FAQ

FAQ




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  • 1.

    What is “offshore”?

    As we know, word “offshore” came to Russian language from English. In English the term “off shore” is often used and  can be translated to Russian as “outside borders”. This word may be applied to several meanings. Offshore is a jurisdiction, country or its part, where the tax burden is absent. That means, that if certain criteria are met, taxes are not charged. Only the payment of fixed annual duties is obligatory. A company, registered on the offshore territory also may be called “offshore”.

    The condition of tax exemption of the offshore company are:
    • the company does not conduct economic activity on the offshore territory;
    • the company does not receive incomes on the offshore territory;
    • the owner of this company is non-resident
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    2.

    Why do you need a company in offshore jurisdiction?

    The offshore company may be the solution of tax question. With the help of offshore company you can organize financial flows in such way, that the tax burden for your business will be a minimum one. For example, lead-out of your assets to the offshore territory can help you to avoid the taxation of a resident company.

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    3.

    Is it legal to use offshores?

    Using the offshores, i.e. companies registered in offshore jurisdictions, as one of the ways of doing business is absolutely legal. Taking into account the fact, that the principle of optionality is the basic one in the private-law relationships, natural persons and legal entities acquire and realize their civil rights  with their own will and in their own interest. They are free in establishing their own rights and duties on the contract basis if these rights and duties do not contradict the legislature on the basis of the agreement. So, using offshore structures in your business is legal, if there are no violations of economic, tax criminal law. If you have any doubts about the legality of your company's activity, you can apply to us. Our specialists, if you desire, will consult you , give you the legal opinion of your transactions or grant you the legal conclusion for the question, you are interested in.

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    4.

    Which tax or other legal consequences can have the registration of company in offshore zone for the Ukrainian businessmen?

    The person, who has registered a company in the offshore territory, does not have to be afraid, that it can lead to some negative effect, on the condition, that all the requirements of the law were followed.

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    5.

    Are there any restrictions in the activity of offshore company?

    Offshore company can conduct its activity and operate transactions in any country of the world, except the jurisdiction, in which it was registered.

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    6.

    What is the connection between my offshore company and the legislature of my country?

    There is absolutely no connection. Your foreign company is an independent legal entity of the country, where it was registered. It is not obliged to submit accounts in any other country, to accredit or in other ways to report to the authorities of other countries, if you do not conduct your activity there.

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    7.

    How to use the abilities of offshore company in Ukraine?

    In the world practice offshore companies are used for minimization of taxes in external economic activity, when in the scheme of buying-selling between the real seller and real buyer appears the company-intermediary – offshore company (the company, registered in the country with tax concessions) through the account of which the means are transferred and the greater (or the whole) part of income stays  in this company. Getting the means from the account of the offshore company in any  part of the world does not have any difficulties. There are more complicated schemes, that use several companies in different countries, which grant tax concessions.

    We offer ready made and individually worked out schemes, according to the needs of the client, that give any Ukrainian company (trading, industrial) an ability to minimize tax payments in Ukraine, using its offshore company. You can invest the means of the offshore company in the form of a credit to your Ukrainian company, increase the salary of your employees  and pay it  in SKV without augmenting the tax payments and many other abilities. And everything is ABSOLUTELY LEGAL!

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    8.

    Who manages the offshore company?

    The management of the company, that means making important decisions and direction of the company, does the owner of the company, our client. The administrative support and management, according to your wishes provides our company. Nominal directors and shareholders of the company do not have a right to do something without your directions and instructions. 

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    9.

    How can I manage my offshore company?

    Operative management of the company or more exactly of its assets, is done by its director or in the case of nominal director – by the attorney on the basis of the power of attorney. What actives a new offshore company may have? Bank account. That means managing of bank account. Usually, banks allow managing the account via fax or with the help of software for personal computer – via modem. There are special ways of defense from the illegal  access to the account.

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    10.

    What is the difference between offshore jurisdictions and jurisdictions with low taxation?

    Offshore territory is the territory, where according to the legislation there is no tax burden. That means that the company, registered in offshore zone, does not pay taxes, if works according to certain conditions. (does not conduct economic activity on the offshore territory ect.)

    Jurisdictions with low taxation are the territories, where the supportive environment for he development of your business was created with taxes lower, than in the majority of countries of the world. To the jurisdictions with low taxation we can include Gibraltar, Hong Kong, Cyprus, Lichtenstein, Luxemburg, New Zeeland.

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    11.

