Offshore Companies International

How do I get around the CRS?

pat — Thu, 10 Sep 2026 04:40:41 +0000

For clients looking to avoid the potential impact of AEOI/CRS protocols on Offshore Bank/Investment Accounts it can be extremely useful to hold dual residency eg a residency permit enabling you to claim legal residency in a country other than where you ordinarily reside and/or in which you are liable to report income/pay taxes.

Howso?

The CRS protocols require banks/financial institutions to tell your country of tax residence if you are banking/receiving passive income/investment returns in a bank or investment account outside of the country where you are resident for tax purposes (ie a/the country where you are required by law to report income/pay taxes).

But how do the Banks etc decide which country to report to? It depends on what documents they hold proving the Account BO ie Beneficial Owner’s ID/residency…. If the docs show the BO is resident in X country (and if the primary purpose of the Account is to receive passive/investment/portfolio income AND if the bank is located in a country that has signed the MCAA/committed to the CRS Protocol) then X country may be informed of the existence of the account.

You see usually when setting up an Offshore Bank or investment Account (whether for an individual or for a Company) the applicant is required to provide the bank with proof of the Beneficial Owner (“BO”)’s ID and residential address.

To prove ID the applicant usually has to supply the Bank with a certified copy of the BO’s passport or National ID Card. Some banks also now require us to show proof of the client’s TIN (ie Taxpayer Identification Number).

To prove residential address we have to supply the bank with a certified copy of a bank/card statement or utility bill showing the client’s name and residential address on the document.

Ideally if you can supply the Bank with proof of ID/address (and ideally also a TIN) from a country other than the country where are you required to report income/pay tax there should be no risk of your Offshore/investment account being reported to your local tax authorities.

Where to Obtain a Second/Legal Residency

When considering where to apply for a second residency Georgia can be an attractive option as it can provide legal residency without you having to relocate or spend most of the year in Georgia.

A Georgian residence permit, combined with an individual Tax Identification Number (TIN), gives you an official connection to Georgia that can be useful for banking, investments, company formation and KYC purposes.

Why can Georgian legal residency be useful?

Georgian legal residency generally has no ongoing minimum-stay requirement. You can maintain Georgia as a secondary base without changing where you primarily live.

It can help you:

• Provide formal legal residency and a Tax ID for digital nomads and frequent travelers who may not currently have a clear country of tax residence.

• Provide a transitional legal residence for people preparing or dealing with an Exit from their country of residence, while they spend time exploring different countries before deciding where to settle.

• Add a government-issued residence document and Tax ID for KYC and compliance where demanded.

• Use Georgia as an additional jurisdiction of residence when forming companies or dealing with banks or international institutions that require KYC.

• Access broader banking, brokerage, investment, trading and lending opportunities in Georgia.

• Register with your country’s embassy or consular services in Georgia as a legal resident.

• Access resident services, including potentially a Georgian driving license.

• Maintain a Georgian address and utility bills if useful for banking, personal or international documentation.

• Invest or trade in crypto in Georgia. Crypto gains made by individuals for their own benefit can be tax-exempt in Georgia.

Maintaining a home in Georgia is optional. You can add more physical substance only if or when it becomes useful or necessary. Moreover Georgia makes it easy to build genuine local substance quickly, and the residence card is one of the key foundations for doing so.

Georgia follows territorial taxation. Foreign-sourced income is generally outside the scope of Georgian personal income tax.

There is also no general individual exit tax if you later stop maintaining your Georgian residency.

How to obtain legal residency in Georgia

There are 3 ways by which you can obtain Georgian Legal Residency…

1. Legal Residency through a Business / Entrepreneurial Activity

A Georgian LLC can qualify you for a work residence permit once the applicable requirements are met.

For the standard entrepreneurial route, the business generally needs annual turnover of at least GEL 50,000 per foreign applicant (approximately €16,500), together with the other applicable requirements.

A Georgian company can be registered remotely, allowing the structure to be set up before the residency application.

2. Legal Residency through Real Estate USD 150,000+

You can also qualify by owning Georgian real estate with an officially assessed market value above USD 150,000 equivalent in GEL.

This can provide a renewable short-term residence permit.

The property does not need to be your home. It can be rented on the long-term or short-term market.

Qualifying residential rental income can benefit from a 5% Georgian personal income tax rate.

