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Tips to incorporate offshore company

alain

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Tips to incorporate offshore company


Several businesses are interested to incorporate offshore company. Such entities are usually setup in locations with low or no tax liabilities, such as Seychelles, Hong Kong, and Panama. In addition, the regulations are easier and friendly to the companies. All these benefits are perceived by owners as an opportunity to increase profits while improving and growing their business ventures.


Factors that need consideration


Before commencing the procedure of incorporating a non-resident entity, it is vital to remember some important factors. Firstly, such entities are not allowed to own any real estate properties in the country where these are established. Moreover, these companies are unable to conduct any business activities with other entities or people based in the same country. Finally, the company so incorporated cannot hold stock or shares in another entity within the jurisdiction where it is incorporated.


When considering incorporating offshore entities, there are some factors you will have to consider. You will need to determine the kind of company and services you will require, the number of individuals who will be involved in the company, and the offshore location that most appropriately suits your specific requirements.


Research is the key


It is crucial to research all the available options before arriving at any decision. This is all the more crucial when you want to incorporate offshore company. It is important to know all the legal forms you will have to fill and submit to start the entity. Understanding the features and characteristics of all these documents will be beneficial in getting the procedure right. You will also have to consider the requirements of each document and its appropriateness for your personal needs. Owners are advised to check out the regulations and rules in different offshore locations so they are able to identify the best jurisdiction as these will govern their company?s transactions and procedures.


Seeking professional assistance


After understanding all the above mentioned factors, you can begin your search for an agency that can help you form the company. Such professional agencies offer basic assistance required to commence an offshore entity. They offer you proper advice on how to complete the process and work with you until the successful completion of all formalities. The service fees payable to these agencies varies based on the scope of services needed by the owners.


The next step is to register your company and provide the name, location, structure, and operations of the proposed entity. Tax registration is mandatory and the procedure differs based on the chosen location.


For this purpose, it is advisable to hire the services of a law firm in the jurisdiction you choose. Ensuring all the legal and regulatory formalities are completed and the necessary fees are paid for successful incorporation.


It is important to maintain a good status in the offshore jurisdiction. It is advisable to adhere to the tax laws and follow the rules for this purpose. This provides potential issues that could invalidate the entity and allows you to run smoothly for the growth of your business.
 
Seeking professional assistance is almost required regardless where you are going to incorporate a company also in most onshore jurisdictions it requires a lawyer or certified accountant to help you, there are ofcourse exceptions.
 
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Yeah, there are some offshore jurisdiction as well that allow the incorporation / registration of a company directly, that just require you to be a citizen of this country.
 
Research is indeed the key and you must look at what you need and find out for yourself to not be adviced into a wrong solution for your business. What I was thinking of was to form a Seychelles or Panama company to start with and just get my Internet business going, I wuickly find that this wasn't the right way to go, because is looks shady and it would be considered tax evasion.


I need a legit way to setup my business so it will last on long term and not be some churn and burn project.

/IMG/cyprus-company-formation3.png​



I came across the above drawing / picture that was exactly what I was looking for, I don't mind to pay some small percentage of tax each year as long as I can safe up my money privatly and be protected from any lenders and creditors.


What also inspired me was the one below, it's a Mauritius offshore company combined with a Luxembourg and Taiwan corporation. That's too much and complex for my needs, but I got some idea of how this could possible be structured with a Cyprus company formation.

/IMG/tips-offshore-company-incorporation.gif​
 
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There are some good setup there suzy, you can even find osme more complicated and complex structure for your offshore company setup than that. The question is what you will need your structure to do for you and what business you are into. Otherwise a simple IBC setup in Belize, Panama or Seychelles is more than enough!
 
What's the reason for choosing Malta for holding company?
 
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Isn't Malta more stable than Cyprus?
They are not at all. I just found out by visiting the island that the tax regulations for companies are very preferable for somoene doing business on the Internet. It would never be my first choice but my second if I had to go that route.
 
Yes I understand why you suggestioning to visit the country at the moment I don't have money to travel to the offshore countries I want to open company in!
Good, most often some of the people you meet have some services they only offer to people they know and have a good feeling with. That's most often services you won't read about on the Internet at any time!
 
Mauritius and Nevis may have similar laws in regards to registering a financial service company. Pretty easy and cheap compared to most other onshore or offshore jurisdictions.
 
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According to me, Singapore is one of the best countries for company incorporation. If a foreigner wants to incorporate a company in Singapore, then by law, he/she has to seek assistance from the professional incorporation service provider. Singapore with lower tax rates and the flourishing economic environment seems to be a better option for company incorporation compared to Belize or Cyprus.
 
What's the tax rate in Singapore for corporations? Is accounting and filing of tax reports each year mandatory?
 

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