Offshore banking, or international banking as it is sometimes referred, is more popular and prevalent than ever, and all signs seem to indicate that there will be no slowing down this trend. The world is fast becoming a much smaller place, and the barriers that used to make it hard for people to do business in other countries have all but dissolved in the face of new regulation. Offshore banking is not about setting up a secret bank account. It can be a viable option for your company to consider if wanting to take advantage of the opportunities that globalization brings. For Entrepreneurs looking to start up a business, with some of your business activity overseas, setting up an offshore bank account should be part of this process.
An offshore bank account is not that much different from a domestic account. As more and more people are participating in international banking, the banks and accounts themselves have gotten more and more user-friendly. A corporate services company can be a valuable partner when investing offshore. Finding an experienced consultant can assist in the strategy development process as well as the execution of banking offshore, or setting up a company offshore. A professional offshore consultant will have knowledge and experience of various offshore jurisdictions and the advantages, or disadvantages, which come with each.
When you decide to start your offshore bank account, you will need certain information and due diligence. These requirements can vary according to the jurisdiction but, in general, requirements can include:
i) Company incorporation documents
ii) Copy of passport
iii) Bank reference letter
iv) Address details
Once your offshore banking services are up and running, benefits such as operational efficiency, international funds transfer and multi-currency accounts can be taken advantage of. In today’s global economy, it is very prudent to try different things and keep your options flexible and open.
Offshore banking is a strategy available to both individuals and companies looking to improve investment efficiency and overall financial position. Due to focused attention from governments fighting tax evasion, offshore banking activities need to be researched and planned to ensure all legal requirements are met. Obligations must be met for the offshore banking jurisdiction as well as the investor’s home jurisdiction.