As advanced in a previous article, Brexit will have a huge impact on e-commerce. Indeed, until the 31st
of December of 2020, cross-border trade between the UK and EU will keep going
as normal. However, after that, we are quite unsure of how things are going to
be.
It is hoped by many that the UK and the EU are able to reach
a mutually beneficial trade agreement since business operations between both
parties are valued into the hundreds of billions of euros. The end of the year
will also see a change in travel regulations which currently allow people in
both regions to cross borders without any hassle. This means that until then, e-commerce merchants can live either in
the UK or the EU and may conduct trade wherever they want to. However, after
that, they have to consider changing their residence to a place where they can
legally work and they must register their business somewhere it can be a legal
entity.
Many believe that the e-commerce sector is going to suffer
the most if a no-deal Brexit
takes place. This is because a lot of small and medium enterprises are able to
keep trading because there is no tariff barriers. This might be imposed
next year if negotiations are not conducted properly.
A mutually beneficial trade agreement must be reached ©
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