Finance tech firm offers door for non-US startups

February 24, 2016
John Collison, President an co-founder of Stripe speaks on October 5, 2015 in Philadelphia, Pennsylvania
John Collison, President an co-founder of Stripe speaks on October 5, 2015 in Philadelphia, Pennsylvania

Online payments startup Stripe on Wednesday set out to give Internet entrepreneurs around the world behind-the-scenes business benefits of locating in the United States.

The San Francisco-based finance tech firm which handles customer payments for websites or mobile apps unveiled its new service called Atlas.

The Atlas service lets entrepreneurs anywhere set up US corporations, bank accounts and more without ever having to leave their home countries.

"Atlas is a toolkit to start a global business," Stripe co-founder and president John Collison told AFP.

"If an entrepreneur is based in Egypt, Brazil, Pakistan—no matter where—they can get a US corporation, a US bank account, a US Stripe account, and expertise to answer their questions."

Services provided by Atlas include tax advice; legal guidance, and tools and resources from cloud-computing titan Amazon Web Services, according to Stripe.

Atlas involves an online process intended to remove hurdles from an incorporation process that was already in place but which involved cost, hassle, and time to navigate the system, Collison said.

"If you wanted to do this before now, you most likely had to hop a plane, fly to the US and rack up legal bills," Collison said.

"We are not changing the framework, we are just making it easier to get started."

Startups in developing countries, for example, will be able to tap into US banking resources and online commerce capabilities that might surpass those available at home.

Ideally, Silicon Valley-style energy will spread as startups thrive and grow into local success stories instead of entrepreneurs resorting to coming to the United States, Collison reasoned.

"We think there is a lot of talent in places outside Silicon Valley," he said.

"We would like to see successful businesses started by people in these countries."

Stripe has tested Atlas with a few startups, and launched a private 'beta' test phase on Wednesday to make sure it is running smoothly before opening it more broadly.

"We think this is going to be a learning experience," Collison said.

Stripe has spread to 24 countries since launching in late 2011. It is among a number of financial technology startups and one of the tech "unicorns," venture-backed firms with a valuation over $1 billion.

The list of operations using Stripe for online payments included The Guardian newspaper; cloud-computing powerhouse Salesforce, and US presidential campaigns seeking donations.

Stripe, founded by Irish brothers John and Patrick Collison, makes its money by getting a small percentage of online transactions.

"We only make money when they make money," Collison said.

"We are incentivized to support growing businesses."

Explore further: New document service aims to lower startup costs

Related Stories

The gender gap in venture capital explored

January 8, 2016

Gender bias in venture capital, particularly in Silicon Valley, has grabbed a number of headlines with stories of challenges that women-led startups face.

'Unicorns' may be mauled by bear market

January 24, 2016

After a year in which free-flowing capital fueled unprecedented growth in so-called tech "unicorns," the sector is bracing for a slowdown which could thin the herd.

Recommended for you

Inferring urban travel patterns from cellphone data

August 29, 2016

In making decisions about infrastructure development and resource allocation, city planners rely on models of how people move through their cities, on foot, in cars, and on public transportation. Those models are largely ...

How machine learning can help with voice disorders

August 29, 2016

There's no human instinct more basic than speech, and yet, for many people, talking can be taxing. 1 in 14 working-age Americans suffer from voice disorders that are often associated with abnormal vocal behaviors - some of ...

Apple issues update after cyber weapon captured

August 26, 2016

Apple iPhone owners on Friday were urged to install a quickly released security update after a sophisticated attack on an Emirati dissident exposed vulnerabilities targeted by cyber arms dealers.


Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.