Commerce went global many centuries ago, when large ships carried valuable cargo to distant shores, eager to trade with foreign merchants, then came the Internet, which changed everything. Businesses that register in offshore territories enjoy many benefits, some of which we look at in this article.
- Privacy and confidentiality – There’s no doubt that registering a business in an offshore territory offers privacy and confidentiality, which some business people and investors prefer. The identity of individuals is not normally disclosed when you make offshore transactions. Your offshore account will remain confidential when you set up an offshore business entity, which is something many investors prefer.
- Asset protection – Assets that are registered to an offshore corporation can be protected from future liabilities. If, for example, a person or entity is pursuing legal action against you, any asset search will not reveal assets of an offshore company or corporation.
- Reduced taxation liabilities – One of the ways that offshore territories attract investors is to offer very low rates of taxation. In some cases, there is zero tax to pay; talk to an international law firm that specialises in setting up offshore businesses to find out more information. Such a firm would be happy to share a free Zoom call to discuss your needs
- Increased revenue opportunities – Registering a business offshore can lead to the penetration of new markets, which is one main reason why entrepreneurs wish to register their business abroad. Some countries prohibit trade between certain nations and registering a company abroad can overcome such an issue. If you are in need of digital marketing for your new business, click here.
Types of offshore business registration
There are 3 main types of business you can register offshore, which are as follows:
- International Business Company (IBC) – This business entity is ideal for a foreign entrepreneur who wants unrestricted business activities; One director and minimum of 1 shareholder, with minimum capital investment – this entity is subject to local compliance.
- Limited Liability Company (LLC) – This trading entity offers limited liability with a local and general partnership. There are no restrictions on business activities and the entity is subject to local compliance.
- International Trading Entity – Ideal for private equity funds and financial advisors with a limited number of clients, with 1 manager and 2 or more partners. This entity is subject to local compliance and is unrestricted in business activities. To learn more, search the web for an international law firm that services foreign investors by setting up business registration and providing many essential services.
There are offshore services at the following locations:
- Europe – Cyprus, Malta, Madeira, UK & Switzerland.
- Asia-Pacific – Singapore, Hong Kong, Samoa & Labuan.
- Indian Ocean – Seychelles, Mauritius.
- Middle East – UAE.
- Americas – US, Anguilla, Belize, Bahamas.
If you seek out the right international law firm, things become straightforward and you can be sure of 100% compliance, while they can also access local labour and essential business services that you will need to manage your business.