    How to choose the right jurisdiction?

    Usually, the choice of jurisdiction is a time-consuming and responsible process, that has many peculiarities and requires availability of the huge amount of actual information, beginning with the legislation and taxation and ending with economic and political situation in the country of registration. For the right choice of the jurisdiction, where you would like to incorporate an offshore company, you need  define the aim, which you want to achieve and for what purpose you will use your offshore. Based on your aims and wishes, our specialists will consult you according to the most attractive jurisdiction for you.

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    12.

    In what schemes offshore companies may be used?

    Offshore company may be used in the process of building different schemes for the optimizing of taxation. These can be trusts, incorporation of which is very profitable from the point of view of business building, structuring export-import operations, decreasing of taxable base of the enterprise with the help of paying the services of offshore company, management of movable estate and real estate and intellectual property through the offshore company. So, almost in every business you can use offshore scheme, that will cover itself and will bring profit to its owner.

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    13.

    In what directions offshore companies can be used?

    • External economic activity  and trading operations;
    • Ownership of real estate;
    • Ownership of corporate rights;
    • Ownership of movable estate;
    • Correction of gross diversion in the country, where the real owners of the business are situated;
    • Credit schemes;
    • Renewal of circulating assets
    • Optimal usage of intellectual property objects
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    14.

    How much time does it take to register an offshore?

    Offshore registration does not take much time. Everything depends on the jurisdiction, where you would like to register offshore and on the work of state registration bodies of this jurisdiction. Usually, the whole procedure takes up to 2 weeks, including the delivery of documents. If you need an urgent solution, you are able to buy a shelf company. (see “What is a shelf company?”)

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    15.

    What do I need to register a company?

    The procedure of registration:

    • Signing an agreement with a client;
    • Filling an application of incorporation, specifying the country of registration, no less, than 3 variants of the company's name, the founders of the company
    • client's payment
    • accomplishment of the registration procedure by us with the help of legal company-agent in the country of registration
    • receiving by the client personally or delivery with the courier the set of corporate documents for the company in the agreed terms (depend on the country of registration)
    • formation of the documents for opening the bank account in foreign bank (application, card with examples of signatures, copy of Articles of association, copy of the first page of a passport) and opening of the coded corporate account (3-5 days in Baltic bank, up to 3 months in American or European bank)

     

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    16.

    What documents are required for registration of the company and opening of the account?

    For registration of the company you need to sign a contract for consulting services with our company, fill in the application for incorporation and pay the selected list of services according the price list.

    For opening an account in Baltic banks you need:

    • application for opening the account (it is filled in our office);
    • copy of the minutes of the director's appointment;
    • card with the examples of signatures and signatures of persons, who sign payment documents (are filled and legalized at our office) and copies of their passports;
    • copies of the certificate of registration and corporate documents of the company

    The process of opening of the bank account in western countries has additional requirements and conditions, the procedure is more complicated and time-consuming, because the majority of high-class banks follow the principle “know your client”

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    17.

    Is the personal presence of client necessary for the registration of the offshore company?

    Personal presence of the client in the country of registration of the offshore company is not obligatory. Such requirements are not stated by the legislation. Our company is the agent, that has the authorities for registration of offshore companies and provides the client with the full range of services in this sphere. The presence of the client is obligatory only in our office and the client must have the documents, that certify the person of the beneficiary of the company and the passport of the person, who will be stated in power of attorney.

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    18.

    What documents should a natural person or legal entity provide in the case of willing to create a company in offshore jurisdiction?

    In order to register a company n offshore jurisdiction for you we will need a document, that identifies the person of beneficiary and the attorney. An attorney is the natural person, in the name of which the power of attorney will be given. If the founder of the company, that means the shareholder is a legal entity, we will need the certified copies of corporate documents of this legal entity.

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    19.

    Can I register a company for 1 year?

    Some firms, that open offshore companies, suggest a client to register a company for 1 year. Of course, every case of incorporation an offshore company is rather individual, depending on the aims, which its owner wants to achieve. Sometimes for short financial schemes if the necessity of the future maintenance of the company is absent,  it has sense  (and for the registratior is not of big difficulty) to register a company and till the end of an accounting year (in order not to pay the renewal charge) to liquidate it. But in the majority of cases the advice to register a company for 1 year is just a marketing tip of the registration company-agent. Getting income only from the selling of out of taxation company, the firm does not see enough of financial interest for itself in its maintainece. (it is not clear for whom is the trick, who sells, and for whom it is not profitable). Really, work on its annual maintenance is rather time-consuming and not so profitable. But for the owner of the company it is much more profitable to make annual payments, continuing work with the already registered (and one, that has appeared in important transactions) company, than to open a new one every year.

