What is an offshore company/ IBC?

An international business company is a corporation or limited liability company that has been formed outside of your country of residence.
An offshore company must be incorporated under Offshore Company Laws and regulations of offshore jurisdictions, incorporated by non-residents of offshore jurisdictions, must not trade within the offshore jurisdictions & meet nominal tax expenses levied by the offshore jurisdictions.



The benefits in forming an offshore company?

In most jurisdictions authorities will not seek to tax companies.

International trading, especially where the owner has no fixed residence.

Except for regulated businesses, such as banks or other financial institutions, some jurisdictions make it relatively simple to set up and maintain companies especially with reference to lesser reporting requirements.

Confidentiality, some jurisdictions have stricter provisions for allowing a court to break the privacy & anonymity of the offshore company. By carrying out transactions in the name of a private company, the name of the underlying principal may be kept out of documentation, since the company is a separate legal entity. Having said that, current anti-money-laundering regulations often require banks and other professionals to look through structures. This will always be the case for any reputable bank but it does not render ineffective the use of corporate structures, rather it ensures they remain legally compliant.

Most of the jurisdictions require low capital value.

Offshore companies can purchase or be assigned the right to use copyright, patent or trademark.

Companies in an offshore financial center are considerably cheaper than buying or renting premises, arranging to engage accountants, receptionists, IT providers etc.

Succession planning.

Assets protection.




What does offshore company require?

Certificate of Incorporation - this is issued by the Registrar of Companies or their equivalent, and is serves as proof that the company has been brought into existence.

Registered Agent - it is often the case that an agent must be appointed in the jurisdiction in which the company is incorporated for the purpose of dealing with official communications with the registrar. The Agent will have to be licensed and will assume some level of responsibility for the company's activities.

Registered Office - this is the official address of a company, to which official documents are sent and legal notices received.

Shareholders - these are the legal owners of the company. For administrative simplicity, or for anonymity, a corporate service provider may supply nominees who will hold shares on behalf of a beneficial owner, and act on his instructions.

Directors - the individuals who manage the day-to-day affairs of company. This is the person or body corporate who is responsible for ensuring that the company meets its statutory obligations.

Statutory Records - a company is obliged to maintain registers setting out certain information about the company.