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6 reasons that will motivate you to perform offshore practices

par Offshore Society / mercredi, 17 mai 2017 / Publié dans Advices

Many entrepreneurs turn to offshore to grow their capital. Let’s look at the reasons that push these businessmen to expand their activities abroad.
Less
tax – more gains

Indeed, the countries called tax havens have advantages of taxation to offshore companies. Non-resident companies are normally exempt from value-added tax (tax VAT). However, a small fee is requested by the Government each year for the renewal of your company.

A lighter tax burden creates significant cost savings, allowing you to best optimise the profitability of your business. That is why offshore enterprises are fleeing local jurisdiction tax requirements.

By choosing a destination which is favorable on tax savings, you increase your profits! This practice can also be a strategic solution to obtain additional gains or growth targets or to strengthen the stability of an existing company in the country of origin.

Confidentiality and anonymity
Through
the offshore solutions, you do your business with discretion. An offshore company is a purely legal option where the principal has no obligation to include his name in the public registers. So, you can use the service of nominees. The Director nominee will be designated as the representative of the company and will be the management functions of the company. It is his name that will appear in the documents, especially for the signing of contracts. The guiding principle of nominee guarantees a total confidentiality.

Flexibility of procedures
Installation
of an offshore company is often more flexible. Offshore jurisdictions facilitate the implementation (administrative procedures, recording) of your project and creation costs are more reasonable. In addition, management is less complex and accountability requirements are less strict than in onshore jurisdictions. Business leaders do not need to make their accounts public.

Little regulation of capitalization
Most
offshore destinations are not subject to rules of capitalisation companies. There is no taxation of capital paid and it is rare to have to free up the capital at the start of your project.

Low operating costs
Operating
costs (employment of accountants, suppliers and providers and rental of premises…) of an offshore company are much lower compared to onshore companies.

Legal protection and protection of assets
Operating in offshore guarantees protection of your property. Indeed, they are safe in the event of legal proceedings. In some destinations, banking secrecy has been established, where all your banking information remain anonymous.

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