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    20.

    How to choose the name of the company?

    The client can offer 3 variants of the company's name. These names are checked by the certain authorities of the country, where the company is registered. They can be rejected on the basis of the fact, that they are alike the names of already registered companies. In case of rejection, we inform a client abut it and help to choose a new name, that have not been previously used. 

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    21.

    What types of activities can an offshore company conduct?

    According to the legislation of Hungary and Cyprus, for example, the types of company's activities should be listed in the Memorandum of Association. In the Memorandum of a standard set of documents for a company, the maximum list of activities except those, that require special permissions is stated in order that a company could have a right to conduct all activities.

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    22.

    In what bank it is better to open the account for an offshore company?

    The choice of the bank may be connected with different factors. For an offshore company  the Cyprus and Baltic banks are the most convenient and the most frequently used. They are also attractive because the procedure of opening an account takes not so much time. The choice of the bank can also depend on the suggested amounts of turnover on the account, the suggested amount of remains on it. We help our clients with the choice of the optimal bank, taking into account the client's wishes and needs .

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    23.

    What is a registered office?

    It is stipulated in the legislation to state the registered office during the registration of the company and it will be the registered office of the company.

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    24.

    Is it obligatory to have the business office in the jurisdiction, where the company was registered?

    No. It is enough to have the registered office.

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    25.

    Is it obligatory, that the management of offshore company should be situated in the jurisdiction, where it was registered?

    No. Company's management can be situated in every country. All the decisions about concluding of the agreements, payments, distribution of the capital can be made by the shareholders independently from the place of their situation.

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    26.

    What documents should be provided by the shareholders?

    Company's owner should fill in the standard application, offering information for the registration and managing of the firm

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    27.

    What documents do the owners of the company receive after its registration?

    The standard set of company's documents includes:

    • Memorandum and articles of association;
    • Certificate of incorporation;
    • Certificate of registered office;
    • Certificate of founders;
    • Resolutions of shareholders;
    • Resolutions of directors;
    • Certificate of shares;
    • Signed before directors letters of resignation;
    • Signed before documents about share transfer;
    • The seal of the company

     

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    28.

    How the delivery of documents is done?

    The documents are delivered by DHL or other international courier service

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    29.

    What expenditures does the client bear for one year of company maintenance?

    For the year of company's maintenance the main expenditure of the company will be payment of a fixed annual maintenance. Moreover, for the work you will need the power of attorney, for which you will also need to pay. If it is required, you will be able to get the Certificate of Good Standing or/and Certificate of Incumbency.

    Depending on the jurisdiction, you may be obliged to submit annual financial statement. The price of the preparation of a financial statement is not fixed and is determined depending on the volume of the work, that has to be done by the auditor.

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    30.

    What is “nominee service”? Which services can be provided, using nominal service?

    Nominal service is providing a nominal director and nominal shareholder of the company. They are called nominee because they do not have any rights to demand anything in respect of the company and are not liable. In some jurisdictions both: natural person and legal entity may be a nominal director. But you should not think, that using nominee service is obligatory for the offshore company. Every person, chosen by the client may be appointed a director we also need the agreement of this person. But it is able only in those jurisdictions, where the residence requirement for the director is absent. Such requirements are stated in Hong Kong, that means that using nominal director there is obligatory.

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    31.

    What are the guarantees that the nominee directors/shareholders will not “bunko” a company?

    Nominee directors and shareholders do not have the authority to manage and command the company. They do not have an ability to be in charge of company's assets, also can not sell the company or make other decisions without   the direct instructions of the owner. The guarantee is declaration of trust, that is concluded between the owner of the company and nominee directors and shareholders. The companies, that provide nominal services, should be registered and get licenses n the country of their being, that means that they are the subject to the governmental regulation. Moreover, in some jurisdictions it is stated in the legislation, that the nominee directors and shareholders are liable.

    The international practice, that has settled, the customs of business  turnover and our substantial experience in this sphere guarantee a full defense of the company from any unlawful actions of nominal directors and shareholders.

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    32.

    What is nominee directors and shareholders?

