Offshore Company Formation and Benefits

Posted by Sterlingoffshore on April 19th, 2016

Forming and utilizing an offshore company for an international business or in an international business group structuremay be more beneficial than you think. Some of the world’s largest and most successful companies—such as Apple and Google—have offshore companies to reduce taxes in a legitimate way. Utilizing an offshore company may provide the benefit of tax deferment or tax reduction in many cases allowing you to increase profits for shareholders or reinvest in the growth of the company or group. Here are the many other benefits of offshore company formation for both corporate and private clients:

• Privacy – Business and financial privacy are under attack globally. This is why it’s a good idea to form offshore companies in countries that don’t require private companies to submit financial reports or publish financial information. Your finances always remain confidential as your information will not be revealed to third parties with certain exceptions such as in a money laundering, terrorist financing or other criminal investigation
• Reduce running costs – Most start-up companies fail in countries like the US, where running costs ten to be too high. In fact, 90% of startups fail within the first few years. Operating costs such as office expenses, staffing, professional fees and similar can be a prohibitive. With an offshore company and a quality corporate services provider these costs can be reduced as the service provider can sometimes offer services of experience directors, officers, a virtual office, accounting, legal support and more at a competitive price. What’s more, registering and maintaining an offshore company is often easier.
• Expertise – Finding domestic expertise in international business amongst professional such as lawyers, accountants and tax advisors at all let alone finding such expertise at an affordable rate is a challenging exercise. Why not work with a firm in a country that forms 10’s of thousands of international business companies each year that has all of this expertise in one place? Just make sure to choose a country that has a well-developed sector with experience in offshoring companies to enjoy highly competitive pricing.
• Asset protection – An offshore company offers one of the best solutions to protect assets held in the company bank account such as an offshore bank account as well as other assets like intellectual property and real estate investments. The laws in countries ideal for offshoring are drafted to be advantageous to these businesses.

If you are planning to form an offshore company, you will need proper representation and guidance in your home country, the country where the offshore company will be established and sometimes in any target countries of your business. With a professional company service provider, it’s much simpler to set up your offshore company and many have networks of professionals they can link you with to provide the full spectrum of advice and representation required both onshore and offshore. It is often recommended to appoint the offshore service provider to be the lead advisor to manage the entire process of obtaining advice, registering your offshore company and then of course to provide the necessary ongoing support services.

About the Company:

Sterling is a leading licensed and regulated corporate, trust, fiduciary and fund services provider delivering specialised solutions for a global clientele of international corporations, institutional investors, high net worth individuals and families as well as their intermediaries. Whether an end user of our services or an intermediary, Sterling provides an efficient, personalized approach to ensure smooth, efficient delivery of services that meets the requirements of each client.

Sterling establishes, manages and administers offshore companies and international companies, offshore trusts, private foundations and funds utilized in various structures for an international clientele spanning over 80 countries.  These entities combined with Sterling's supporting services allow us to provide a number of different solutions designed to achieve specific objectives of our clients.  These objectives broadly include asset protection, international investment, tax optimization and foreign market entry.