Updated: Oct 31
The incorporation of an offshore company is a good way to protect your assets and save money on taxes. It's possible in a variety of offshore jurisdictions and tax havens all over the world. Countries that are well known as tax havens offer low or zero taxes on company profit, light banking and company formation procedures and the ease of performing and managing international operations.
Doing business in Africa necessitates the establishment of an offshore company that complies with local laws and regulations. Africa is establishing itself as one of the most progressive economies on the planet. The prosperous economy and business-friendly laws have attracted corporations from all over the world.
How To Setup An Offshore Company Formation
Setting up an offshore company is easy, straightforward, and convenient, requiring just a few basic personal details, and can be completed in days. We'll walk you through the process of selecting an offshore company, registering it, and creating it. The three steps to forming an offshore company are as follows:
1. Offshore company selection
The first step is to decide on the jurisdiction, form of company, and name of your offshore company. In other words, consider not only the tax climate of your chosen country but also the intent of the business, the initial and ongoing costs, and privacy and confidentiality concerns.
Every African country has its own tax laws. A country like Mali participates fully in international conventions to promote transparency and safety of global business. Making agreements for the avoidance of double taxation. Ensure you're tax-compliant by contacting a trained accountant or lawyer to ensure you're not forgetting anything. The structure, venue, and corporate vehicle to be used are all influenced by tax information.
2. Offshore company setup
Once you've decided on an offshore jurisdiction, you'll need to draft Articles of Association to establish a legal document for the company's creation. The directors'/shareholders' roles will be set out in the company bylaws and an internal framework for the corporation to work under.
Company registration requirements consist of:
Director's name or name of the beneficial owner
Physical address proof
Processing and governmental fee
However, depending on the organization and jurisdiction, there could be a few more small pieces of paperwork to complete, such as know your customer (KYC) forms or a thorough background check, before the registration process can be completed.
3. Offshore company formation
It's time to apply to the appropriate company registry after completing the offshore company registration and paying the government fee with all necessary documents. Before the business is established, more thorough checks are performed on the paperwork.