    Tax and financial authorities of many countries treat negatively the fact of registration of the offshore companies by their citizens, apprehending it as an attempt to avoid taxation. In practice, such treatment is expressed by issuing different legal acts, those are aimed to restrict businessmen's abilities in the sphere of incorporating and functioning of offshore firms with the help of certain sanctions.

    But as we know, there is no poison without antidote and in our case the institute of nominal owners and directors, worked out by the international legal practice, is such antidote for the restricting actions of the state bodies.

    Using nominee owners and nominal directors has sense first of all in offshore firms, registered in those jurisdictions, where the owners and the directors are fixed in state register and, in particular, if this information is open for public attention. In such case this data can be got by the tax authorities of the residence country for the owner and the director of the company and be the reason for different repressions in respect of them. That is why  it is widely spread in the international practice for the owners and shareholders of the company not to act from their own names. For this purpose during the process of registration a company all the shares are filled in favor of nominal shareholders, the right to manage a firm get nominal directors, and accordingly the names and address of nominal directors and shareholders are stated in all official registers and documents. Simultaneously with filling the documents for the names of  nominal shareholders, the document that is called “Declaration of trust” and that confirms the fact who is a real owner of the company's shares is also filled. This document implies the liability of nominal shareholders before the court in case of abuse of their authorities.

    When using nominee directors the owners of the company have the right to fire the director, without notifying him of it. In some countries the law treats the discharge of the director to be valid only if it is agreed by him in writing. In such case nominal directors beforehand submit signed letters of resignation  without a  stipulated date to the real owners, that gives the owners an ability to fire them at any moment  by writing a certain date under the declaration. In the majority of cases, of course, the owner of out of tax company wants to be its director, that means to represent it in all transactions, including signing of the contracts, opening of bank accounts and managing them. In this case the owner the owner of the firm needs a power of attorney from a nominal director, that authorizes him to conduct the firms activities. Than the role of nominal directors is restricted only to the substitution of the real owner and director in state registers, and the nominal directors do not have even a theoretical ability to abuse their situation, because the whole information about the company's activity, its finance and location of bank accounts is  concentrated in the hands of the real owner.

    You can avoid using nominal owners in the case, that the legislation permits issuing ordinary shares and in this case the names of the owners are hidden. In the countries, where the confidentiality is  absolutely provided (British Virgin Islands, Belize, Bahamas and others) using nominal directors and shareholders has sense only in special cases.

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    33.

    How high should be the degree of confidentiality for the real owner of the offshore company?

    Of course, the client does not have to come to the firm, servicing its offshore company in the mask and without documents, that identify their person. And it is obvious that the client has to believe his servicing firm not less than his lawyer or his doctor. The specialists, who register   the offshore company, have to know the name of its real owner, because only in this case they will be able to secure the company from unauthorized external penetration. In the special agreement with a client they beforehand discuss the list of people, from the name of which the orders for servicing a company may be received and the address, on which all the necessary documentation will be received.

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    34.

    Who is the secretary of the company?

    Natural person or legal entity may be the secretary of the company, who is responsible for execution of judicial or legislative requirements to the company's activity, such as preparing of annual statements and tax payment.

    Unfortunately, there is used the same term, that is applied to the worker, known under the name of  secretary, that can sometimes lead to misunderstanding of our clients.

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    35.

    How to secure the confidential information about the real owners of the company?

    Securing the information about real beneficiaries in offshore jurisdiction is very easy. The legislation in offshores suggest several ways of doing it. You can use nominee service and appoint nominee directors and shareholders. Also you can appoint a legal entity as the director of the offshore company, the shareholders also can be legal  entities.

    The information about beneficiaries is not saved in any register.  Even the information about the directors and shareholders is not public. That is why the beneficiary can be confident, that during the work with offshores  there will be no disclosure of confidential information.

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    36.

    To whom the information about the real owners of the company may be disclosed?

    The information about the real owner of the company can not be disclosed without his knowledge and direct instruction. The disclosure of information about the real owner is required only in the process of opening a bank account. After the client's consent and  with his knowledge this information is given  to the bank for conducting the procedure of compliance. With the help of it banks conduct their internal policy “Know your client” in order to know, with whom they work.

    Unauthorized disclosure of information about the owner of the company may take place only according to a court decision, if the criminal case is brought before the court. In such case all the data should be given to the state bodies.

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    37.

    What is the annual maintenance of the company, why do we need it?

