How to Setup an Offshore Company?
On our last article about the types of offshore company, we have established some of the major benefits of having offshore company formation. You will enjoy asset and data protection on top of tax optimization, these increasingly drawn a number or business owners to flock to offshore jurisdictions. For that, some of the usual names that gained footing includes British Virgin Islands (BVI), Belize, and Hong Kong.
Some can easily incorporate an offshore company. Then there are those who have provided feedback on the procedural requirements and the complex processes that entrepreneurs had to deal with. Through many instances, Skwer Group has found that clients do not have sufficient knowledge about setting up a particular offshore company. This blog will guide every startup or new offshore player with what it takes to form an offshore company.
3 Steps for Offshore Company Formation Preparation
“Preparation is everything”
First off, an understanding knowledge of offshore companies and any related issues is a must. Second, it helps minimize the possibility mistakes during and after the incorporation process. Similarly, answer questions like “How does an offshore company work?” or “which offshore destination should you put into consideration?”.
Hiring an experienced offshore service provider is a hassle-free and effective solution for most businesses. Briefly, the offshore service company collects the necessary paperwork and documents to register and incorporate the offshore company. In addition, they manage your administrative procedures after the establishment of the business. Examples of post-incorporation obligations include renewals, filing financial reports, and annual tax returns.
Take note, not all offshore company formation provider can be your ideal partner. There are some factors that should be considered, prominent among which include:
- The capability/business history of the firm
- The physical site of the firm
- The number of jurisdictions that the firm covers (for universal providers)
- The fee of the firm’s services
- The customer service of the firm
- Especially, the reputation of the firm
Finally, you should be well prepared for any associated payments in the process. After choosing the ideal partner for setting up your offshore company, it will give you an idea of fees to pay for company formation. Typical payments are for a deed of incorporation, a register of directors, or a filing fee. However, there may be other additional charges that you should plan for in advance. Such added payments may arise from the following activities:
- Bank account opening
- Corporate seals registering
- Corporate offices renting
- Apostille, virtual office, etc.
Essentially, you must decide on the appropriate offshore jurisdiction as its detrimental impact on either benefits or conflicts of your incorporated company in that location. The flexibility of the business structure you expect will depend on the jurisdiction you have selected. That where the offshore service provider comes in handy as they can advise the best suited type of business structure in the right jurisdiction that can make most of your benefits.
Begin your journey!
Do you want to start registering a company? Check out our online offshore company formation platform today and start your journey!
