Starting a company as a citizen of a banned country. What to do?

29 March 2025 14:01

Navigating Entrepreneurship: Starting a Business as a Citizen of a Sanctioned Country

Embarking on an entrepreneurial journey is both exciting and daunting, especially when geopolitical circumstances present unique challenges. If you’re a software engineer from a sanctioned country aiming to launch an online business serving US and EU consumers, you might be wondering how to establish a legitimate enterprise in these regions. After dedicating seven years to honing your skills, you’ve developed a remarkable digital product, and now it’s time to bring it to the world. However, navigating international regulations and financial systems can be overwhelming. Here’s a structured approach to help you move forward.

Step 1: Establish a Legal Entity

The first step in legitimizing your business is to establish a legal entity. This will provide you with a formal structure within which to operate and make international transactions smoother. One potential route is utilizing services like Stripe Atlas, which assist entrepreneurs in setting up a US-based company for a modest investment. This can serve as an accessible entry point for those from countries facing economic sanctions.

Step 2: Secure a Reliable Payment Gateway

A crucial component of your online business will be the ability to process payments securely and efficiently. Trusted services like Stripe and PayPal are commonly used, and finding a suitable payments API is essential. Given the restrictions in place due to your nationality, carefully researching and selecting a service provider that aligns with your needs is critical. Consulting with legal experts familiar with international trade laws can offer invaluable insights into permissible options based on your unique circumstances.

Step 3: Open a Business Bank Account

Accessing global banking facilities is another hurdle you must overcome. You’ll need a reliable way to manage finances, including paying for essential services like web hosting (AWS) and databases. Many startups consider virtual banking solutions that cater to international clients, providing debit or credit card facilities and enabling seamless transactions. Keep in mind to verify the bank’s policies regarding citizens from sanctioned countries to avoid future inconveniences.

Seeking Guidance

It’s normal to feel uncertain about where to start, but you’re not alone. The entrepreneurial ecosystem is filled with professionals and communities willing to provide guidance. Seeking qualified advisors or joining international entrepreneurship forums can help you identify trustworthy services and understand the process better. Many countries offer resources for foreign entrepreneurs, and your willingness to travel and invest time in forming these connections can prove beneficial.