Know About the Benefits of Offshore Company Formation

Offshore company formation can be a component of a legitimate solution for companies that are looking to save money. One such savings may be the reduction of overall tax liabilities or otherwise a deferment of payment of taxes allowing for tax free reinvestment of the money and the benefits of additional compounded returns. The benefits of offshore company formation depend on the jurisdiction of the country where you will form your offshore company as well as relevant tax laws of the residence of directors and shareholders Aside from enjoying tax advantages, here are other advantages you might enjoy when you form a company offshore:

• Freedom from Big Brother – Financial privacy is no longer a reality in many countries.  Governments are becoming larger and are searching for additional revenues which is resulting in more invasion of  privacy.. Financial enemies can locate more information about you online now than ever before.  If you want the most privacy and confidentiality legally available for you and your business partners, an offshore company is a good solution.
• Fewer risks – The trouble with a company that isn’t private due to all of the public disclosures often required is that it is prone to risks such as criminals who make take advantage of technology to steal from you, as well as the government’s third party contractors. Your company’s finances as well as other sensitive assets such as intellectual property will be safer in an offshore company.
• More options – Some territories such as Hong Kong or the British Virgin Islands are known for having millions of offshore companies registered. But there are still new countries that you can go to where there are less than 200,000 international businesses. This means there are still a lot of company names free for registration where this is important whereas in Hong Kong and BVI you must usually have at least 4 words in the name or something very unique to not already be on the register. You can also enjoy competitive pricing for offshore company formation in less crowded jurisdictions.
• Lower running costs – Running and maintaining a company is often cheaper in a foreign location. For starters, the actual formation fee is often lower. In addition  some countries don’t require any minimum capital. Ongoing support services such as accountants, legal advisors, directors and company officers with expertise in international business are often much more affordable in an offshore jurisdiction than is available in your country or residence.