Often we are asked “Can I get a bank account opened for me by the Nominee without my involvement?”.
In short we can’t just deliver a Company + an opened bank account without your involvement.
In terms of what we need from each client getting the Company set up is easy. We just need via email a completed signed order form, confirmation of payment and proof of the client’s ID and residential address per the requirements.
But the bank account is a slightly different story…
When we open a bank account we have to supply to the bank as a minimum:
- Proof, per the bank/s requirements, that the Company is incorporated
- Proof, per the bank/s requirements, of who the Directors of the Company are
- Proof, per the bank/s requirements, of who the shareholders of the Company are
- Proof, per the bank/s requirements, of who the beneficial owners of the Company are
- Proof of ID and residential address of the beneficial owners of the Company
- Proof of ID and residential address re the proposed authorized account signatory/s
- A detailed business plan re the Company
Most banks these days also require a professional reference re the beneficial owners of the Company.
Many banks these days also want to video interview the beneficial owner/s of the Company.
And invariably the bank will put two, often three, sometimes even 4 rounds of questions to us via email back and forth. To answer those questions most times we need to go back to the client to get instructions/info/docs.
In short the banks are paranoid (a) about the Company being used to launder money and (b) that the client’s business model might create reputational risk to the bank particularly if the business fails or if it falls foul of onshore regulators.
The owners of OCI have been in this line of business for 17 years. When we first got in the business we could get accounts opened in 2 to 3 days. Now, on average, the minimum it takes to get an account opened is 3 weeks post incorporation. Offshore (especially “tax haven”) Companies are considered high risk by the banks; Hence they ask a million questions and want to seemingly conduct a forensic examination of the Company/Enterprise/Owners before even they’ll even consider opening an account for such a Company
In short if you don’t want your name to appear in the bank records as “beneficial owner” of the Company what you can do is:
(a) Include a (nil tax jurisdiction based) Nominee Director as part of the Corporate structure
(b) Set up a Seychelles Private Foundation to act as shareholder of the Company
(c) Set up the Foundation using a (nil tax jurisdiction based) Nominee Founder and Nominee Councillor
(d) Nominate a tax-free charity or a nominee to act as the initial beneficiary of the Foundation
(e) Have yourself set up as an arms’ length employee or Contractor/Consultant of the Company
In the case of (e) the contract could make you responsible for ensuring that suppliers and staff get paid on time. This would necessitate you being appointed as the (sole) signatory on the Company’s Bank Account giving you complete control of the money.
Alternatively you could have the Nominee Director act as a “Nominee” Account signatory – in which case, assuming you adopt (a) to (d) above, – your name shouldn’t appear anywhere in the bank’s records.
Would you like to know more? Then please Contact Us: