Benefits of connecting a local number for foreign businesses

When opening an account for a foreign company, it is very important to consider modern banking circumstances. Our practice shows that a local corporate number is an integral part of the successful functioning of a company for two key reasons, which we will discuss in our article using the example of a company in the USA.

So, what exactly do you need a local phone number for:

1) To open a business account with a local bank: Most reputable financial institutions require the company's local phone number, which will be used to receive registration codes, conduct transactions, and contact customers.

2) To confirm the company's substance: It is necessary to demonstrate the company's sufficient presence in the country where the account was opened, and the local number is another plus to your reputation as a reliable company. Substance, depending on the jurisdiction and specifics of the work, also includes the presence of a real (not mass) legal address, local director and employees, mail, website, and other characteristics. We will tell you more about the substance and its importance here ( 

There are several options for purchasing a number in the US, and choosing the one that best suits your needs is important. Let's look at these popular types of SIM cards in the American cellular market:

1) IP telephony (voice over Internet): Thanks to VOIP (Voice over Internet Protocol) technology, you can make calls through the application using a stable Internet connection. It is the most economical method of communication (about $9 per month). However, not all financial institutions accept SIM cards since they may not receive bank messages. We recommend that clients purchase this option only if calls and work will be made within the same state.

2) Prepaid cards: prepaid mobile communications do not require a contract with a cellular company, so bills for mobile communications services will not be sent to your legal address. However, such SIM cards often only work in the United States, which is important for many international businesses.

3) Traditional SIM cards are more expensive (about $50 per month) but accepted by all banks and can be used for roaming. An important advantage of such cards is receiving mobile bills to a legal address, which can be used as proof of address in banks and other corporate processes. As lawyers, we constantly face requests from banks to confirm the company's address, and often, such an account is sufficient.

Despite the apparent simplicity of the task, choosing and purchasing a SIM card is a more complex process. SIM cards in the USA for individuals can only be purchased in person. If you do not have this opportunity, we offer remote registration of a company and the purchase of a prepaid SIM card in the company's name. Once you have received your corporate tax number, you can use it to purchase a SIM card.

In the UK, the mobile market is similar to the US model, with various operators such as O2, Vodafone, BT Mobile, and others, and users have a choice between contract and prepaid mobile services. Some prepaid SIM cards support roaming, while others do not. To start using it, you often need to activate your SIM card. A passport, proof of address, and bank details are required to enter into a long-term contract, which is usually more profitable than prepaid services.

In the UAE, non-residents have access to only a tourist SIM card, the validity of which, depending on the tariff, lasts from a month to six months, and then it is disabled. A real SIM card becomes possible upon arrival after obtaining a resident visa (Emirates ID) and concluding a contract. There are only two mobile operators in the country - Etisalat and Du. A tourist SIM card can be purchased immediately upon arrival at the airport.

Getting a local phone number may seem like a simple task, but a lot depends on making the right choice and understanding the ins and outs of the process. In practice, difficulties may arise: a person's physical presence is required, the selected number may not meet the bank's requirements, or you may end up with an expensive tariff. In addition to organizational inconveniences, a company with communication or number problems risks encountering difficulties in the future, especially when interacting with banks.

At Antwort Law, we understand how important every detailed decision is when opening an account and servicing a company with a bank, so we offer you information on how to choose a local number and a full range of legal services to launch your business successfully. Our professionals are ready to support you at every stage, providing reliable legal support. Don't limit yourself to knowledge - trust the experience of Antwort Law.

Lidia Ivanova

International Lawyer
Antwort Law

Why do you need a local phone number for a business in another country?
Most often, it is necessary to open a corporate account abroad. Local banks require it to register an account and conduct transactions. Also, the local number is another confirmation of the company’s presence in the country, which increases its reputation and reliability for bankers.
What types of SIM cards are preferable for businesses in the USA?
VoIP, prepaid cards, and traditional SIM cards are popular in the United States. Each option has its benefits, and the choice depends on your business needs. VOIP is an economical option, but not all banks accept such SIM cards. It is recommended to use them only for domestic calls within the same state. Prepaid do not require a contract, but most often do not have roaming charges. Traditional SIM cards (about $50 per month) are accepted by all banks, support roaming, and can be used to verify your address with banks.
How to get a local phone number in the UAE for a non-resident?
In the UAE, only tourist SIM cards are available to non-residents, which you can purchase right at the airport. Depending on the tariff, they will work from a month to six months. A full-fledged SIM card requires arrival in the country, obtaining a resident visa (Emirates ID) and concluding a long-term contract with the operator.
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