RoyaltEase
Executive Summary
Vision Statement
Empower every creator to keep more of what they earn, regardless of borders—making global self-publishing and freelancing truly accessible and financially fair.
Problem Summary
International self-published authors and freelancers often lose a significant portion of their earnings due to double taxation on royalties received from US-based platforms like Amazon KDP. This occurs when their home country lacks a tax treaty with the US, resulting in a 30% withholding tax by the US and additional income tax in their own country, sometimes totaling nearly 60% of gross income. The Reddit post and comments highlight both the confusion and frustration around these regulations, as well as the lack of accessible, actionable guidance for affected creators.
Proposed Solution
RoyaltEase is a SaaS platform designed to help international authors and freelancers navigate complex cross-border royalty taxation. It provides tailored guidance on foreign tax credits, step-by-step entity structuring (including when and how to use LLCs or corporations), and compliance workflows. The platform includes up-to-date treaty lookup tools, scenario calculators, document generation (e.g., W-8BEN forms), and a curated knowledge base to minimize double taxation and maximize take-home pay.
Market Analysis
Target Audience
The ideal user is an international self-published author or freelancer (e.g., writers, designers, musicians) earning royalties or freelance income from US-based platforms like Amazon KDP, Audible, Upwork, or Fiverr. They are typically based in countries without a US tax treaty (e.g., Brazil, India, parts of Africa and Asia), are moderately tech-savvy, and are highly motivated to maximize their net income. Many are first-time earners navigating cross-border taxation for the first time, often without access to affordable professional tax advice.
Niche Validation
The Reddit post provides strong validation of the pain point: the OP is shocked by the effective 57.5% tax rate and finds little actionable guidance. Multiple highly upvoted comments confirm the issue is widespread, especially in countries like Brazil. The broader web confirms that many non-US authors are caught off guard by the 30% US withholding and double taxation, with significant confusion and misinformation[1][2][5]. This is an underserved niche with high financial stakes.
Google Trends Keywords
Market Size Estimation
The Serviceable Available Market focuses on creators in countries without US tax treaties. For example, Brazil alone has over 500,000 self-published authors and millions of freelancers. Including other major non-treaty countries, the SAM is likely in the 2–5 million user range.
The Serviceable Obtainable Market for an initial launch could target 1–5% of the SAM (20,000–100,000 users), focusing on English- and Portuguese-speaking creators in Brazil, India, and similar markets.
The Total Addressable Market includes all non-US self-published authors and freelancers earning royalties from US-based platforms. According to Amazon, over 2 million books are self-published annually, with a significant proportion from outside the US. The global freelance workforce is estimated at over 80 million, with a large segment receiving US-sourced income.
Competitive Landscape
There are few direct competitors. Some global tax advisory firms (e.g., Nomad Capitalist, Greenback Expat Tax Services) offer personalized advice, but at premium prices. DIY guides exist (Kindlepreneur, BookBeam), but lack automation and scenario planning. No SaaS platform currently automates treaty lookup, FTC eligibility, or provides entity structuring workflows for this niche.
Product Requirements
User Stories
As an international self-published author, I want to calculate my expected tax withholding and double taxation risk before publishing.
As a freelancer in a non-treaty country, I want to understand if I qualify for a Foreign Tax Credit and how to claim it.
As a creator, I want to generate the correct tax forms (e.g., W-8BEN) and entity setup documents easily.
As a user, I want to access country-specific guides and compliance checklists.
MVP Feature Set
Tax treaty lookup tool by country
Withholding and double-taxation scenario calculator
Step-by-step foreign tax credit eligibility workflow
Automated generation of W-8BEN and related forms
Knowledge base of compliance guides and FAQs
Non-Functional Requirements
GDPR-compliant data storage and processing
Multi-language support (initially English and Portuguese)
High system uptime and reliability
Secure handling of sensitive personal and tax information
Key Performance Indicators
Number of registered users from non-treaty countries
Monthly active users running tax calculations
Number of forms/documents generated
User-reported reduction in effective tax rate
Customer satisfaction (NPS score)
Data Visualizations
Visual Analysis Summary
The following chart visualizes the impact of double taxation on royalties for authors in countries without a US tax treaty, compared to those with a treaty and US residents. This highlights the dramatic difference in take-home pay and the financial urgency for a solution.
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Go-to-Market Strategy
Core Marketing Message
Stop losing up to 60% of your royalties to double taxation. RoyaltEase gives you the tools and guidance to keep more of what you earn—no matter where you live.
Initial Launch Channels
- Targeted posts and AMAs in subreddits like r/selfpublish, r/freelance, and r/KindlePublishing
- Launch on Product Hunt with a focus on the international creator community
- Partner with YouTube and TikTok influencers who create content about self-publishing and freelancing taxes
Strategic Metrics
Problem Urgency
High
Solution Complexity
Medium
Defensibility Moat
Defensibility is driven by up-to-date regulatory knowledge, integrations with tax authorities, and a curated, scenario-based knowledge base. Building trust and partnerships with creator platforms and tax professionals can create network effects and high switching costs.
Source Post Metrics
Business Strategy
Monetization Strategy
A freemium model: free access to treaty lookup tools and basic guides; subscription ($10–$30/month) for advanced calculators, entity structuring workflows, document generation, and priority support. Potential for one-off consulting upsells or partnerships with tax professionals.
Financial Projections
If 2,000 users convert to a $20/month subscription within the first 18 months, potential MRR is $40,000. With modest growth and upsells, annual revenue could exceed $600,000. These estimates assume strong SEO, content marketing, and word-of-mouth in creator communities.
Tech Stack
Node.js with Express for scalable APIs; consider Python (FastAPI) for advanced tax calculation and compliance modules.
PostgreSQL for structured, relational data (user profiles, tax treaty tables, calculation logs).
Next.js for SEO optimization, server-side rendering, and rapid prototyping.
Stripe for payments, AWS S3 for document storage, integration with AWS Lambda for scheduled compliance workflows, and potential use of the IRS API or third-party tax treaty datasets.
Risk Assessment
Identified Risks
- Regulatory risk: Rapidly changing tax laws or treaty statuses may render guidance outdated or incorrect.
- Liability risk: Users may rely on the platform for tax decisions and face penalties if advice is incomplete or misapplied.
Mitigation Strategy
- Maintain partnerships with professional tax advisors and regularly update the knowledge base. Implement clear disclaimers and encourage users to consult local professionals.
- Provide scenario-based guidance and document generation, but avoid rendering personalized legal/tax advice. Offer optional referrals to vetted tax professionals for complex cases.