An offshore company is a company incorporated for the purpose of operating outside the country of its registration and/or the place of residence of its directors, shareholders and beneficial owners. They are sometimes known as non-resident companies.
There are a number of benefits that you can take advantage of through offshore company formation plans whether you are seeking, confidentiality, asset protection, tax savings, privacy and or even if you want to simply grow your business.
Forming an offshore company or incorporating offshore means you need to select a country. Each jurisdiction may have a slightly different value proposition for you and the benefits will then to vary. Below are just some of the general benefits of offshore company incorporation:
- Asset Protection
- Lawsuit Protection
- Taxation (varies depending on your jurisdiction)
- Financial Privacy
These general benefits are more specific to the UAE:
- 100 per cent foreign ownership.
- Zero corporate taxation for up to 50 years.
- Autonomy to repatriate capital and income in totality
- No import duties
- No personal income tax
- No currency restrictions
- No bureaucratic red-tape
- No staff recruitment problems
- Quick and accessible communication
- Modern infrastructure
- Low operating costs
- Attractive business prospects
- Amazing work environment
- Owned premises on leased land can be mortgaged.
Minimizing taxes and increasing confidentiality are not the only benefits of setting up an offshore company. Although tax effectiveness is the first and foremost benefit that comes to mind when considering offshore companies, the opportunity to considerably reduce business overheads is also a very attractive advantage.