Company establishment abroad – Start your business abroad, build your success story together
It’s no secret that the business environment in each country has pros and cons. How should you choose which country is ideal for your company establishment?
The most common reasons for entrepreneurs entering offshore businesses are:
- Ownership and identity protection of the owner and director
- Financial – tax optimisation
- Reducing bureaucracy
- Strengthening the brand
- Financial reason – by setting up an offshore business, you can use tax optimisation to decrease your tax by a considerable amount.
However this doesn’t have to be the main reason, tax optimisation can also be used to protect the identity and the privacy of the business owners.
Another common reason for overseas company establishment is the requirement to reduce the bureaucratic burden on the company – entrepreneurs want to rid themselves of excessive mandatory administrative acts.
There are destinations that are more welcoming for company establishment than others
Strengthening the company brand and the subsequent company growth on the global market is also a possibility with offshore company establishment.
It is important to note that not every company establishment abroad and subsequent billing, automatically means that this solution is automatically legal – if the solution is inappropriate, the steps selected could be classified as tax evasion. When a company optimises the amount of tax benefit it isn’t the same as when the tax isn’t paid and illegally hidden.
The goal of optimisation is to minimise the amount of tax liability within the legal channels.
How to make use of the benefits of conducting business with foreign companies while fully complying with the laws of the country and the EU?
Company establishment abroad. We’ll be happy to advise you
We have many years of experience in finding solutions for different types of businesses and we can also find the optimal model for you.
There are many places to choose from in the company establishment process- choose from the place that suits you best from 64 destinations! Each country has its own set of benefits for entrepreneurs.
Foreign destinations can be divided into onshore and offshore by the type of benefits they bring to entrepreneurs.
Countries that are onshore are countries that are predominantly located in Western Europe, offering a more stable legal environment and a lower rate of taxation.
These countries require accountants, tax returns and tax payments from their residents. Typically, they include the United Kingdom, the Netherlands, Switzerland, Luxembourg, Malta or the United States.
Offshore countries, on the other hand, require minimum statements and fees from their residents (a company usually only pays a fixed annual fee, regardless of their turnover), it’s usually not necessary to keep accounts.
However, while a seat in onshore destinations usually increases the credibility of a business in the eyes of business partners, it’s the opposite when it’s based in offshore countries. Typical representatives of offshore countries are, for example, Seychelles, Bermuda, British Virgin Islands, Gibraltar, the Bahamas or Belize. Inappropriate integration may damage the company brand.
There are different models of how to manage a company
The first option is to use brokerage services on a one-time basis when setting-up a company and bank account, and then leave additional administration such as sending reports or communicating with authorities to an executive or other internal employee.
Another option is to use a ready-made company that already has history, prepared documentation, and outsources its administration to a specialist who handles all the necessary operations at the offices (similar to an external firm used for wages or accounting firm)
Of course, even with the use of these services, the client still has full control over their company and has full authority over all legal acts that they can further grant.