Set up an Offshore Company

Before setting up your Offshore Company you will have to decide upon a name with a global theme.

It is not difficult to set up an offshore company, but the way it is set up will invariably depend upon the tax advice you have taken.

Typically many set up an offshore IBC (International Business Company), which is a legal entity set up in a tax haven such as Belize or Panama and is free from all local taxes with the exception of a low fixed annual fee.

Many choose to have a Nominee Director appointed for increased privacy as the beneficial owner (you) does not need to be known to the world or be on any public records. He does not control the company you do, by the Nominee Director signing a Power of Attorney (legal agreement giving another person or entity authority pass on authority) to the beneficial owner (you). This gives you full control of your company with increased privacy. The Nominee Director may be required to sign a contract here and there (for a fee) but apart from that he is really like a silent partner that does not generally get paid (annual fee for Nominee Director Service) and is the face of the company.

When setting up your company, order an apostille set of documents these are internationally accepted as authentic and will be needed when setting up your bank account and other areas of business where authentication is needed.

Offshore jurisdictions vary and requirements are changing all the time, thus this information is a generalization of the benefits of an IBC: 

• Anonymity  
• Exemption from Tax Legally 
• Very high Privacy Protection (with Nominee Director Service) 
• No Accounting (No Accountancy fees)
• No Reporting
• No Audits
• Business can trade Globally
• No Taxation on Income

There are a number of possible options as to how to set up your company. The highest level of privacy protection can be gained from setting up a Bullet-Proof Panama Foundation Structure containing a Panama Corporation and a Panama Foundation. For a more detailed discussion on this subject go to the Offshore Foundations link (Resources).

Next speak to a few companies and compare responses. Be careful not to go on the internet and pick the first company with a good website. This could prove to be a big mistake, if after parting with your funds you can receive a very poor service. For you to just pick out a company solely on price or a website presentation, is a lottery with few winners. In resources we provide a list of companies that we know, and have had personal and a positive relationship with.

I would also advise about timescales; often companies do not give you the complete picture. Sometimes it can take much longer than the time estimated for your company to be incorporated. Ask for timescales but, allow more time, be realistic.

Until you have your company formed you will not be able to carry out the next assignment which is:

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