets funds into your bank account faster sounds like good news!

  • Lee Pearce
    2 years ago

    We have just gone through the verification with Amazon (we are a ltd company), it took 6 days, but a look at the Amazon Seller forum and its full of sellers having issues with Verification.

    The one overriding advantage is the disbursement, we can now disburse on a daily basis and we also saw that our EU account disbursement into our World First account appeared on same day.

    Lee

    • john
      2 years ago

      Hi Lee,
      I too have seen this with my amazon account. For anyone who does not realise – as soon as you go through the amazon verification process, an orange button will appear on Reports > Payments. Its located to the right of your current balance and says “Request Transfer Now”. This is great news for cashflow. I sometime have 30-40k tied up and this will be amazing to pay myself daily. Good one Amazon!

    • 2 years ago

      Hi John,

      I have helped Lee (and hundreds of other sellers) to open free, segregated Bank accounts on mainland Europe, the USA & Canada. The main advantage of this is that you can then achieve beneficial exchange rates when repatriating your overseas earnings.

      If you are interested in exploring how you can widen your international profit margins, please give me a call on 02078012394.

      Mark

  • Mrbill
    2 years ago

    They aren’t replying to e-mail requests for further information very quickly at all.

  • 2 years ago

    I am a little confused, I cannot see anything about this change. Is this for everyone selling on Amazon ?

    I have to be honest if they are changing the disbursements to weekly or even more regularly then that would be amazing progress.

    • Lee Pearce
      2 years ago

      You get “Invited”, you will know its your turn just before because you will be invited to a Webinar.

    • Darren
      2 years ago

      Wow, thanks – I have just looked back and I was invited to that webinar on 13th May but sadly didn’t register as I was on Holiday at the time.

      I wonder if that means we will change over soon – because that would be fantastic.

  • petestan
    2 years ago

    I have been through the verification process with Amazon and although I am not a limited company just a sole trader I didn’t have any problems at all. I did have to ask HMRC for a letter to say I was registered with them but once that arrived a couple of days after I asked for it everything was fine and I was fully registered. I’ve seen the people on the forums saying they had problems but I certainly didn’t.

  • Ross
    2 years ago

    This is apparently a rolling process, some were verified a few months ago, some haven’t.
    I helped set up another company’s account on Amazon and was surprised it was different to my much older one. When I queried it with Amazon they confirmed that they were getting round to all accounts but don’t know when they will have finished.
    From what I can gather it is going to be for the rest of the year.

  • Simon M
    2 years ago

    This has been a very stressful process for me. Been ongoing for at least 3 months. Verification is STILL pending (on Amazon’s side, not mine…)

    One thing that surprises me – I’ve been able to make disbursements from my account on a daily basis for at least 18 months? Surprised that others here have to wait a week?

    S.

    • 2 years ago

      You can make disbursements yourself?
      I was under the impression, and have been for years, that Amazon called the shots on when sellers received their money.
      But you’re saying that you can withdraw your funds just like a PayPal withdrawal?

      If everyone knows this I am going to look rather silly :)

    • Simon M
      2 years ago

      Absolutely – I’m limited to one disbursement every 24 hours, but yes. Typically I wait before a minimum balance has been reached, but in theory I could make 7 a week.

      I do wonder if this is one reason why my verification process has been such a pain in the proverbial…

      S.

    • 2 years ago

      Right. Well hopefully once I have been verified I will see a feature somewhere on some screen that will allow me to draw down at will (or once a day as you mention).

  • 2 years ago

    I supplied the information to Amazon a few days ago and am just awaiting the verification process.
    One thing I didn’t realise, until this morning, was that my regular disbursement has stopped.
    I started a Support chat with Amazon this morning to be told that “verification takes between 10-14 days and within that time I would not receive regular disbursements”. So the chunk of money I was expecting in to my account this morning is on hold until they get their finger out.
    I thought I’d mention this in case anyone else is about to go through the procedure. Knowing that your latest regular disbursement MAY be delayed may or may not help someone.

  • 2 years ago

    Had a big problem with this. Our representative name was somehow missing from the German account (Not sure how, as have had it for a couple of years) but as the account was in verification mode we could not edit anything. We made this aware to Amazon and they agreed to just wait for the verification to finish then it would be editable, however add it to our about section just to make sure we conform with the German online selling laws. This was done and accepted by them.

    However, in this time the performance team thought we had done this on purpose and suspended our account. We contacted them many times and they kept saying this was out fault and nothing they could do. Finally after many emails and calls we got an email to say we have added and they decided to re-instate our privileges. So something out of our control from Amazon got us suspended.

    Anyway, before doing the verification make sure that anything you want to change in the account details are done as you cannot edit these until the verification is finished which is 5-10 days.

    • 2 years ago

      I had the same problem with my representative name. The box was greyed-out.
      I called Amazon and the support rep couldn’t understand why I couldn’t edit. They flagged it up and now when I look at the page the red warning telling me to enter more info, has disappeared.
      Thanks for the heads up on what you did and the consequences it had.

  • vid-games
    2 years ago

    Does anyone have the link to the “EU regulations that require Amazon Payments Europe to collect certain business and personal information from you and take steps to confirm your identity”. ?

    • 2 years ago

      It’ll come under money laundering regulations…
      https://www.gov.uk/money-laundering-regulations-your-responsibilities

    • 2 years ago

      Thanks Chris, I assume it does not say exactly what docs are required .

      The big question for me is why have ebay not asked for the same info?

    • 2 years ago

      Who knows?? It’s a similar question as to why can you happily sell on Amazon.de and eBay.de from your UK premises and yet Rakuten.de insist that you have physical premises based in Germany to sell on their site??

      It’s all a mystery and none of it makes sense!

  • Mike Barone
    2 years ago

    Hi, I have a question on this, I sell as a hobby in small volume and would probably register as an individual with Amazon payments EU, my only concern is that if I did this would they remove my Professional selling plan subscription? I have had this for years and use the various listing tools like the inventory page. It seems over complicated for me to register as a business or sole trader, but I do want to carry on with the seller features the way they are – do you know if one thing impacts the other or are they simply gathering information for the payments side? My concern is choosing the wrong ‘seller category’ (under business and contact information) because this can’t be changed later and I don’t want my choice of ‘individual’ to damage my existing professional selling plan features – Thanks!

    • Simon M
      2 years ago

      I was (accidentally) listed as an Individual for many months, and also had a Pro seller plan. Am now correctly listed as a Sole Trader, and everything remains exactly the same. Which also addresses another of your comments – it can indeed be changed at a later date with a simple e-mail to Amazon Seller Support.

      However … I’d be cautious in your particular scenario – I’d argue it’s not possible to sell as a “hobby” (or at least, not expect to use that as an excuse to avoid registering with HMRC). Not suggesting you are, of course! If you buy and list something with the intention of selling it for profit, then off to register you probably should go!

      S.

    • Michael
      2 years ago

      Thanks Simon, do you mean that you changed the Amazon Payments category from individual to sole trader later? I was just concerned because it said this cannot be changed later. Did you already have the Pro Seller plan and then registered as an individual under ‘seller catagory’?

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