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You have 2 options: 1. Hire them as "freelancer/self employed" and let them invoice your company. They can either invoice as individuals or through their own c
by codegeek 8y ago
You have 2 options:
1. Hire them as "freelancer/self employed" and let them invoice your company. They can either invoice as individuals or through their own company if setup. But laws get tricky depending on countries. For example, if you are an employer-based out of the US and the freelancer is NOT a US person (US person has a specific definition) , you need them to fill out something called W8-BEN form but you need to talk to a CPA/tax lawyer to determine if that's the right setup.
2. If you have more than 1 person from the same remote country, you may have to setup a subsidiary of some sort which again depends on where your business is setup and where the remote team is setup. That subsidiary can then still provide services to the parent company etc. But it then adds tons of overhead for the remote country laws, business setup and also something called "Transfer Pricing". Can get complex for smaller companies. But the advantage of this option is that you have an official local company that can pay employees on payroll, follow the local employment and tax laws etc.
- konschubert 8y agoThat's seems pretty convoluted. Are the any companies that can take care of these things for you?
- konschubert 8y agoApparently there is this: https://news.ycombinator.com/item?id=18170086 https://news.ycombinator.com/item?id=18170086 EDIT: I think the comment is wrong actually, trinet only offers this service for companies and employees in the US.