Explaining the Offshore Companies
25/02/2013
Offshore companies and bank accounts are now an undeniable
fact of our financial times, however these are still largely misunderstood
entities.
Certainly when conversation arises about such entities it is
common to hear comments regarding tax evasion.
Whilst it is certainly undeniable that these entities in most cases do benefit
with regards to tax relief there are so many other advantages and reasons as to
why it may be better for your business to have an offshore rather than an
onshore company.
ASSET PROTECTION
One of the most common reasons for the incorporation of anoffshore company is to separate the individual from his or her assets. This may be an effective way of protecting
the assets should any potential hazards befall the individual such as
supposedly wronged spouses or other individuals or corporations looking to sue
them come along.
PRIVACY
This normally comes hand in hand with asset protection, but
there might be a variety of legitimate reasons why an individual would want to
set up a company, but would not want it made public that they are the owner. Depending on the jurisdiction a variety offer
registry’s that are not open to the public, these means that information on the
directors, shareholders and other officers are not easily obtainable. Chesterfield also offer nominee services,
which means that we provide the directors, secretaries and shareholders on the
company and manage all the affairs of the company. We operate under strict confidentiality rules
to ensure that the privacy of our clients are protected and also operate under
strict anti-money laundering regulations which help ensure that these services
are used for legitimate services.
BUSINESS
ADMINISTRATION
It may simply be that the jurisdiction of a clients domicile
simply does not meet their companies needs.
Increasing corporate governance and international regulations are making
it more and more difficult for companies to meet statutory compliance
requirements. Sometimes another
jurisdiction with more appropriate requirements is advantageous. For example
some jurisdictions can take months to incorporate, certainly a difficult
problem when a company is required urgently, however some jurisdictions permit
incorporation in as little a 24
hours. Some jurisdictions have
restrictions regarding the number or nationalities of the directors even in
some cases the qualifications. Offshore companies can solve many business administration
issues, for example an offshore company can hold a property, in the event of a
sale it is possible to transfer the shares in the offshore company rather than
the title of the property, thus saving time and money on legal and transfer
fees.
With the help of professional firms such as Chesterfield who
are aware of all restrictions and compliance requirements of the various jurisdictions means that it is possible for the client to outsource their
statutory compliance responsibilities so as they can be assured that the
company is run correctly and efficiently whilst complying with the full range
of statutory and commercial regulations.
Chesterfield always keep up to date with changing global compliance and
regulatory rules to ensure that we are able to give the best advice to our
clients and ensure that are companies are run to the highest standard thus
negating all possible problems. It is
common for many companies to outsource their secretarial, accounting and
payroll functions to professionals such as Chesterfield in order to free up the
client to focus on their primary business without the extra worry.
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