If you’ve heard of several entrepreneurs setting up offshore companies in the beautiful Cayman Islands, there’s a good reason for that.
Corporations in this location operate under the Companies Law 1961 and attract a number of international business and offshore investors. The island offers a wide range of banking services, and foreign company owners easily find extensive support from local authorities.
They enjoy a number of perks. Some of the key benefits of offshore company formation in the Cayman Islands include:
The Cayman Islands government has been relatively stable with a strong economy and an efficient banking system for offshore corporations. It is no wonder that it’s dubbed the international financial centre of the world.
Quick Incorporation Process
The offshore incorporation process is completed within 1 day as there’s no governmental regulatory requirement necessitating authority approval. As compared to other jurisdictions, you can enjoy low initial corporate registration fees and annual renewal fees.
The Cayman Islands follow international tax regulations. This means that unlike other ‘tax-havens,’ the place is free from suspicion by the International Organization for Economic Co-operation and Development (OECD) and the International Financial Action Task Force.
All documents pertaining to business operations in your offshore company (like the register of shareholders) don’t have to be registered with the Cayman Islands government. They can safely be stored wherever you wish.
Also, no annual audit or shareholder meeting is required and your Register of Directors is safe from prying public eyes.
No Tax On Shares Transfer
In case you want to transfer your offshore company shares to a third party—in the currency of your choice—there is no need to pay taxes or duty stamps. The exception is shares transference related to real estate investment.
The island doesn’t even tax capital gain, corporation gain, payroll, or personal income. Expats can enjoy ideal investment conditions as there are no reserve requirements either.
Your Cayman Islands corporation can function under a single director and shareholder. They can both be the same entity or person with no additional director, shareholder, or officer needed.
It’s allowed to have mergers with other corporations in the Cayman Islands, as well as with those in other countries. Any jurisdiction can be responsible for the merged corporation. Such corporations often want to remain in this location for all the benefits they reap.
To form a corporation in the Cayman Islands, you need a registered agent and office. Talk with Mikkel Thorup, coach and consultant for entrepreneurs, who want to internationalize their businesses to save money on taxes, add additional streams of income, protect from litigation, and regain privacy and control over their lives.
Tune in to his weekly podcast, The Expat Money Show to learn more.