    Almost in every jurisdictions you need to renew a company annually, that means to submit audit statements or declaration (where it is required), pay required taxes and charges, pay for the services of Registering Agents. In case of submitting payments of obligatory charges out of time, not submitting of statements or not conducting of other obligations the fines for the company are charged. If they are not paid in certain terms, the company is struck off the state register. It is possible to renew a company, but almost always it is much more expensive than just to register a new company.

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    38.

    What legal requirements are set for the managing of the company?

    Annual meetings. The majority of legislative bodies require holding of annual meetings of the founders, during which there should be introduced and discussed such questions:

    • Accountant and financial statements. Annual maintenance of accountancy leads to creating of the financial statement, that represent a balance sheet and the statement of incomes and expenditures. Both: the accountancy and financial statement should be prepared according to the accountant principles and the practice of a certain jurisdiction.
    • Audit and financial statements. According to the requirements of some jurisdictions, financial statements, prepared by local accountants, should be checked by the independent auditor-professional. The auditor confirms correctness and preciseness of the financial statements on the basis of available information.
    • Annual statement. Annual statement is the company's statement before the certain state bodies of the jurisdiction, where it was registered. The information in this statement describes the legal structure of the firm (directors, shareholders) and changes in it, if they took place last year.

     

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    39.

    What documents must the client prepare and submit for the financial statement?

    Once in the year, the company must provide a financial statement and to pass the audit. For the preparing of such statement the commercial documentation for every sum of money, that has transferred through the bank account(s) of the company is required. These can be invoices, contracts ect, provided in originals or via fax. The account must documentary confirm the essence of the sums, if it is a turnover, expenditure, credit, withdrawal of money by the shareholder ect.

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    40.

    How the taxes are identified?

    Western accountancy does not  set standards for articles of expenditures. They include all the expenditures, connected with getting the company's incomes, incomes, that were planned or were not received or maintenance of company's activity. Expenditures also include salary and fees. Everything, that remains from the earnings after the deduction of all expenditures, is considered to be the profit, on which taxes are charged.

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    41.

    How can the company, situated far from its owners, function?

    Answering this question, we must remember, that the majority of offshore companies are so called “paper companies”, that means firms, that do not have the operating office, the workers in the country of their registration.

    Actually and mainly, company's work is limited to the work with its bank account, even signing of contracts from its name usually is secondary question. That is why the connection between the owners and directors of the company with the country of registration is just nominal – once in a year you need to pay taxes and annual maintenance of the company.

    The necessity to travel to the country of registration almost never appears. That is why the fact, that the company is registered in country, situated on the opposite side of the globe, does not have to confuse its owner, because it does not influence the convenience of working with it. The important for the company and such, that determines its activity in the future is opening a bank account and its managing.

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    42.

    What are the consequences of deleting a company from the state register?

    The most negative ones. In the USA, for example, for conducting your activity under the name, that does not exist, you can get to prison for 1 year. All  corporate documents after its dissolution are not valid and so on. To put it shortly, you can get huge problems.

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    43.

    What is “apostille”?

    Apostille is an international certificate, that helps to simplify the procedure of company's legalization in countries, that have signed the Hague convention. For the documents, certified by this certificate, any additional legalization is not required and they must be  admitted by  the authorities of these countries in all levels. Ukraine belongs to such countries. 

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    44.

    What forms of ownership, beside joint-stock company, public joint-stock company, private joint-stock company, limited liability company can be incorporated in the USA?

    Forms of ownership – only private, and legal organization forms, that are determined by the ways of building of share capital – public or private.

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    45.

    What are the permitted types of activities (except banking) for the private form of ownership on the territory of country of registration and place of doing business of the subsidiary?

    All  types of activities are permitted, except those, that require licenses (banking, insurance). But if you conduct your business activity in the country of registration – it is not an offshore company any more, this is a simple resident company, that has to pay all existing taxes in the country of registration. This is the main peculiarity of the offshore company – for using a preferential conditions of taxation it must not have any business with the   residents of the country of registration!

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    46.

    What share capital is required for a private company?

    There exists incorrect thought, that this  sum of a capital should be transferred to the bank account and stay there during the company's activity.

    Depending on the country of registration, the minimum size of share capital  for a new country differs. In some jurisdictions the minimum amount of the share capital is not stated (state Delaver (USA), Bahamas). During the registration of offshore companies, usually these companies are registered with the maximum available share capital with the minimum annual  license charges (charges for exemption from taxes). Also, in the majority of offshore jurisdictions the requirement of obligatory payment of share capital is absent. (Vanuatu, Gerncy, Jercy, Samoa, Malta, Nevis, Hong Kong, Man, Cook Islands, Mauritius and others)The certificates of shares are issued for the sum, that is equivalent to the sum, set in the legislation for the minimum size of capital. 