If you hold an apartment or house for more than two years, the gain on sale is generally exempt from Georgian personal income tax. If sold within two years, the gain is generally taxed at 5%.

For a stronger long-term option, qualifying investment or real estate of at least USD 300,000 can provide access to Georgia’s investment residence framework and, subject to the applicable conditions, a route toward indefinite residence after maintaining the qualifying investment for the required period.

And if you want Georgian tax residency?

To obtain Georgian tax residency and a tax residency certificate, you generally need to spend 183+ days in Georgia, or qualify through the High-Net-Worth Individual residency program, which can remove the minimum-stay requirement.

For many people, legal residency alone can already provide what they need: an additional residence jurisdiction, stronger ties with Georgia, local identification, banking and investment possibilities, and greater international flexibility.

Georgian legal residency can therefore be a practical “nice-to-have” second residency: easy to maintain, without requiring relocation, while keeping the option to strengthen your connection with Georgia at a later time.

Other popular second residency options include:

Panama – Check this link for details: https://offshoreincorporate.com/second-residence-options-panama/

The UAE – Check this link for details: https://offshoreincorporate.com/uae-second-residency-programs/

Nevis – Check this link for details: Nevis Second Citizenship Program FACT SHEET.docx

The other thing you could do to avoid the CRS is to set up your Offshore Bank/Investment Account at bank located in a country that has not signed the MCAA ie the treaty that gives rise to the CRS protocol. For details of which countries have signed the MCCA as of the date of writing date check this link: https://www.oecd.org/content/dam/oecd/en/topics/policy-issues/tax-transparency-and-international-co-operation/gir-mcaa-signatories.pdf

AND If you want to be able to argue that you are not the beneficial owner of the entity holding the bank/investment account what you can also do is set up a Private Foundation (ideally a Seychelles Foundation) to act as the shareholder of your LLC/Offshore Company. Check these links for details:

https://offshoreincorporate.com/seychelles-foundations/

https://offshoreincorporate.com/why-should-i-register-my-foundation-in-seychelles/

Would you like to know more? Then please Contact Us:

www.offshoreincorporate.com

info@offshorecompaniesinternational.com

DISCLAIMER: OCI is a Company/Trust/LLC/LP/Foundation Formation Agency. We are not tax advisers or legal advisers. You are advised to seek local legal/tax/financial advice in regards to your local reporting/tax requirements before committing to set up or use an Offshore Company or other entity.

Why Should I Register My Foundation in Seychelles?

pat — Thu, 10 Sep 2026 04:10:57 +0000

If you are a resident or citizen of a country which has the ability to track Offshore Company Bank account beneficiary details and/or if you would like to keep private details of your Offshore earnings (or if you plan to set up a very sensitive business eg one that might illegal if owned/operated from where you live) you might want to think about setting up a Seychelles Foundation to act as the owner/shareholder of your Offshore Company:

How so?

At Common Law a Foundation is presumed to be both the legal owner AND THE BENEFICIAL OWNER of any asset it holds.

But Seychelles alone has codified this aspect of Common Law into Statute. It all comes back to the legal structure/operation of the Seychelles Private Interest Foundation.

Under Seychelles law notwithstanding that individuals (or a class of beneficiary) may be named as beneficiaries in the Regulations:

The beneficiaries have no legal or beneficial interest in property owned by the Foundation (unless or until such time as that property is transferred to them – see section 71 of the Seychelles Foundations Act attached).
The Foundation is a legal entity in its own right not a mere Trustee (See section 23)
The Councillor of the Foundation owes no Fiduciary duty to the beneficiaries (see section 63)

As such there is no “beneficial owner” of a Seychelles Foundation. At law the beneficial owner of any property/asset owned or held by a Seychelles Foundation is deemed to be the Foundation itself!

Moreover, (ie where a Seychelles Private Foundation owns/holds the shares of/in your Offshore Company) when opening a bank account or other Company, or in the event of a law suit, tax investigation or regulatory inquiry, you will be able to declare/swear under oath “I am not the legal or beneficial owner of this Company.

Prices start from as little as $1,900. For more information on Seychelles Foundations (including details on pricing and inclusions) please visit these pages from our website:

http://offshoreincorporate.com/private-interest-foundations/

http://offshoreincorporate.com/seychelles-foundations/

Would you like to know more? Then please Contact Us:

www.offshoreincorporate.com

info@offshorecompaniesinternational.com

Is There a Better Alternative to a Private Trust Company?

pat — Thu, 13 Aug 2026 08:04:08 +0000

Recently we were approached by a client looking to form a Private Trust Company.

