How a No-Deal Brexit Could Impact Your Ecommerce Business

The UK was scheduled to leave on March 29, 2019, two years after it started the exit process. This initial date has obviously come and gone. The withdrawal agreement reached between the EU and UK has been rejected three times by UK MPs.

An extension of the Article 50 process was granted until April 12, 2019, but was then extended until October 31, 2019. Some say the UK will leave long before this date, once the withdrawal agreement is ratified by the UK and the EU. However, thus far, no agreement has been reached. The withdrawal deal negotiated by Prime Minister Theresa May with the EU has been rejected three times by the British parliament.

“Nobody knows how Brexit will end. This is creating great uncertainty. There is still a fear that there will be a hard Brexit without any withdrawal treaty arrangements,” commented European Commission President Jean-Claude Juncker.

He went on to say, “I hope that the British will make use of this time and not waste it again. We cannot keep on putting off the withdrawal date indefinitely. The best solution would be for the British to adopt the Withdrawal Agreement during the extra time that has been agreed.”

The Worst-Case Scenario

For ecommerce businesses, the worst-case scenario would be if the UK left without any deal on the table. This would cause sever disruptions on a shorter-term basis for businesses that conduct their business in the UK. It would also seriously affect companies that export goods or services into the EU.

If you are one of the many business owners concerned about a no-deal Brexit, there are things you can do to prepare yourself. But first, it’s important to understand what to expect if there is a failure to reach a deal for the UK’s exit.

What to Expect

  • Customs – You will have to deal with customs formalities and longer waiting times at the border.
  • Declaration of exports – You will more than likely be required to inform your country’s Customs Control that you are exporting goods outside the EU.
  • VAT return changes – You will encounter other VAT rules that apply to the export of goods to non-EU countries.
  • Export documents – When doing business internationally, you will have to prepare and check all the required documents required by Customs.
  • Product requirements – Does your business export goods? You will have to keep in mind that specific product requirements might change.

Are you searching for services that can help you prepare and remain competitive in the event of a no-deal Brexit? If so, the information and reviews – like worldpay review – at Best Payment Providers can help you. Browse the latest industry news and updates.

Author Bio:Payment industry expert Taylor Cole is a passionate merchant account expert who understands the complicated world of accepting credit and debit cards at your business. His understanding of the industry and worldpay review has helped thousands of business owners save money and time.