juvezak
03-27-2007, 05:50 PM
Hi,
You might wanna take a look at this, it may expand your market in Canada, and both the seller and the buyer can benefit from this program. Everything will be paid in advance, shipping, customs, taxes and brokerage fees. So no more complains from UPS or FEDEX that customers wont be willing to pay any extra fees.
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HOW TO SHIP TO CANADA - GUIDE FOR NON-RESIDENT IMPORTERS > BECOMING A NON-RESIDENT IMPORTER
A non-resident importer (NRI) is a company that does not have a presence in Canada, yet imports into Canada from the United States under its own company name. The Canada Border Services Agency (CBSA) developed the non-resident importer concept specifically to help U.S. exporters access Canadian markets. In essence, a non-resident importer is both the exporter from the United States and the importer of record into Canada.
Growing trend to NRI status
Historically, many U.S. companies shied away from doing business in Canada because it required costly investments in physical locations, including manufacturing, sales and distribution facilities. Since the advent of NAFTA, it has become easier for U.S. companies to sell and serve their Canadian clients, without actually being physically present in Canada.
In addition to the advantages NAFTA offers, there are three primary reasons for the explosive growth in number of NRI in recent years.
1. To effectively compete for Canadian market share, businesses must find it as easy and cost-effective to buy from a U.S. supplier as it is from a Canadian supplier. This can be achieved by including logistics costs, e.g. duties and taxes, customs clearance and product movement, in the price of the product and assuming responsibility for shipping directly to Canadian customers. Becoming an NRI, makes this possible.
2. What’s more, Canadian customers are now demanding that their U.S. suppliers ship to them "delivery/duties paid" (DDP). To do this, U.S. suppliers are required to become the importer of record or non-resident importer. Suppliers not set up as an NRI inevitably lose out on potentially lucrative contracts in Canada.
3. Finally, many U.S. companies looking for ways to reduce operating expenses in Canada consider NRI status an attractive option. Some companies have closed down their Canadian operations and chosen to operate as an NRI, adopting a more cost-effective supply-chain approach. Acting as a Canadian importer under NRI status, they are free to develop new supply chains to the Canadian market while maintaining high levels of customer service.
Increasingly, Canadian market penetration is being affected by the distribution channel of your products.
Business number
In order to set up a corporate account with the CBSA – the first step to becoming a non-resident importer – you need to apply for a business number (BN). This unique number is required to import goods into Canada and is often referred to as the single business registration number (SBRN), as it can incorporate Canada’s Corporate Income Tax, Goods and Services Tax (GST), payroll deduction and import/export numbers.
Applying for a Business Number
To apply for a business number and be able to import into Canada, contact the Canada Border Services Agency (CBSA) office nearest you and ask for Form RC1 – Request for a Business Number (BN). This form is also available from the CBSA’s web site, Publications and forms page. After you have completed the form, it must be returned to the CBSA along with a copy of your Certificate of Incorporation. You will receive an account, free of charge, as soon as the CBSA has processed your request.
Your 15-digit business number will consist of nine digits to identify your business, followed by two letters and four digits to identify each account. The two letters identify the type of account you hold: RM refers to your import/export account while RT refers to your GST account.
For example, your import/export account would look like this:
123456789RM0002
You must show your import/export account number on all release documents and final accounting packages for most shipments entering Canada. If this number is not used for two years, it will expire. You can, however, reactivate it by contacting any CBSA office. You must report any changes in your status, i.e. name or address change, to the CBSA as soon as possible.
As part of Livingston’s Optima Export Program, we can also help you apply for a business number.
Maintenance of records
CBSA regulations stipulate that proper records must be maintained in Canada for a period of six years plus the current year of the importation of goods. All records for transactions relating to the origin, purchase, importation, costs, value, payment and disposal of goods in Canada must be kept in such a manner that CBSA officers are able to perform a detailed audit of the records.
Non-resident importers may have a third party, such as a customs broker, maintain these records for you in Canada, or you can maintain them yourself in the United States. If you decide to maintain your own records in the U.S., you must apply to the CBSA for permission to do so. If the CBSA decides to audit your records and you are maintaining these outside Canada, you will be required to pay all related expenses, including travel and accommodation, for customs officers to conduct the audit at your premises in the U.S., for the entire duration of the audit.
