Types of Seychelles company

[user9823671]

So my slow and meandering look for a structure continues, but as the project comes close to completion is taking more of an urgent search.

Am looking for a structure for an online software company with a subscription product that might have some issues with other companies determining the product breaks their TOS. So privacy is important no public registers.

I have dual citizenship (EU country) and south american country with no CFC laws.

The problem with the privacy / low tax jurisdictions has always been how to process online payments.

But user @happyjohn posted: Any jurisdiction recommended for corporate secrecy/privacy?
That seychelles company with TransferWise bank works well and paypal can be sorted if you get a local SIM.

So looking further into seychelles companies, I came across fidelity who got a couple of positive mentions on here. Seychelles International Business Company (IBC) Fees

They offer some basic packages. IBC / IBC with documents / IBC with nomiee director / shareholder, but also
* IBC owned by belize trust
* IBC owned by belize Foundation
* IBC owned by Seychelles Trust

What would be the benefits of having an IBC owned by a trust / foundation? What would be the usecase for such a company structure?


Additionally, they have something I hadn't seen before a Seychelles CLS company

Seychelles Special License Company (CSL) is a tax resident company in Seychelles, which is liable to 1.5% tax on its worldwide income.

From what I understand, there can be some benefit to pay "some" tax somewhere, 1.5% sounds quite attractive if it gives the company a tax ID for banking / payment processors as it will appear to be substantive in seychelles. Is this correct or have I completely misunderstood how it works / what this structure is used for

 

[user9823671]

Additionally, the whole issue of nominee directors / shareholders when there is no public register. From reading the forums, I understand it offers another layer of protection, should requests get made to government and processed for that info.

But what are the drawbacks? Everytime the director / shareholder are required to do anything / sign / whatever, there is a charge. But when would this be required? Opening a business bank account would require it I assume? But anything else?

 

[rewindghost]

I cannot recommend a solution but I have a few tips, some of my own experience:
- generally speaking it is not a good idea to use an EMI as a regular bank account, do not keep your income there (maybe on multiple providers)
- its not easy to find reliable payment processors for a Seychelles IBC, paypal is a bitch, do not rely only on them for payment processing. If there is a slightly increase on your chargeback rate, they will block your account forever and freeze your balance for 180 days
- you will have a hard time getting a traditional bank account, some offshore banks which accept seychelles dont like IT industry
- nominees provided by registrar companies may be “blacklisted” on websites like EMIs, crypto exchanges etc.
- as I read here TW wont accept offshore company owned by a trust, probably other companies will act the same
- there was a change in seychelles laws last year which allows IBCs to apply for a local TIN, so you probably dont need that CSL?
- fidelity is a quick and good provider

I am not a lawyer but I believe making a software which makes someone able to “break” a website’s TOS is not illegal, but correct me if im wrong? Of course I understand you want to protect your privacy, just asking, maybe someone knows it better.

 

[user9823671]

Thanks for your reply.

- nominees provided by registrar companies may be “blacklisted” on websites like EMIs, crypto exchanges etc.

I noticed fidelity offer:

please provide the directorship service by a local, licensed and regulated management firm. ($ 400 p.a.)

or:

Yes, please provide professional directorship service by a local, licensed and regulated private individual. ($ 800 p.a.)

Would either of them help with the problem you list?

Or is it a case of pick 1: have a nominee setup, or have access to online services?
In which case the access to online services is critical, so the no public register will have to be enough privacy.

I am not a lawyer but I believe making a software which makes someone able to “break” a website’s TOS is not illegal, but correct me if im wrong? Of course I understand you want to protect your privacy, just asking, maybe someone knows it better.

In the US there have been some cases where they have sided with tech company who TOS was broken, although I think it was more of a case of a settlement rather than go against a billion dollar tech firm. But even then, was is not exactly comparable to my situation. Outside of US, it seems it is not illegal. But still, when the company bringing the court case has unlimited funds and no definitive precedent it is a grey area

 

[rewindghost]

Thanks for your reply.



I noticed fidelity offer:


or:

Would either of them help with the problem you list?

Or is it a case of pick 1: have a nominee setup, or have access to online services?
In which case the access to online services is critical, so the no public register will have to be enough privacy.



In the US there have been some cases where they have sided with tech company who TOS was broken, although I think it was more of a case of a settlement rather than go against a billion dollar tech firm. But even then, was is not exactly comparable to my situation. Outside of US, it seems it is not illegal. But still, when the company bringing the court case has unlimited funds and no definitive precedent it is a grey area

Actually that private individual option might be better, but I dont have experince with nominees. I dont say you cannot use EMIs with nominees but it could be harder to register. If they refuse your application, they wont tell you any reason, so you have no idea what you should change..

 

[Joe Blasco]

Actually that private individual option might be better, but I dont have experince with nominees. I dont say you cannot use EMIs with nominees but it could be harder to register. If they refuse your application, they wont tell you any reason, so you have no idea what you should change..

correct me if I am wrong, but in practical terms you mean that the nominee will not just figure for that particular company , but also for another 100 so his name is already smeared by this "unusual" activity.