In a wonderfully unstable and unpredictable world, where can you find a safe haven? Where can you go to enjoy stability and security? Is it possible to shield or preserve assets without worrying about their safety? The good news is, such places do exist. What is more, they are growing ever more popular by the day. Combining appealing tax incentives, exotic tropical locations, and favorable legislation they are an inviting place for company founders, investors, and persons looking to settle down in comfort.
Basically, an offshore country is a jurisdiction outside of your motherland, with laws and regulations different from those that are in force back home. These are usually favorable for asset holders and investors as they provide for high financial privacy and minimum regulatory intervention.
In their capacity of tax havens, offshore jurisdictions offer specialized services in the sphere of finance, commerce, and law to non-residents. Enjoying asset protection, lower
taxes, privacy in banking, an opportunity to set up accounts offshore and internationalize their company structure, offshore company founders are indeed the fortunate few. No wonder, as offshore jurisdictions come with financial perks for both natural persons and legal entities allowing them to bring overseas capitals into the states in question.
Also known as OFCs or Offshore Financial Centers, offshore jurisdictions come with favorable tax and corporate laws for overseas businesses. They simplify company management for corporations formed therein, offer top asset protection, and render appealing financial and investment services.
Although tax havens are many on the international scale, the top ones offering an unrivaled environment for overseas investors who wish to form offshore companies have stayed the same for many years. If looking to set up an offshore trust, company, corporation, make an offshore investment or set up a bank account therein, an investor or a foreign national should draw their focus toward classic offshore jurisdictions in the Caribbean, say, the BVI, the Cayman Islands, or the Cook Islands. Feel free to turn to the ones in Central America like Panama or Belize. Mind that it is also possible to register an offshore company in Europe, inter alia, in Cyprus or Malta, although the terms therefor are different compared to the Caribbean offshore jurisdictions.
Offshore company formation is not an option available to only the selected few. Regular persons are free to use it as well, if they wish so. Families looking to form trusts, plan estate, or manage their wealth, any persons about to diversify assets, investors searching for more favorable options to invest, business people in search of business globalization, startups striving for max profits combined with low taxes, companies and corporations searching to establish an overseas subsidiary or reap regional trade benefits, service companies – you name it. The present-day global economy offers a chance to go offshore to almost every person wishing to set up a company, with an opportunity to do it online and only minor incorporation costs involved. IT giants like Google, Apple, and Facebook are known to have established companies and subsidiaries in Ireland, Bermuda, the Netherlands, and Delaware (the US). Obviously, if you make up your mind to go offshore, you are likely to require a customized company incorporation strategy as not a single solution works the same for different persons, legal or natural. So, go bold and follow in Google footsteps by setting up a company of your own offshore but consider several essential things before you decide on the right jurisdiction. Don’t forget, your situation is unique and the jurisdiction you choose shall meet certain criteria for the company to be successful:
- Low or zero tax incorporation jurisdiction, including, inter alia, for gift, inheritance, capital gains, income taxes, etc.
- Favorable company registration laws allowing 1 director of any origin, boasting efficient set up procedures, and protecting the company’s rights
- Stable national currency that would be nonvolatile and the legislation not frowning on the use of several currencies and imposing no capital controls
- Privacy laws of the chosen offshore jurisdiction should shield you from public scrutiny and government control while keeping your accounts and personal data safe and judgment-proof for foreign courts.
- Predictable politics and stable government to guarantee security and continuity to both citizens and non-residents, including overseas company founders and owners.
- Open economy that would allow financial deals and free goods movement.
- Reliable and safe government-backed (under the best case scenario) banking industry providing for adequate undistributable revenue reserves and low debt.
- Secure and stable communication system with reliable communication channels.
- Spotless and undamaged reputation, i.e., the offshore jurisdiction of choice should not be blacklisted by either the Organization for Economic Cooperation and Development or any other major market regulators.
- Close geographic location compatible with business hours of your financial institution or offshore provider so that you would be able to contact them in case of need.
According to Wikipedia, the number of offshore zones in the world hovers around 100. The number varies depending on the offshore zone or OFC definition. With the above variety, finding the right option for your business may be a challenge, especially if you are a novice entrepreneur. If at a loss where to turn and how to select the best offshore jurisdiction for your business, go ahead and apply for a consultation with top industry pros. At International Wealth, our experts will turn your offshore business dream into reality, all it takes is a call. Alternatively, feel free to email us at email@example.com.