During the course of the discussion it became apparent that the client either hadn’t considered or wants aware of the weaknesses of a PTC and the possible alternatives.

What is a Private Trust Company (“PTC”)?

A Private Trust Company (PTC) is a company specifically set up to act as a Trustee for one or more trusts. PTCs are often used by wealthy families or businesses to maintain control and confidentiality over their assets. The PTC can be owned and controlled by the family or business, allowing them to have greater input and control over the management of their assets.

Weaknesses of a PTC

The weakness of using a Private Trust Company to act as Trustee of a Trust (ie where you are in control of the PTC) is that any of your Creditors could file a law suit claiming that the Trust is a Sham Trust. (To learn more about what a Sham Trust is check this link: https://www.lexisnexis.co.uk/legal/glossary/sham-trust )

If the Court agrees/finds that the Trust is a Sham Trust, assets held by the Trust would be returned to you, which then leave those assets liable to seizure by any creditor who may have obtained a judgment against you.

The other weakness of using a Private Trust Company (if you live in a country that levies income or company tax) is the Management & Control issue.

In short, most jurisdictions have laws which provide that if a Trust is seen to be managed/controlled from onshore it can be taxed onshore. If you are using a PTC to act as Trustee of an Offshore Trust – and if you are in control of the PTC – it could be arguable that the Trust is being controlled from onshore (ie your country of tax residence) and thus liable for taxes onshore.

To summarize if you want to minimize the chances of (a) Creditors being able to attack assets held by the Trust or (b) if you wants to minimize the chances of the Trust being called upon to pay taxes where you live you would be better off to set up a stand alone Asset Protection Trust with an Independent Trustee. Popular jurisdictions for such Trusts include Belize, Cook Islands, Nevis etc.

Insurance against rogue Trustees

If you have any concerns about a Trustee turning rogue, you could be appointed as Protector of the Trust. Such an appointment would prohibit the Trustee from doing certain things (eg selling assets/buying assets/making payments) without the Protectors prior written consent (For more details of what a Protector is check this link: https://offshoreincorporate.com/faq/what-is-a-protector/ )

Alternatives to a PTC???

Another disadvantage of utilizing a PTC is that, when establishing a PTC you are in effect committing to set up 2 Entities ie a Private Trustee Company PLUS a Trust (which can be expensive).

If you’re committed to setting up a PTC the other option I’d implore you to explore is to consider setting up a Private Foundation rather than a PTC.

A Private Foundation is essentially a Corporatized Trust. Ie it looks and smells like a Trust but the main difference is that – unlike a Trust – (which is in effect an arrangement, like a contract, between the Settlor and the Trustee) a Foundation is a separate legal entity; It can sue and be sued in its own right.

A Foundation, like a Trust, is a 3 headed creature ie:

Its set up by a Founder (ie the equivalent of a Settlor in the case of a Trust)
Its managed day to day by a person (or entity) called a Councillor (ie the equivalent of a Trustee in the case of a Trust); &
Like a Trust a Foundation typically has beneficiaries ie persons who are designed ultimately to benefit financially from the set-up of the Foundation or Trust as the case may be

The other key difference as between a Trust and a Foundation is that if a Trust owns an asset the legal owner of the asset is the Trustee but the beneficial owner of the asset is the beneficiary/s of the Foundation.

This can leave assets held/owned by the Trust liable to attack from creditors of the Settlor.

It can also open the door to the local taxman.

You see, the beneficiary of a Trust has a legally recognizable interest in Trust property. This interest entitles the beneficiary to receive a Distribution (ie payment) from the Trust (indeed, in certain instances, a beneficiary can use this interest to compel/force the Trustee to pay him/her a distribution). Hence many jurisdictions now have laws that say if you’re the beneficiary of an Offshore Trust -given you have a legally recognizable interest in Trust property – and are entitled to receive distributions – you are liable to declare and pay tax at home on any income or capital gains realised by the Trust.

