Incoming PayPal payments on moving country

The issue here is most probably tied to protecting the people that has setup the subscriptions.

The rules and laws a company need to abide by can be very different from country to country, in addition you have the risk of that the subscribers will not get the content they pay for (depending on what it is of course).

Since Paypal is liable in the event they allow the subscriptions to keep running, it is most probably a business risk they are not willing to take. Possibly due to cases in the past.

A possible solution can be to operate both in Spain and UK.

I would recommend that he speak with his accountant and review, if this is possible by UK law.

  1. If the Paypal account is not already a business account, change it into one.

  2. When he move to Spain, the Spanish company setup a contract with the UK company, where the UK company sell the service/products on behalf of the Spanish company.

The contract will stipulate that the UK company will get x% of the sale amount, the rest is owed to the Spanish company according to normal licensee deals. This way he should be able to keep the subscriptions running, and at the same time have a low taxable income in UK.

I have no idea if this will be legal according to Spanish and UK law, so this is a the part he will need legal/accounting advice on before doing it.