HOW TO START AN EXPORT IMPORT BUSINESS IN ALABAMA

How To Start Export Import Business in Alabama, How to incorporate in Alabama, Alabama tax and registration rules. Alabama investing opportunities. Alabama's top export and import goods

How To Start Export Import Business

USA is the leading importer country and  second top exporter country in the world. The interesting thinh is only %10 of US companies working in export business so yhere is a great opportunities in this field. Before you start an export or/and import business , you need to build up a company. So the first step could be learn how to incorporating in Alabama. Afterthen you decide to choose the right way to manage your export / import business. You can organize all things by yourself if you have enough knowledge and experience about export / import business.

1.way: You can get support from foreign trade companies as below:

Export management company (EMC) : EMCs usually specialize by foreign market or product type. They handle all steps on behalf of you. If you have a proper product its easy to find and deal with EMC. EMC working style as; commission, salary or retainer plus commission.

Export trading company (ETC) : They are searching the foreign buyers (importers) and match the domestic producers with them. These companies ETC works on a commission basis.

2.way: You can sell your goods directly to foreign

Import / export Merchant : These companies buying the goods from domestic producers and sell them on abroad with their profits. So all risks and charges belong to them. Import / export companies could be located at foreign country. Its better to work with exworks delivery term if you dont want to organize customs clearence or transportation process.

Import / export company : Its the main goal if you want to learn how to do import export business and grow your company. If you want to earn main profit without sharing or commission to reseller, broker of any kind of middleman.

Incorporating in Alabama

If you plan to start any business, the first step should be incorporating in Alabama. So you need to know, how to incorporate in Alabama? and also get an information that; what you do
Corporate Name: You should check the corporate name if its already registered or not. 
Your company name also cant be similar with any older registered company.

Your company name should include; “Corporation” or “incorporated”. If its work related with finance and banking sector, the company name also may include; “banking” or “bankers”.

You have to prepare the “Articles of Incorporation Requirements” including the following details:

• Minimum one person as a directory of company
• You dont have to residence in Alabama to open a corporate in Alabama
• You should be least 19 years or older to be a director of a company
• You dont need to list any officer, manager or worker of the company in main article
• Each year, you should file an annual report with the secretary of state latest 15th march
• This documentation cost takes 10 USD and its mandatory for domestic corporations and also for foreign corporations.

How to Form a Corporation in Alabama

1. Choose a Corporate Name and check if its register or not

2. Prepare a Certificate of Formation: http://sos.alabama.gov/downloads/corpForms.aspx

3. Appoint a Registered Agent: http://sos.alabama.gov/downloads/corpForms.aspx

4. Set Up a Corporate Records Book

5. Prepare Corporate Bylaws

6. Appoint Initial Corporate Directors

7. Hold Your First Board of Directors Meeting

8. Comply with Alabama Tax Requirements

Registration Fees in Alabama:

There is a franchise tax for franchise companies

All domestic and foreign companies should pay 10 USD registration fee for each 1,000 USD of capital stock.

The maximum registration fee cant be higher tan 50 USD:

• Less than 25000 USD capital stock: 10 USD annual regisration fee
• Between 25000 – 50000 USD capital stock: 20 USD annual regisration fee
• Between 50000 – 100000 USD capital stock: 30 USD annual regisration fee
• Over 100000 USD capital stock: 50 USD annual regisration fee

Incorporating in Alabama takes near 200 USD. It covers "100 USD filing fee", "30 USD reservation fee", "60 USD probate judge fee" 

Tax Rates in Alabama State (AL)

Base state sales tax rate: %4

Local rate range: %0 - 7%

Total rate range: %4 - %11

Tax rate is changed in Alabama state depends on city municipalities. Forexample in Birmingham and Montgomery cities, the tax rate is %11 besides each city in Alabama could be charge additional sales tax. Its better to check all city and town tax rates before you start up any business in Alabama.

Alabama Export Products

Alabama exports automobile veichles and parts to more than 85 countries in a year. The statistics show that over 300,000 cars produce in Alabama a year. The automotive is the leading sector and more than 4000 employe.

If you produce any automobile parts or product related with automobile and already working as a domestic buyer or seller, its better to search how to export your goods in global market and if any chance to make more profit on abroad.

Automobile factories in Alabama: Hyundai, Honda, Toyota, Mercedes-Benz, Autocar, New flyer.

Alabama’s Top 5 Export Products

• Automobiles : 7.7 billion USD (35% of Alabama’s total exports)
• Coal : 1.3 billion USD
• Aircraft including engines, parts : 1.1 billion USD
• Large spark-ignition engines : 555 million USD
• Chemical woodpulp : 481 million USD

Alabama’s Top 5 Exporting Country

• Canada : 4.1 billion USD
• China : 3.6 billion USD
• Germany : 2.94 billion USD
• Mexico : 2.9 billion USD
• Japan : 683 million USD