In the case of a Foundation a Foundation is presumed at Common Law to be both the legal owner AND the beneficial owner of any asset that it holds. The beneficiary of a Foundation has no legally recognizable interest in property held by the Foundation. Moreover, the beneficiary of a Foundation is not entitled to receive a distribution from the Foundation unless or until such time as the Foundation Council actually resolves to pay a distribution. This feature:

(a) Arguably makes it harder (than in the case of a Trust) for creditors of the Settlor/Founder to attack assets held by the Foundation; and

(b) Makes it virtually impossible for an onshore jurisdiction to use CFC rules to tax income/gains earned by the Trust/Foundation (CFC rules say if you are the beneficial owner of an Offshore entity/asset you must declare and pay tax at home on any income/gains generated by that entity)

Foundations & Control

The other key advantage of a Foundation over a PTC/Trust is that with a Foundation you can be handed defacto control of the Foundation through the back door without affecting the legal integrity of the entity.

Howso?

A Foundation is managed day to day by a Councillor.

BUT, in almost all jurisdictions where Foundations can be formed, the Councillors key rights, powers and responsibilities can be reserved to the Foundation Founder.

AND in one jurisdiction powers reserved to the Founder (which is usually a Nominee for privacy purposes) can be assigned to a third party eg you.

What this means is OCI can, if you’d prefer, give you all the powers of a Founder without you having to be named as the Founder in the Charter (ie the document which is filed publicly to give birth to the Foundation).

This is because Seychelles law allows:

That certain powers can be reserved to the Founder; and
That the Founder’s rights can be assigned to a 3^rd party post registration

1. What Powers Can Be Reserved to a Founder?

On the face of it the power to administrate a Foundation from day to day rests in the hands of the Councillor (or Board of Councillors if there is more than 1 Councillor).

Certain powers however can be reserved by the Foundation to the Founder including the power to:

(a) direct or approve the appointment or removal of a councillor of the Foundation;

(b) direct or approve: (i) the addition or removal of a Beneficiary; or (ii) the exclusion of a person or class of persons from being a Beneficiary;

(c) direct or approve the continuation of the Foundation as a foundation registered or otherwise established under the laws of a jurisdiction outside Seychelles;

(d) direct or approve the Council to effect the forfeiture by a Beneficiary of his benefit, right and interest under the Foundation if he (the Beneficiary) challenges in writing: (i) the establishment of the Foundation; or (ii) the transfer of any assets to or by the Foundation; or (iii) the Charter or any provision of the Charter; or (iv) the Regulations or any provision of the Regulations; or (v) any decision of a councillor, the Protector or the Founder;

(e) direct or approve the amendment of the Charter and/or the Regulations;

(f) direct or approve the dissolution of the Foundation;

(g) direct or approve investment activities of the Foundation, including the acquisition and disposal of investments by the Foundation;

(h) direct or approve the rights, entitlements and restrictions relating to each Beneficiary, including the power to direct or approve the making of any distribution of Foundation Assets (or any part thereof) to a Beneficiary by the Council acting by resolution of councillors.

2. Assigning the Founder’s rights

In the case of a Seychelles Foundation all rights conferred upon the Founder in the Foundation Charter (see list above) can/will be privately and confidentially assigned to you as the “underlying Founder”. See section 26(1) of the Act (See attached or click on the following link to view the Act: https://www.fsaseychelles.sc/wp-content/uploads/2018/12/Foundations-Act-2009.pdf).

This is achieved by the Nominee Founder signing, immediately following registration a Deed of Assignment – see sample attached.

Note you can at any time transfer those assigned rights (ie as received by your client from the Nominee Founder) to some other third party (eg if your client decides to sell a/the Company owned by the Foundation).

To facilitate such a change you would simply need to email us a request to make a change from the email address noted in your original Foundation order form and you’d need to email us KYC (as per the usual requirements) in respect of the new Assignee Founder.

To set up a Foundation costs $1,900 + $350 for 1^st years Accounts admin (+ $400 for a Nominee Founder if required + $600 for a Nominee Councillor if required). From 2^nd year to maintain it costs $1,600 for the annual renewal fee + Accounts + nominee Councillor (if required).

