The term “offshore” is most often used to describe any business activity or investment made outside the country of residence. An Offshore company, also known as an international business company (IBC), is a company incorporated outside the place of residence of its directors, shareholders and beneficial owners. Offshore incorporations can be incorporated in a number of jurisdictions, including British Virgin Islands (BVI), Anguilla, Belize, Seychelles, Bahamas, Panama, Cayman Islands, etc. It is often pursued to realize various financial, legal or tax benefits.
Offshore companies are widely used to protect assets, legally minimize tax obligation and provide corporate structures necessary for the operation of the international business. Business men and foreign investors especially from countries with high taxes became attracted to these offshore jurisdictions and enjoys total exemption or at least a substantial reduction of the taxes from their profit provided that they are not carrying business within the tax haven itself.
Benefits of an Offshore Company
- Legally mitigate taxes
- Optimize confidentiality
- Lower maintenance and operating costs
- As a vehicle for holding assets such as Intellectual Property and real estate Investments
- Offshore registration can improve cross border sales for the holding company
- Decrease capital gains and inheritance tax when you park your assets under an offshore entity
- Ease of compliance reporting in certain offshore jurisdictions
Please feel free to contact us , if you are interested in setting up an offshore company.