Why do Vietnamese sellers need to use international financial solutions when selling across borders?

1. Difficulties in cross-border payment infrastructure

Restrictions on international payments from Vietnam:

Many international e-commerce platforms require bank accounts in the countries in which they operate. Vietnamese sellers often do not have bank accounts in the US, UK, or other countries, making receiving payments complicated. Cross-border payment companies provide solutions to help Vietnamese sellers open accounts to receive payments in these markets without having to set up a business and set up a bank account in their home country.

Specifically, by linking with local banks, allowing sellers to create virtual bank accounts on international platforms without having to comply with complicated requirements such as opening a business in the host country. Instead, these companies provide flexible payment accounts, allowing them to receive revenue from e-commerce platforms such as Amazon, TikTok Shop, Etsy, etc. These virtual accounts still ensure full functionality to receive payments, convert currencies and withdraw money to Vietnam without facing legal or tax barriers of the host country.

Example:

A Vietnamese seller wants to sell products on Amazon in the US market, but Amazon requires a US bank account to receive payments. Using LianLian Global's service, the seller can have an anonymous bank account to receive revenue in the US without having to be physically present, thereby easily receiving revenue from Amazon and transferring money to Vietnam.

2. Safety and risk reduction

Security and anti-fraud:

When conducting international transactions, merchants often face many risks related to fraud, financial security, and disputes. Managing international payments can be complicated because merchants do not have full control over the money transfer process and legal protection in other countries. This increases the risk of fraud or loss of assets. 

Financial solutions companies will have a team of experts who monitor transactions and control global risks. They work with leading banks to ensure that all deposits and withdrawals comply with international financial regulations.

Example:

When a transaction takes place, LianLian Global's team will check whether international payment regulations are followed and ensure that the money transfers do not violate international regulations, thereby minimizing legal and financial risks for the seller.

3. Global support and market expansion

Reach global customers:

Cross-border selling is a great opportunity for Vietnamese sellers to access international markets, but it also comes with many challenges related to payment, shipping, and financial compliance. Payment platforms play an important role in providing global support services, helping Vietnamese sellers easily expand their markets without worrying about international barriers.

These platforms offer comprehensive international payment management capabilities, from supporting multiple currencies to optimizing local payment methods across different countries. This allows merchants to reach millions of global customers without having to invest in separate financial infrastructure for each country.

Example:

A seller looking to expand into the European and North American markets can use payment solution providers to receive revenue from customers in these regions in multiple currencies without setting up accounts in each country.

4. Optimize costs and exchange rate

Differences in exchange rate and transaction costs:

When merchants receive payments from international customers, currency conversions and transaction fees can cause financial losses. Payment solution companies offer competitive rates and lower fees than traditional banking services, helping merchants save money. Handling payments yourself can result in higher transaction fees as merchants have to go through multiple intermediaries. Using cross-border payment services centralizes costs to a single point of contact, minimizing transaction costs.

Example:

A Vietnamese seller receives money from a customer in the UK. If using traditional banking services, the seller may have to wait a very long time to complete the transaction. However, with the services of financial solution companies, they can optimize the time to receive money, and they will also enjoy the advantage of competitive exchange rates and lower transaction fees.

5. High flexibility and integration

Easy integration with multiple payment types:

One of the big advantages of international payment platforms is their flexibility and high integration capabilities. When selling across borders, sellers often have to manage multiple sales channels, from e-commerce platforms like Amazon, TikTok Shop, Etsy, to DTC (Direct-to-Consumer) platforms like Shopify. Managing payments from multiple sources can be complicated without a flexible support system.

These payment platforms offer easy integration with multiple e-commerce platforms and payment systems, allowing merchants to consolidate revenue from multiple channels into a single account. This not only makes cash flow management more efficient, but also reduces the complexity of financial operations.

Example:

A Vietnamese seller uses payment solution companies to sell products on Amazon, Etsy, and Shopify. Instead of having to set up separate payment accounts for each platform, the seller can integrate all transactions into a single account on the service they use. This allows them to receive payments from international customers in multiple currencies, while easily tracking and managing all sales in a single interface.

6. Get support from our local team in Vietnam:

Dedicated account manager team:

An important advantage that international payment platforms bring to Vietnamese sellers is dedicated customer care service and support from a professional team in Vietnam. When conducting cross-border transactions, sellers often encounter challenges in legal procedures, tax policies, or simply difficulties in handling issues related to international transactions. Therefore, having a support team right in Vietnam is extremely necessary to resolve these issues quickly and effectively.

Example:

A Vietnamese seller was having trouble receiving payments from international customers via Amazon due to issues with virtual bank accounts. Instead of having to contact the international customer service team, they were able to get direct assistance from LianLian Global’s team in Vietnam. The team provided prompt support, in the local language, and resolved the issue without disrupting the seller’s business processes.

7. Conclusion:

In the context of the increasingly growing international e-commerce market, cross-border sales require Vietnamese sellers to not only provide quality products but also ensure efficiency and safety in financial transactions. These are detailed reasons why Vietnamese sellers really need financial solutions.

Vietnamese sellers not only need payment solutions like LianLian Global to simplify the payment receiving process, but also to optimize costs, protect themselves from risks and effectively expand international markets. These services provide a comprehensive financial ecosystem, helping sellers reach global customers and optimize revenue.

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