Starting an offshore company is seen by many as a form of business strategy that will help to improve productivity and reduce costs.
There are several benefits in starting in offshore company which are:
Offshore company is easy in many places to start an offshore company, excepting for cases where the offshore company is a bank or a financial institution as these are subject to certain rules and regulations.
The process of starting an offshore company starts with filing a Memorandum of Association with the required Registrar. Memorandum of Association document is also referred to as the Articles of Incorporation. Memorandum of Association is a document having a standard structure and form and is based on the relevant jurisdictions corporate legislation. Memorandum of Association lists out the offshore company name, the details of its registered office, the nature of the business, and its authorized capital. You also need to file all relevant paperwork with the registrar. This can be done by yourself, but if you are unaware about legal requirements and do not have time better to seek the services of a professional offshore company formation agent. They will get in touch with incorporators who will take care of the job of preparing and filing necessary paperwork with the Registrar.
You will receive a registered office address which is required for receiving notices and letters from the Registrar and for keeping statutory records. You can have another address for company's principal trading office, which can be located anywhere you like.
Once your offshore company is registered successfully, you will receive a Certificate of Incorporation from the registrar. This is a document declaring the start of your company legal existence and it also specifies the date of start.
Your companys incorporator will sign a resolution document which states the appointed directors of the company, which can be a nominee you appoint or yourself. All power will be handed over by the incorporator to the company directors. After this the first company meeting is held in which the company adopts its by-laws. It will also declare its corporate seal, and appoint the company's bankers. It is at this point that the new offshore company has been properly organized and is ready to trade.
Now a days people are seen to invest in real estate in offshore locations and use this as a means for applying for an offshore company. This gives the benefit of avoiding inheritance tax, capital gains tax and death duties. Any time the property needs to be sold, it can be done so easily through just a transfer of shares, without any need for a transfer property title, which requires time and money.
There are many companies offering services for those wanting to start up offshore company bases. It is a good business strategy for small, medium and large scale enterprises and small business. Self employed consultants have been noted to start their own offshore companies from which they send invoices their clients.
Before entering into a decision to start an offshore company, be sure to look into the location where you intend to start your business. Check out if this location is reputable for your business and find out on the amount of money you would have to pay off as fees to set up the company. Do though research and here the right professional on this matter to get yourself a good start with your offshore company.