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    47.

    Can the scheme with the subsidiary of the offshore company exist in Ukraine?

    Yes, it can exist, but if you open a subsidiary in Ukraine with the aim of doing business on its territory, you need to pass the procedure of accreditation in the Ministry of foreign affairs, be registered in the Ukrainian tax body, open a bank account in Ukrainian bank and to pay taxes (!), that exist in Ukraine, that means that the subsidiary of foreign company in Ukraine does not differ from the simple Ukrainian company in respect of tax questions. Tax treatments of Ukraine do not apply to the incomes of the subsidiary.

    The schemes of tax minimization with using of offshores are used in the international practice exactly in the international trading and financial activity (that is sometimes used only on paper, without the physical crossing of borders by the goods, but with the motion of assets).

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    48.

    What is a shelf company?

    A shelf company is the company, that has already been registered. Corporate documents of the company are at the registered agent, who register this company.

    Buying a shelf company is attractive because of several reasons.

    For interaction with the counteragents and for the business turnover the fact, that the company exists for a certain period of time can be very useful. It can add some reliability and work as image factor. Moreover, buying of the ready made company is less time-consuming, than the registration of the new one.

    But also there are some negative moments, which you should know beforehand. You need to be sure, that the registered agent offers you the company without debts, with the paid annual maintenance, that means the company “without the past”.

    We offer our clients documents, that guarantee, that the shelf company, sold by us, is in active status and there was not conducted any activity using it. 

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    49.

    How to check the authenticity of the company's documents?

    Certainly, registration documents of offshore company, issued in different countries differ substantially one from another. Sometimes bank workers express some doubts about the legitimacy of the company. The most simple and  reliable way of confirmation the legitimacy of the offshore company is inquiry to the place of the registration. And it does not always take much time. For example, in state Delaver (USA) information about the registered there company can be got via telephone and it takes several minutes.

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    50.

    How to dissolve offshore company?

    Liquidation of offshore company has several stages. First of all, you need to notify the registering body about your intention to dissolve a company. In order to liquidate a company in a proper way, you need to pay for the annual renewal of the company if it was not paid. After it, the registering body of the country where the company is registered approximately during the month executes the procedure of dissolution of the company. The company, that has been dissolved, can not be renewed. 

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    51.

    And what is about Interpol?

    And why do you need to lead to the situation, when Interpol will be interested in you?

    Offshore companies are the corporations, that are registered according to the international norms  absolutely legally (!!!)

    Offshores are used in the international practice for the minimization of taxes in the international economic activity as the mediating firm, that use tax benefits of the country of registration, through which the money are passed, and on the account of which remains the basic income. There is an international convention, which must be executed by the offshore jurisdictions, which in their turn pass local laws, that regulate the activity of the companies with privileged taxation and defense the interests of their residents. And if you in your activity do not break international norms, laws and terms of agreements, there will be no reason for these bodies to be interested in your activity. 

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  • 1.

    Do Ukrainian citizens have the right to open personal accounts in foreign banks? To register foreign companies?

    Ukrainian legislation does not permit its citizens and legal entities to open accounts in foreign banks without individual license of National Bank of Ukraine, except cases of permanent  citizens living out of Ukrainian borders.

    The institute of nominee ownership, that is widely used in the international practice helps to hide the fact of companies presence (and of course its accounts) abroad. That means, that after you have paid up  the nominee owner of  the company, you receive a company, according to the corporate documents of which  the owner of the company is the company or natural person (employee of legal company-agent, registering a company directly at the place) of other country, and all the documentation, seal and authorities of company's management are transferred to you (real owner) with all the required documents.

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    2.

    For whom bank account may be opened?

    Bank account may be opened for legal entity or natural person. You have to pass the procedure of compliance in both cases. Specialists of our company will help you to choose the most optimal bank, that will meet your requirements and will be the most convenient in the work

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    3.

    What is the procedure of opening bank account?

    Our company offers you service of opening bank account. The fact, that your presence or filling of any forms by you is not required is a big advantage. Our company has concluded agreements with the largest foreign banks and is official agent, having the authorities to open accounts for clients. The only thing, you will need to do is to sign the required forms before their submission to the bank.

