We would like to bring your attention to a significant event that is going to take place in the first half of February - LiquidNet Ltd is becoming VAT registered! New solid renommee label will be stitched to our reseller hosting company name, to bring enormous benefits in terms of higher stability and representativeness for those of you operating on the classy European web hosting market.

How is this going to affect you - our resellers, and our mutual business relationships? Certainly only positively! Our web hosting business environment will remain the same, only boosted reputably and more attractive to the clientele. In terms of pricing, very small changes will be made, affecting only few of you.

To bring here clarity upon the VAT classification groups, all resellers are to be referred to as Businesses, whilst end-clients (all clients buying at retail price) can be either Businesses or Individuals. Thus, UK VAT at 17.5% is applicable to Businesses (no VAT/VAT registered) and Individuals from the United Kingdom and Individuals from the European Union. All other non-EU clients (Businesses or Individuals) from all over the world, including Businesses from the European Union, will remain outside the scope of VAT - that is, their pricings will not be VAT affected in any aspect. *Note: Businesses from the European Union are considered as VAT applicable, but VAT will not be charged upon the retail price.

In order to set the new VAT-affected prices in the Web Hosting Control Panel-s of the range of end-clients that will fall into the category VAT-applicable, we need to differentiate our existing customers to Businesses and Individuals. For that reason, a new message window was set to appear upon client login in the WHCP, to become operational from 12:00 GMT on January 17, 2008. Applied here is the text that the message will contain:

Please, Note: Are you supplying services to other business? (Yes/No) If Yes, please consider the following options:

• If you own a company that is VAT registered, please enter your VAT number; If you own a company, that is not VAT registered, please leave empty the field of the VAT Number,
• If you do not own a company, please leave both the Company Name and the VAT Number fields unfilled.

As soon as the client has updated/confirmed his/her account owner details, the message window will be de-activated for their account and they will have access to all services again. The details presented by the client will remain editable, upon need, in the 'Change Login Credential' subsection of the 'My Account' section of the index menu.

The VAT registration of LiquidNet Ltd. is an advantageous step on the track of profitability and solid business reputation. It will open new horizons before our company and before you - as a web hosting reseller, if you have targeted the huge EU markets. All EU clients will view at your VAT registered company as a solid one with high money flow.

We will, with certainty, make the process of VAT integration simple and uncomplicated for you - our resellers, introducing all benefits with only a few system changes, regarding invoices, order forms, and other related items. Very detailed information will be presented to you, shortly. Please, follow our news section, and do not hesitate to feedback us, as soon as you have any comments in regards to the matter.

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