How ThemeKraft (BuddyForms) got rid of their EU VAT headache w/ Freemius

How ThemeKraft (BuddyForms) got rid of their EU VAT headache w/ Freemius


My name is Sven Lehnert, I’m the CEO of ThemeKraft. We create themes and plugins for WordPress
and Freemius help us to bring our products into the WordPress ecosystem, and takes a
lot of hassle from us, because we are a Europe based company, coming from Germany. In Europe, we have a huge VAT problem. We need to check every VAT and calculate the
VAT for each country. With Freemius we only need to write ourselves
an invoice, once a month, because it’s a US company, and they sell our themes and plugins
in their name. It takes a lot of hassle out of our business. Freemius offers a new system. Before it was not common to have software
as a service (SaaS) in the WordPress ecosystem. Plugins got sold in the beginning for like
a lifetime. You once for all of your life. Then, the developers find out that this does
not work. You need to do maintenance of the plugin. So, they changed to yearly/annual payments. And Freemius starts now with monthly payments,
so people can test plugins and if they decide it works for them well – they can upgrade
to annual or lifetime. We are really happy we found Freemius and
it’s working nicely.

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