Perpetual travelers and digital nomads see the world as a borderless environment. They seek to establish their life and business where it fits best, while pursuing local rules and international standards. As such, international business planning may involve company formation and compliance with, at times, different enforceable codes of conduct. The scope and nature of cross border activities does not always allow international businesses to freely operate within domestic borders. Therefore, one should carefully study the rules to engage in activities in the designated jurisdictions prior to its business launch in a specific country.
A business itself, as well as the activities must be taken into consideration to establish the appropriate infrastructure. Regulators and tax authorities place restrictions on international business activities and may impose sanctions on violations. Since theories of perpetual traveling and capitalist nomadism are relatively new to society, not all countries have a tailored framework for such alternative lifestyles. As such, practitioners need to act with care to avoid irresponsible behavior and repercussions.
Foreign or alien penetration of a local or single market may require extra efforts. For example, the European Union aims to protect the privacy of its citizens. Therefore, the General Data Protection Regulation – known as the GDPR – addresses several key points for data and privacy protection to safeguard smooth market entry. Administration, duties and taxation are other hot items, location independent business people must pay attention to.
Running a global business, even online, can be challenging but when executed properly may bring interesting rewards. Perpetual travelers and digital nomads often utilize the internet to build passive income. Contrary to active income that requires a direct relationship between work and payment, passive income is an ongoing reward for previous work. Authors, actors and musicians often receive royalties on a periodic basis, landlords receive rent, and internet marketeers can receive periodic payments from advertising and affiliate networks. Professional affiliate marketeers may take advantage of the location independent lifestyle but should consider well-grounded corporate infrastructures and straightforward company formation.