Where offshore? |
Planning
Offshore Operations: where to go, and, why go there?
What are the key factors that smart people and businesses usually consider very carefully when looking for with a suitable offshore company location? |
They will require the offshore company location to have the right characteristics in the following major areas:
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They will also usually be looking for significant assistance in the professional administration of the company (company secretarial administration - annual renewal of the company, any reporting requirements, etc.), and total long term confidentiality regarding all matters concerning their offshore company. |
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They may need significant additional assistance in operating their offshore company, depending on how it is used; key areas of assistance include:
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The resolution of the first set of points above will determine which offshore country to choose. The resolution of the next 2 sets of points above will determine which corporate services company to choose. Normally the experienced offshore operator will buy his offshore company from the same company chosen to supply the required ongoing corporate services. |
Hong Kong:
is often used by companies with major trading volume with China and the Far East. The
address is not so provocative to home country tax authorities. More compliance is required
here, trade financing is a routine activity with the banks here. Singapore: is often used by companies with a specific need for operations in South East Asia, centered on or around Singapore. British Virgin Islands: is the most frequently used of all offshore locations: it is the lowest cost, has the lowest compliance requirements, and is ideal for all types of offshore operations. Bahamas: is very often used for offshore banking, insurance, and trust operations. The Cayman Islands: is very popular as a leading offshore banking center. The Isle of Man: is very often used to enable lower cost trade and personal services operations with the EC. Jersey: is often used to enable lower cost trade and personal services operations with the EC. Panama: is most often used for ship operations. Mauritius: is often used in a way that6 is very similar to BVI: as a lowest cost, lowest compliance, general-purpose offshore center. The Cook Islands: is often used for Pacific based operations as a low cost, low compliance, offshore location for trading and personal services operations. |
The rest of this section will set out a basic
description of the characteristics of major different offshore locations to enable you to
understand them better. Following this, a direct consultation with Stella Ho (which is
free) at NACS via phone, e-mail, or a meeting to discuss your needs should complete this
process for you.Summary: main characteristics of some major offshore locations:
Summary tables of these characteristics follow. After these tables we will give a deeper discussion of the group of major offshore jurisdictions which we at NACS see requested most often by our clients. These tables are intended to give you some idea of the different requirements for disclosure and financial reporting that are imposed by the various offshore locations. These requirements can change from time to time, so you should check with NACS before making any final decision regarding choice of jurisdiction. |
Pacific Rim & European locations table | ||||||
Hong Kong | Singapore | Cook Islands | Western Samoa | Jersey | Isle of Man | |
Stability | High | High | High | High | High | High |
Legal System | English Common | English Common | English Common | English Common | English Common | English Common |
Beneficial Owner Disclosed | No | No | No | No | Yes | No |
Tax on offshore profits | No | Yes if remitted to Singapore | No | No | No | No |
Annual Return | Yes | Yes | Yes | No | Yes | Yes |
Annual Audited Accounts | Yes | Yes | No | No | No | No |
Caribbean, Atlantic Ocean and Americas locations | ||||||
BVI | Bahamas | Cayman Islands | Bermuda | Nevis | Panama | |
Stability | High | High | High | High | High | High |
Legal System | English Common | English Common | English Common | English Common | Spanish Civil | |
Beneficial Owner Disclosed | No | No | No | Yes | No | No |
Tax on offshore profits | No | No | No | No | No | No |
Annual Return | No | No | No | Yes | No | No |
Annual Audited Accounts | No | No | No | No if waived | No | No |
To help you to get the additional information on each of these locations, plus some other locations, just click on the flag of the country you wish to review in the following table: |
Bahamas | British Virgin Islands | Cayman Islands | Cook Islands |
Hong Kong | Isle of Man | Jersey | Madeira |
Mauritius | Panama | Western Samoa | Singapore |