3 Key Reasons business owners choose to set up offshore company

Whilst a number of explicit Business as well as Investment strategies lend themselves to Offshore structuring, usually speaking, people prefer to Set up offshore company from their usual country of residence for one of 3 key reasons:

Set Up Offshore Company

• Financial Privacy/Tax Minimization

• Asset Protection

• Access to High return Investments

Financial Privacy/Tax Minimization: He who controls the capital makes the rules! Most countries which proffer Offshore Company registration have stern privacy laws which make it tremendously difficult (if not near impossible) for any stranger to determine:

By making it hard for others to conclude the precise extent of your income as well as assets you gain greater manage over your wealth and, potentially, how much tax is billed on your income.

Asset Protection: Most Offshore Financial Centres do not distinguish foreign judgments. This means that any judgment creditor stalking assets held by your Offshore Company formation would have to file new suit in the Offshore Courts (a costly, time consuming as well as very risky exercise).

Furthermore most Offshore Privacy Havens have laws defending ownership privacy making it unfeasible (unless you or your company are implicated in unlawful activity) to establish who essentially owns the company.

Hence, by transferring your prosperity to a corporation registered in a privacy haven, you make your prosperity much less susceptible to attack. With divorce as well as general litigation peril on the increase it makes sense to make it as hard (and as costly) as probable for would-be vultures to track down as well as seize your wealth.

Access to High Return Investments : Many, if not most, elevated return Offshore Investment opportunities (Offshore Mutual Funds and Private Placements for example) are not available to “onshore” investors, capable (meaning extremely wealthy) investors excepted.

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