© 2007 Livingston International Inc. All rights reserved. Information subject to change
Thank you for looking! :smoke:
You might wanna take a look at this, it may expand your market in Canada, and both the seller and the buyer can benefit from this program. Everything will be paid in advance, shipping, customs, taxes and brokerage fees. So no more complains from UPS or FEDEX that customers wont be willing to pay any extra fees.
--------------------------------------------------------------------------
HOW TO SHIP TO CANADA - GUIDE FOR NON-RESIDENT IMPORTERS > BECOMING A NON-RESIDENT IMPORTER
A non-resident importer (NRI) is a company that does not have a presence in Canada, yet imports into Canada from the United States under its own company name. The Canada Border Services Agency (CBSA) developed the non-resident importer concept specifically to help U.S. exporters access Canadian markets. In essence, a non-resident importer is both the exporter from the United States and the importer of record into Canada.
Growing trend to NRI status
Historically, many U.S. companies shied away from doing business in Canada because it required costly investments in physical locations, including manufacturing, sales and distribution facilities. Since the advent of NAFTA, it has become easier for U.S. companies to sell and serve their Canadian clients, without actually being physically present in Canada.
In addition to the advantages NAFTA offers, there are three primary reasons for the explosive growth in number of NRI in recent years.
1. To effectively compete for Canadian market share, businesses must find it as easy and cost-effective to buy from a U.S. supplier as it is from a Canadian supplier. This can be achieved by including logistics costs, e.g. duties and taxes, customs clearance and product movement, in the price of the product and assuming responsibility for shipping directly to Canadian customers. Becoming an NRI, makes this possible.
2. What’s more, Canadian customers are now demanding that their U.S. suppliers ship to them "delivery/duties paid" (DDP). To do this, U.S. suppliers are required to become the importer of record or non-resident importer. Suppliers not set up as an NRI inevitably lose out on potentially lucrative contracts in Canada.
3. Finally, many U.S. companies looking for ways to reduce operating expenses in Canada consider NRI status an attractive option. Some companies have closed down their Canadian operations and chosen to operate as an NRI, adopting a more cost-effective supply-chain approach. Acting as a Canadian importer under NRI status, they are free to develop new supply chains to the Canadian market while maintaining high levels of customer service.
Increasingly, Canadian market penetration is being affected by the distribution channel of your products.
Business number
In order to set up a corporate account with the CBSA – the first step to becoming a non-resident importer – you need to apply for a business number (BN). This unique number is required to import goods into Canada and is often referred to as the single business registration number (SBRN), as it can incorporate Canada’s Corporate Income Tax, Goods and Services Tax (GST), payroll deduction and import/export numbers.
Applying for a Business Number
To apply for a business number and be able to import into Canada, contact the Canada Border Services Agency (CBSA) office nearest you and ask for Form RC1 – Request for a Business Number (BN). This form is also available from the CBSA’s web site, Publications and forms page. After you have completed the form, it must be returned to the CBSA along with a copy of your Certificate of Incorporation. You will receive an account, free of charge, as soon as the CBSA has processed your request.
Your 15-digit business number will consist of nine digits to identify your business, followed by two letters and four digits to identify each account. The two letters identify the type of account you hold: RM refers to your import/export account while RT refers to your GST account.
For example, your import/export account would look like this:
123456789RM0002
You must show your import/export account number on all release documents and final accounting packages for most shipments entering Canada. If this number is not used for two years, it will expire. You can, however, reactivate it by contacting any CBSA office. You must report any changes in your status, i.e. name or address change, to the CBSA as soon as possible.
As part of Livingston’s Optima Export Program, we can also help you apply for a business number.
Maintenance of records
CBSA regulations stipulate that proper records must be maintained in Canada for a period of six years plus the current year of the importation of goods. All records for transactions relating to the origin, purchase, importation, costs, value, payment and disposal of goods in Canada must be kept in such a manner that CBSA officers are able to perform a detailed audit of the records.
Non-resident importers may have a third party, such as a customs broker, maintain these records for you in Canada, or you can maintain them yourself in the United States. If you decide to maintain your own records in the U.S., you must apply to the CBSA for permission to do so. If the CBSA decides to audit your records and you are maintaining these outside Canada, you will be required to pay all related expenses, including travel and accommodation, for customs officers to conduct the audit at your premises in the U.S., for the entire duration of the audit.
© 2007 Livingston International Inc. All rights reserved. Information subject to change
Thank you for looking! :smoke: