Why are offshore companies
formed?
An offshore company (foreign company) is generally used
for a combination of asset protection and tax
mitigation. It can be used as a stand alone vehicle or
as part of a larger trust/corporate organizational
structure (exhibit). The formation of such a company is
usually the first step to expand into a new market,
re-locating manufacturing or production, building a new
distribution network, purchasing a brand and protecting
its intellectual property asset by segregating it from
all trading activities related to the brand
Cross border organisational structure with shareholder
and royalty structure
As a company is considered to be a distinct legal
entity, residents of high tax countries may be able to
reduce the tax they pay by arranging for profits to be
attributed to a company which is subject to lower tax
area or even a zero tax jurisdiction.
The choice of offshore jurisdiction depends on the
customer’s business objectives and what the corporation
is going to be used for.
These are the most common factors considered when
choosing the jurisdiction for a new company formation.
• Political environment
• Economic stability
• Infra structure and
communications,
• Language
• Legal system
• Confidentiality
• Exchange controls,
• Banking facilities
• Fiscal environment
• Incorporation and
management costs
What type of typical offshore
companies are there?
• Licensing companies
• Commercial and Private
Property holding companies
• Trademark, Copyright,
Patent and Royalty Holding Companies
• Personal Wealth Holding
companies
• Aircraft owning vehicles
• Shipping and Yacht owning
companies
Professional Services Companies such as Marketing and
Management Agency (usually in a high tax jurisdiction
with an appropriate tax treaty)
• Trading Companies
• Investment Companies
• Venture Capital Companies
• Avoidance of Probate
Companies
• Income Distribution
Company
International Investment
Structuring
When you make a decision to incorporate abroad you are
making a decision to become multinational. By doing so
you greatly expand your flexibility and freedom from
government regulations. If you are in a position of
starting a new business not in your home country, then
you are in the ideal situation for incorporating abroad
for no taxes are diverted in many jurisdictions.
The specialized investment
structuring has two key benefits:
• To achieve greater stability of investment returns
• To make the structure more efficient.
Through our sister concern Overseas centre, we can offer
you a range of services including Overseas company
formation, Overseas bank account opening and valuable
advise regarding setting up of Trust and Estate
planning. At EFS we can assist you in setting up a
private trust company that can provide fiduciary and
wealth management services with numerous benefits. We
provide peace of mind to you by making sure that your
assets are protected from litigation, fiscal erosion and
operational risks.
Overseas and Overseas company
Forming an Overseas company is first step to expand in
to new market, relocate manufacturing activity, build a
distribution network and thereby earn profits. It is no
longer necessary to pay extortionate fees or wait for
weeks to incorporate Overseas. Online Overseas formation
allows you to incorporate your company anywhere around
the world.
You can begin company incorporation by using any of the
following methods:
• Customized company formation
• Incorporate by telephone or Email
• Full company package.
An Overseas company offers numerous benefits to an
existing business or to an individual on a multitude of
levels. Overseas company formation can provide a wealth
of benefits: asset protection, confidentiality, enhanced
privacy, tax savings etc:
a) Conducting business and undertaking banking
transactions in the name of a legal entity such as an
Overseas company provides significant privacy and
confidentiality benefits.
b) Placing assets into an Overseas corporation and
overseas legal entity can provide a strong layer of
protection from future liabilities by having trusts,
investments, bank accounts and other assets owned by
your Overseas company.
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