Offshore incorporation can be an incredibly rewarding and lucrative strategy if handled properly. Let’s face it, more and more businesses are expanding their operations to allow for trade with offshore, or overseas, markets. Today is truly a global business world and companies miss potential opportunities by not considering offshore company set up. It is becoming harder for companies to reach high levels of financial success by relying solely on domestic markets. Companies can diversify their interests and increase their profits by expanding their reach via offshore company formation.
You may not know what to expect when you start up an offshore company, but the process of offshore incorporation is not nearly as daunting as it may sound. There are many location options for entrepreneurs to choose to start up their offshore business. As Asia continues to attract significant investment from western jurisdictions, it is a good region to consider for offshore incorporation. Two markets in the Asia spotlight are Singapore and Hong Kong. A Singapore offshore company, or Hong Kong offshore company, may be the right choice for entrepreneurs looking to be close to the strong growth that is happening in the regions economies, especially China and India. China is experiencing unprecedented growth and presents many opportunities because of its sheer size and volume and trade. Hong Kong is widely recognized as an affective gateway to China and one of the world top financial hubs. Singapore, while not as close to China, is ideal as a regional, and international, hub for SME and multinational corporations. The latest Global Competitiveness Report from the World Economic Forum supports this, ranking Singapore as the world's third most competitive economy.
Another option to consider is a Marshall Islands offshore company. This may be one kind of tax-exempt company that is increasingly attractive to many American and European business owners as tax fatigue has permeated people of all income levels. Offshore incorporation in the Marshall Islands area may be a little easier than in other areas of the world. An offshore company in the Marshall Islands can offer a legitimate tax-exempt structure for international business. The currency is the US dollar and the political structure there is stable, added incentives for choosing the Marshall Islands for offshore company incorporation.
Regardless of the jurisdiction, investing offshore presents potentially higher returns on your profits. Different jurisdictions offer different advantages, but two aspects that need attention when setting up an offshore company are the objectives of the business and the legal obligations from the business owners jurisdiction of residence. With the increased activity of governments against tax evasion practices, entrepreneurs should ensure their offshore business meets legal requirements of the offshore jurisdiction and their home jurisdiction.
The process of offshore incorporation can be aided by hiring an experienced corporate services adviser. As there can be a lot of research to do and many factors to consider, these consultants can help to develop the most suitable company structure. The firm can also assist with securing required licenses, permits and registration numbers, obtaining work visas and setting up office requirements.