How to receive affiliate comissions???

[esocarras1]

Hi, I am new to this casino affiliate thing. I am a webmaster but this is my first venture into this area. In all my research the only ting that is not clear to me is how do I receive the payments for my affiliate commissions?
Do I use a service like Netteller, should I use more than one, is there any legal issues regarding receiving payments for advertising an illegal activity (at least where I live in the US)?

This seems to be a real taboo issue that no one wants to talk about or maybe I just can't find it. I am about to start my site but want to make sure I am doing everything right and legally. I want a long term business and don't want any trouble from the IRS etc.

I would really appreciate anyones help on this, answers, links, whatever you can so i can clear this doubt.

Thanks, much appreciated!

[mojo]

Welcome esocarras1. It is difficult to find info on this subject because of the current climate in the US.

Even though the UIEGA is unenforcable, banks and ewallet are cautious and many are closed to US players and affiliates. Neteller, for example, is not an option for US affiliates.

As an online marketing/salesperson, you would want to set up a business so that you can claim your earnings and pay taxes to Uncle Sam. I can't say 100% that affiliating is completly legal in the US but the law is so unclear and undefined that anyone would be hard pressed to make a case. It was poorly thought out but effective to put a scare in everyone.

I recommend you do research and find trustworthy affiliate programs to work with. When you begin earning, your affiliate managers will guide you with payment options.

I know that doesn't answer all of your questions but I hope it helped a little bit.

Best of luck.

[itay]

open an offshore account...could be a simple solution for you

[LiveCasinoPartners]

As an online marketing/salesperson, you would want to set up a business so that you can claim your earnings and pay taxes to Uncle Sam. I can't say 100% that affiliating is completly legal in the US but the law is so unclear and undefined that anyone would be hard pressed to make a case.

I agree, paying taxes is important, even though it's pretty painful. Also, I've made a personal choice to market in the regulated UK market. If your starting you might to think about it.

[mojo]

open an offshore account...could be a simple solution for you

No offense itay but it isn't that simple. Since this is the freshman forum, I don't think that is the best advice. Opening an offshore account takes some research and money and perhaps an overseas trip. Just to start lol. I learned that myself here at the GPWA.

I recommend always doing lots of research and reading.

[Cherylann | Kiron]

Hey esocarras1

If you have any questions re the best payment method for your area please feel free to email me on cherylann@playshare.com to discuss.

Best regards,
Cherylann

[esocarras1]

Thanks everyone for the responses, now I think I am even more confused though, LOL!!

No seriously, WagerX you mentioned marketing to regulated countries but how does this help the situation with the payment issues. In other words, I know i will be marketing to countries where gaming/gambling is legal but will i sill have issues with collecting my commissions (wayyyyyyyy down the line of course) being a U.S. company?


Does it matter that i use a U.S. webhosting company, is that taboo, or should i go with a non-U.S. company?
Does it make a difference in legal status ?


I kind of figured that the 2006 law had something to do with the fact that I can't find that much info and I really appreciate you guys chiming in on this. This seems to be my biggest hurdle as to when to go live with my site and where. I fully plan to pay all taxes and the likes, I just don't want to overlook anything else. I am still a bit away from going live but need to make sure I know what i am getting into before i do because i want this to be successful.

Thanks.

[esocarras1]

"As an online marketing/salesperson, you would want to set up a business so that you can claim your earnings and pay taxes to Uncle Sam. I can't say 100% that affiliating is completly legal in the US but the law is so unclear and undefined that anyone would be hard pressed to make a case. It was poorly thought out but effective to put a scare in everyone."


Mojo, so are there any issues that i shoud be aware of when setting up the business (I am guessing the parent company). Could this business be set up in the US or should it be set up overseas (not even sure how to do that though)?

Your answers or refering me to some links would help greatly.

Thanks.

[TheGooner]

Hi Esocarras1 and welcome to the GPWA.

First off I should point out that I'm not based in the US, so I can't be specific about the exact procedures but here are a few pointers on affiliating.

1) There are lots of US based affiliates who promote many things from Forex, to gambling, to books and lots of different stuff in-between.

Nothing in the UIGEA says that being an affiliate is illegal, mind you if you've been reading this site and the APCW then you'll also be aware that nothing in the UIGEA actually says playing poker is illegal - but that has not stopped the US Government issuing mis-communications saying that it is.

The big issue seems to be about perceived loss of revenue, and missing tax revenues - rather than gabling itself - as land based gaming is still encouraged.

2) However, if you are promoting gambling specificially, then given the somewhat hazy US stance on all things gambling it's probably better to describe your business as "internet marketting" or "internet promotions" when discussing things with the bank and uncle sam.

It's all true - you're just not specifically mentioning the product.


3) A lot of affiliates start off without incorporating a company - create a website, get a few products on, build up links and traffic etc. Just keep a record of income and expense and make sure that you're squeaky clean on your taxes.

4) After the first year or so, we can hope that you are seeing a regular profit stream every month, and then it's probably time to worry about creating a local company to cover all your activities.

Again I'd just stick to a generic lable like advertising, promotions, or even internet consultancy to describe what you do - the more generic the better.

hope that helps mate.

[mojo]

Yes Gooner is correct. You'll want to see an accountant and be forthright with him/her. They will have the best advice on which way you want to start such as sole proprietorship etc.

Good topic. I was very confused about this stuff too at one point. BTW G, I finally did get it going the right way thanks to your help and others here.

[esocarras1]

Guys thanks a bunch on this!!!

While I am sure that this will not be my last post (far from it) this really helps me get going in the right direction. Now it's all clearer to me on the financial and legal side and I can concentrate on the website content and my target audience.

This forum is great, thanks.

[bradz21]

Hi and welcome to GPWA.

Last year I was really stressing the same issue. It's was hard to find an accountant that understands the laws and is willing to give you good advise. Well I found one and picked his brain for hours. Basically what I concluded from the whole conversation in a nut shell....Make sure to pay your taxes on all money you earn! They really aren't concerned where the money is coming from because it is B2B, but you better expect that they want their cut.

Brad

[esocarras1]

Thanks Brad, That's been made clear to me and trust me I'm planning on keeping imaculate records and declare it all cause it's a very volatile industry for the feds and I don't need problems in my life.

This forum is great as i've gotten a lot of great information fromthe members.

[Vrindavan]

not so sure US situation

here it would be
Bank wire
cheque
Affiliate Speedpay / Affiliate Speed Pay
EcoCard
MoneyBookers
Neteller