How To Complete Offshore Company Formation

By Author: Lawrence Smith
Total Articles: 1
Comment this article

So, you've decided to go offshore. You've done your research, you know the risks, you're covering the costs.

This how-to guide will help to ensure a smooth process for completing offshore company formation. These rules apply for first-time global entrepreneurs and well-seasoned business professionals alike.

Setting up offshore, going global, incorporating overseas can be a daunting prospect. For every country in the world, the company incorporation requirements differ. Company law, tax laws, even company name registration - no two experiences are alike; but the process is actually quite straightforward and different jurisdictions will have common aspects.

1. Get connected.

Retaining a reputable business consultant is the first, and an important, step to starting your company abroad. The guidance of a corporate services firm will help to ensure smooth offshore company formation and also provides the strategic advice for successful business operation.

In many cases, there are ...
... pre-approval processes, or extraneous organisations that need to be consulted. In these cases, it is best to have a reputable consultant that already have the appropriate experience, connections and clearance to expedite the process and get government approvals. A consultant will file your paper work, ensure your fees are paid, open a bank account - all with little hassle.

2. Choose your location.

An offshore company - any company that conducts business outside the country of its incorporation - can be an optimum business solution for different business objectives: whether it's to save taxes, achieve greater business freedom, protect assets, minimize reporting, or maintain privacy. It is important to choose a respectable jurisdiction that is free of any negative stigma of illegal activities, such as money laundering and tax evasion. An offshore company in Singapore, or a Hong Kong offshore company, are investor-friendly business vehicles in economically and politically stable environments.

3. Create your business plan.

An experienced consultant will first determine your basic business needs and discuss your options with you for offshore company incorporation. Upon agreeing upon a suitable location, structure, and detailed business plans, your consultant will collect all due diligence paperwork and proceed to create a detailed project plan, with timeline, services and fees.

4. Sit back and incorporate!
At this stage, your client involvement is minimal. Your company incorporation agents will register your offshore company with the appropriate government bureaus and registries. Upon completion, a reputable consultant will provide you a complete company kit including: your original Certificate of Incorporation; a copy of government-approved memos and articles; original share certificates; an extract from the Public Register with company details available for public viewing (if applicable in your chosen jurisdiction); and an original government receipt as evidence of payment of the annual offshore company registration license fees.

5. Get the most out of your incorporation.
Offshore company support services can also be provided if required. These may include a virtual office that offers a reputable international business address, telephone and fax line. Consider other ways your corporate services firm can help your offshore company to prosper after you have incorporated. For instance, opening bank accounts, finding an office, hiring staff, applying for employment visas, filing corporate taxes, designing a website, marketing your business It's important to hire a consultant that can help you set up once you're on the ground.

Setting up an offshore company can be a rewarding strategy for entrepreneurs. However, the process requires planning to maximise effectiveness and avoid any issues. Engaging the services of a reputable company formation agent will help to ensure you're best interests are served.