Summary

If you’re committed to setting up a PTC you’d be wise to consider instead setting up a Private Foundation rather than a PTC because:

(a) It will save you the additional cost (and admin hassle) of having to set up & maintain 2 entities,

(b) It will give you greater control over your asset holding/asset protection entity;

(d) It should deliver you tax planning options

Would you like to know more? Then please Contact Us:

www.offshoreincorporate.com

info@offshorecompaniesinternational.com

UAE RAK TAX FREE OFFSHORE COMPANIES REVIEWED

pat — Tue, 24 Mar 2026 06:52:56 +0000

Ras Al Khaimah (“RAK”) is one of the seven independent emirates (provinces) which together make up the United Arab Emirates (“UAE”), a constitutional federation located along the south eastern tip of the Arabian Peninsula. Qatar lies to the west, Saudi Arabia to the south and west and Oman to the north and east. The Federation was formally established in 1971.

RAK entered the International Business Company (“IBC”) market in 2007 and as an IBC centre offers:

Exceptional infrastructure
High Political/Economic stability
OECD White Listing
Strong yet flexible regulatory framework based on global best practices
Exemption from all Corporate & Income taxes
Confidentiality
No local office requirement
No need to file accounts

RAK is also a regional hub and booming trade centre with access to over 170 shipping lines and approximately 86 airlines connecting to over 100 cities worldwide.

And unlike most Offshore Centres RAK IBCs can own UAA property (both real and Intellectual Property)

Features and Benefits of Incorporation of an RAK IBC include:

No public record of shareholders or directors
No audit requirement or requirement to submit financial statements
The registered office can be located in Dubai (see below)
No minimum share capital requirements
No capital restrictions (all capital and profits can be repatriated)
Access to over 50 Double Taxation Avoidance Treaties (“DTATs”)
Speedy Incorporation (2-4 days)
Corporate directors are permitted
Redomiciliation (IBCs from other companies can redomicile/migrate to RAK and vice versa ie RAK IBCs can migrate to another country)
Minimum of 1 Director only is required
Unparalleled Privacy (the UAE has signed ZERO Tax Information Exchange Agreements

RAK General Information

Population

RAK is one of the seven independent Emirates, the current population is approximately 250,000 but this is expected to raise to 400,000 by 2017. Over 50% of the population are expatriates.

Time Zone

The UAE is 4 hours ahead of GMT (+4 GMT).

Political Structure

Prior to 1971 each of the seven member emirates of the UAE (Abu Dhabi, Ajman, Dubai, Fujairah, Ras Al Khaima, Sharjah and Umm Al Quwain), previously known as the Trucial States, had its own existing institutions of government. The Rulers agreed to draw up a provisional Constitution (“the Constitution”) which provided for the establishment of the Supreme Council of the Rulers of all the Emirates as the foremost authority in the Federation and a Council of Ministers as the Executive Branch of the Federation. Federal Ministries of Foreign Affairs, Defence, Justice, Public Health, Communications, Information Interior, Finance and Industry, Economy and commerce, Education, Public Works, Agriculture, Labour and Social Affairs and Planning were established. As a Muslim country, one of the fundamental principles in the Constitution provides that Islamic Law (Sharia) is the main source for the legislation in the UAE. The main aim of the UAE Government Strategy is to ensure sustainable development and a high quality of life for all UAE Nationals.

Infrastructure and Economy

The UAE is one of the wealthiest countries in the world with a GDP of US $103 billion (2004). Dubai’s economy grew by approximately 16% in 2005 and is acknowledged as one of the fastest growing economies in the world. The UAE has the third largest proven oil reserves, however RAK has broadened its economic activity to include an industrial platform, real estate, trade and manufacturing. In addition Tourism is increasing rapidly with approximately 10 million tourists expected in 2007. The emirate of Ras Al Khaimah is strategically located between Africa and the Middle East and between the Far East and Europe, making it a gateway to over 1.5 billion consumers located in countries surrounding the Red Sea and the Gulf. Its infrastructure is of the highest standards with access to more than 170 shipping lines and approximately 86 airlines connecting to over 100 cities worldwide. The strong shipping and transportation sector is composed of most of the leading regional and international freight forwarders, insurers and shipping agents.

Language

Arabic, Persian, Hindi, and Urdu. English is widely spoken.

Exchange Control

None.

Type of Law

Federal, except for Dubai and Ras Al Khaima who maintain their own judicial systems. The Emirates had the constitutional right to opt to join the Federal judicial system or maintain their own independent system. The Federal UAE courts are divided into civil and criminal and are also generally divided to three stages of litigation namely:

Courts of First Instance,
Courts of Appeal
Federal Supreme Court (colloquially referred to as Court of Cassation).