    After all required documents are transferred to the bank, they pass the procedure of compliance, that means conformance and check. In case, that bank does not require any additional questions or specifications, the account will be opened. If any additional questions appear,   you will need to answer them. As the practice shows, in time executing of all bank conditions is the guarantee of quick and easy opening of the account.

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    4.

    How bank account is opened?

    Company “Campio Group” helps its clients in opening of bank accounts, including the required certification of signatures. After it clients work directly with a bank. The procedure of opening bank account depends on the certain bank, in which this account will be opened. Some banks require presence in the head office, some – in the bank subsidiary. For opening a bank account in some banks you will only need to come to our office. After signing of required forms we sendr them to bank, after what the account is opened.

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    5.

    Where is it profitably to open bank account?

    Reliable and convenient in the work corporate account must meet many requirements, basic of which are such ones. Bank has to be situated in the politically and economically stable country, in which capital investments and interests of foreign citizens and legal entities are defended  by the appropriate laws. Meanwhile it is important, that these laws  not just exist, but were executed.

    Bank has to be situated in the country, having and strictly following laws about bank secret. It is desirable, that the bank is situated in the country, where the citizen and the subject of taxation are the director of the company and other persons, who manage its account. Management of bank account should be maximum simple and convenient, that means to be executed via fax and telephone, better also via Internet, and not only personally or via post.

    The country, where the company's bank account is opened, must have liberal currency regulation, especially it is desirable that there were not serious restrictions on the depositing and withdrawal  of cash on the account (from the account) of the company, and on the export of cash from the country. Not the least important requirement is that the bank, where the offshore company opens bank account, must be reliable and famous in the international circles, because in other case the owners of the company can once face the problem, when the letter of credit, opened by their bank, will not be accepted by the bank of trade partner. Besides, the danger of bank crashes nowadays is quite real, that is why the decision to allocate company's assets in the little known bank, registered in one of the offshore jurisdictions, can appear to be short-sighted.

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    6.

    Is the operative remote management of corporate and other accounts via electronic connection or via Internet possible?

    Such management of bank accounts is able via fax and telephone, transmission of coded massage (several figures) about the payment to the officer servicing bank, after installation of system “bank-client” (from 300$).  Some banks already offer an ability of managing your bank account via Internet, and it is enough to have access to Internet, there is no need in the expensive system “bank-client”, access to the account is made with the help of systems of software-technical encoding of information.

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    7.

    For whom is it possible to open bank account?

    Bank account can be opened for legal entity and natural person. You need to pass the procedure of compliance in both cases. Specialists of our company will help you to choose the optimal bank, that will meet your requirements and will be the most convenient in the work.

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    8.

    What is Merchant account?

    Term “Merchant account” includes trade account and the complex of services on the access of payment from the credit card (offering hardware-based assets on the receipt of credits, executing of authorization of cards, payment settlement with the issuing bank, acceptance of money on the trade account of seller ect.) In restricted sense Merchant account is a special trade bank account of the company. Assets, withdrawn from the credit cards of buyers as the payment for the products, services, bought  by them are accepted to this account.

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    9.

    On what conditions is it possible to open Merchant account?

    In the process of opening Merchant account banks and card associations set a range of strict requirements, which the applying company must meet. Among the basic of them are:

    • Presence of corporate  calculating account  in the international bank. This account should be opened for your company in the bank of the country, where the license on the commerce activity of the company was given.
    • Conducting active interrupting economic activity not less than for 1 year, as the opening of Merchant account foresees granting the history of the company's activity for the last 6 months to the bank
    • Monthly turnover of the company must be not less, than 100 000 USD
    • Presence of web site with an obligatory presence of English version

    Opening merchant account for a new company is quite complicated process and requires an individual approach from the bank, as it causes a big risk percentage. In every specific case the provider of merchant account  can introduce additional requirements, and the final list of requirements to the applicant for merchant account can be set only by the provider of merchant account services.

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    10.

    What is «encoded account»?

    Encoded account is the current account, working with which the client does not use his real name or company's name, that means stays anonymous for the payers. This account is one of the anonymous (secret) bank accounts, that was firstly introduced in 1934 in Switzerland according to the law of bank secret. There is no legal difference between usual (personal) and encoded account. The main difference between them is the fact, that using the encoded account the name of its owner does not figurate in bank documents, that are worked out by the bank staff and on the calculating card. Instead of the name of the owner of the account or the name of the company the set of figures and letters is used. Also in the process of opening of such account  bank obligatory organizes a personal meeting with the client and the identification of his documents, confirming his person

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    11.

