Imagine what your corporate profits could be like if you had to pay absolutely no corporate tax, and what your corporate bank balance might be if you didn't have to pay compulsory superannuation, social security payments or penalty rates to your employees.
The change would be amazing! Offshore company formation for Hong Kong companies, or offshore company formation for Singapore companies can seem like a daunting task, but it is well worth the benefits. We go through what your company could be like if you relocated offshore, and what your business consultancy in Hong Kong or Singapore business consultancy management professionals can take care of for you.
Tax reduction is the biggest benefit of offshore company formation for Hong Kong and Singapore companies. Local corporate tax rates can be high, but depending on your area of business they could be reduced to nil with an offshore based company. Your company formation services professionals will usually choose the jurisdiction which exposes your offshore investment biz to the least tax liability. However, you should check with your Hong Kong or home fiduciary services that you won't be exposing yourself to even greater taxes at home, by operating offshore.
Privacy is another great asset of offshore company formation services, and with the assistance of aspects like nominee shareholders and directors, even greater confidentiality can be maintained. Of course, access to the beneficial director's details is still possible for legal reasons, but the information is not in the public domain. If you wish to invest and trade through your offshore company, making money from an offshore investment biz or investment management services, you can do so through your offshore company, yet remain one step removed from the operations. Liabilities rest first with the company, not with you personally.
You can also help protect your business from local risk, by using Hong Kong offshore company formation services. The best Hong Kong asset protection levels are often achieved by taking assets into a more stable jurisdiction, especially when economists are predicting hard times. Using Hong Kong offshore company formation services or Singapore offshore company formation services also means your business is less exposed to litigation risk and erosion, as well as the general tax liabilities mentioned earlier.
Your Hong Kong company incorporation service or Hong Kong financial services company can advise you on the best structure for your business needs. These are some of the types that are common and may be recommended for your business. Companies with a share capital issue shares, which may be sold or transferred, and can increase in value or be paid out on liquidation. Companies limited by guarantee (which are referred to differently in different countries) have members that agree to pay a maximum limit each, in case the company becomes insolvent. Estate planning schemes and non-profit organizations commonly use this structure. Protected cell companies are another type, where assets and liabilities are grouped into cells. One department's liabilities cannot be satisfied with another's assets, and mutual funds and insurance linked companies often use this structure.
About the Author:
The Zetland Fiduciary Group- provides
China financial services ,
Nominee Shareholders directors ,
company formation services,
Bank account opening and financial consulting in Hong Kong, offering personal service and professional advice with total confidentiality
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767
Date Published :
Mar 13 2009