Offshore abroad. Benefits and specific features.

Tax characteristics of offshore companies abroad makes it an attractive tool for solving various corporate tasks. Offshore jurisdictions are noted for their tax friendly status, while some countries such as the UAE, do not impose any taxes on such legal entities.

In addition, well-structured offshore enjoys the following benefits:

• Confidentiality of owners of the company

  This specific characteristic is important for business in case, for example, of unfair competition. Details regarding shareholders and directors are available only to authorized persons.

• Simplified currency control

  When doing business with overseas counterparties each business transaction entails execution of a great number of different documents. In case of one supplier, currency control procedures are not so complicated. However, in case of wide range of products and dozens of suppliers it is impossible to operate business without hiring large number of employees responsible for preparing, coordination and signing of contracts and filing the supporting documents. In turn, offshore greatly facilitates the execution of this part of business.

• Non-disclosure of commercial confidential information on suppliers

  Exclusivity of suppliers is the competitive advantage of your company? Having incorporated an offshore you will ensure thorough protection of information regarding your suppliers.

Characteristics of offshore company

• An offshore company is a non-resident in the country of registration. Commercial operations are carried out outside the jurisdiction of incorporation.
• In most cases an offshore company is entirely exempt from taxes, or such amount of taxes is relatively small, and is only limited to a small annual registry fee (for example, in the UAE).
• The procedure for incorporating and managing offshore abroad is quite simple. Requirements for general meetings of shareholders and board of directors meetings are quite formal. Besides, it is possible to appoint nominee directors.
• Offshore abroad is an attractive tool as there is no currency control in the country of incorporation. On company financial reporting - there are also minimal requirements with regard to financial statements and reporting or such requirements are totally absent as. In the UAE currency control is absent and submission of audit reports is not required.
• The aspect of ownership with regard to offshore is completely confidential, however, when proceeding with company registration, you are required to provide your documents, including your passport and proof of permanent address of residence.