    Is it possible to open the “encoded account” in the international banks?

    As of today, in practice it is not possible to open the “encoded account” n the international bank, because in the majority of countries opening of anonymous account of any type is prohibited by law.


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    12.

    Is the linkage of the calculating account in the payment system PayPal possible?

    At the moment, system PayPal is one of the most popular and reliable among the foreign payment systems and offers its users the ability to receive and send payments with the help of electronic post or mobile phone with the access to Internet. For registration in the system PayPal it is required that the user has bank card or account. If you do not have them, your account will be treated as unchecked and unidentified. Linkage to the bank account or to the card is required in order to have the ability to withdraw assets from them in cases, when you need to make a transfer or to pay for the account and the present at your PayPal account assets are not enough. You can register without bank account, but your monthly turnovers will not exceed 100$.

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    14.

    When is it able to use letter of credit?

    Using of letter of credit is advisable in case, that you do not have enough reliable information about the reputation of the counteragents because such methods of payment as prepayment, settlements on the basis of open accounts or collection are considered to be very risky for one of the parties and also in case  of necessity in receiving additional guarantees at the expense of participation of he third party – bank.

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    15.

    What is escro account?

    “Escro” account is used for concluding of transactions with real estate, for the transfer of rights on the property, money assets or securities up to the moment of the execution of the conditions, stipulated in “escro” account, after what these assets or documents are transferred to the beneficiary of “escro” account. The parties, that take part in the transaction transfer instructions to the neutral intermediate (“entrusted person” or the “manager of escro account”) whose obligation is providing of transfer of funds, documents or property in other hands after complete fulfillment of all the provisions, stipulated in the account, instructions or conditions.

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    16.

    Is it profitable to use escro account?

    Using “escro” account is advantageous for both parties, because regardless of the fact who you are (buyer or seller), you want to be confident, that the money assets or the property will be transferred to other hands only after the fulfillment of all your instructions. And “escro” agent will keep all the documents, make necessary payments, maintain accountancy and  provide drawing up of the required reports, in other words – to provide the safety of your money assets, property and documents during the period of the transaction. “Escro” accounts simplify making business and provide the reality and enforceability of transactions. But you need to remember, that opening of the “escro” account is quite complicated and time consuming process and on practice it is able only for legal entities, registered in the reliable European jurisdictions. 

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    17.

    What is a minimum balance?

    It is a minimum sum of money, that must obligatory stay at the current account or on the payment card. The minimum balance serves for the coverage of possible operations that exceed the available rest on the account. The obligatory sum of the minimum balance is determined by every bank individually and it is impossible to withdraw these assets to the moment of closure of your card account. But the client can additionally import assets on the minimum balance excessively of the obligatory sum and to withdraw them from the minimum balance at any time.

    Assets that constitute a minimum balance are not available for the operations at the cash machines or POS terminals. 

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    18.

    What is remote access to the account management?

    The system of the remote access to the account management contains information about the exchange rates, new bank services, change of tariffs, different directories and automatically checks the requisites of the documents, numbers of accounts, requisites of banks of the payer and the receiver, correspondence of figures and in words and many other information.

    With the help of the remote access to the account management you can correspond with the bank, exchanging electronic letters, information letters with the attached files.

    The remote access to the account management allows the client to make transactions with his account remotely. Usually the remote access to the account management is made with the help of device digipass or the encoded card. Taking into account the ability of access via Internet you can work from every computer in any part of the world. Working with the remote access to the account management you  will receive bank statements about the condition of your calculating account and you will be able to send payment assignments without visiting the bank.

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    19.

    What documents are required for opening the account in Baltic banks?

    Every bank sets its own requirements to the list of the documents, that are required for opening of the account. The list of the documents, that are required for opening of the account for a legal entity depends on the bank, which you choose. In summary form the basic documents are:

    • Corporate company documents under apostile (certificate of incorporation, memorandum and articles of association, minutes of the first meeting of directors);
    • Power of the attorney on the manager of the account;
    • If the company is older than 1 year you need to provide the Certificate of Good standing;
    • A good copy of internal and eternal passport of the manager of the account (the director or the attorney);
    • Reference from the place of work of the management of the account (if the manager of the account is a director or a shareholder of the resident company you need to provide the certificate of incorporation and reference from the statistics bodies);
    • Signed and filled n appropriate way bank forms.

     

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