In addition to the Civil Courts each of the seven Emirates maintains a system of Sharia Courts which are organised and supervised locally.

Principal Corporate Legislation

International Companies Regulations 2006
Registered Agents Regulations 2006

RAK IBC Information

Type of Company

The International Company (IC) is the most popular option for foreign companies seeking to establish a presence in the UAE.

Procedure to Incorporate

The following steps are required to establish an International Company in RAK:

Select a name for the company and have it approved by the RAK Free Zone Authority.
Draw up a proposed memorandum including share capital, share value, power of Directors and object of the company and have it notarised by a Notary Public in the UAE Courts.
Confirmation whether the share capital has been paid in cash or kind.
Copies of the Memorandum & Articles of Incorporation and Certificate of Incorporation (if a company) is to be a participant duly notarised & Apostilled and legalised at the UAE Embassy.
Board Resolution of each corporate shareholder approving the taking up of shares in the new company duly notarised & Apostilled and legalised at the UAE Embassy.
Details of Company Auditors together with a letter confirming their appointment, if applicable.
Bank Certificate confirming deposit of the minimum share capital.
Seek approval from the RAK Free Zone Authority. Once approval is granted, the company will be entered in the Commercial Register and the licence will then be issued by the RAK Free Zone Authority.

Restrictions on Trading

Can only operate within the activities detailed on the Memorandum. An RAK Company can NOT undertake any Cryptocurrency related activity.

Powers of Company

Companies Law stipulates that an IC may engage in any lawful activity except for insurance, banking and the investment of money for others and restrictions apply to conduct local business.

Language of Legislation and Corporate Documents

English.

Shelf Companies Available

No.

Time to Incorporate

1-2 weeks.

Name Restrictions

Any name that is identical or similar to an existing name. Any name of a major international corporation where written consent to incorporate in not available. Any name that contains a registered trademark not owned by the company. Any name that the registrar may find undesirable, offensive or misleading.

Language of Name

English.

Names Requiring Consent or a Licence

In certain circumstances, the prior consent of a Federal Ministry or competent local authority will be required. These activities include: Oil & Gas, Banking & Investment, Financial Services, Insurance, Media, Transport, Construction, Telecommunications, Real Estate Management, Architectural and Engineering Consulting, Tourism, Shipping, Civil Aviation, Legal Services, Medical Services, Education. Any name that contains the words: state, government, municipal etc. and may wrongfully suggest a patronage of such.

Registered Office Required

Yes, must be maintained in RAK.

Suffixes to Denote Limited Liability

Ltd or Limited.

Disclosure of Beneficial Ownership to Authorities

Yes.

Authorised and Issued Capital

The minimum requirement for authorised capital is DHs 1,000 which must be fully paid up.

Classes of Shares Permitted

May neither be negotiable or divisible. Ordinary shares, preferred shares, deferred shares, and shares with or without voting rights.

Taxation

No Corporate, Withholding or Personal taxation.

Financial Statement Requirements

Yes.

Directors

Minimum one. Powers and duties to be specified in the Memorandum. Corporate Directors are permitted.

Shareholders

Minimum of one.

OCI RAK International Business Company Packages

At OCI we believe in giving you more for your money than would the average IBC formation service. Hence included in the incorporation package for your RAK IBC is the following:

Services:

Unlimited name availability inquiries
Advice from an experienced International Corporate Lawyer on how to structure your company
Preparation (overseen by a lawyer) of application to incorporate the company
Preparation (overseen by a lawyer) of the company’s memorandum of association
Preparation (overseen by a lawyer) of the company’s articles of association
Attending to filing incorporation request with the company registry
Attending to payment of government filing fees
One year’s Registered Agent service in the country of incorporation
One year’s Registered Office service in the country of incorporation
Mailing address in the country of incorporation
Delivery of Incorp pack by international courier (ie DHL/Fedex/TNT etc)
Unlimited free legal consultations for 12 months
Doing Due Diligence on up to 3 owners/members

Documents included in your Incorp pack:

Certificate of incorporation
2 sealed/stamped copies of the company’s Memorandum of Association
2 sealed/stamped copies of the company’s Articles of Association
Resolution appointing first director/s
Resolution appointing first shareholder/s
Up to 5 share certificates
Resolution to open a bank account
Resolution to rent an office
Resolution/s to engage a Phone, Internet & Website service provider
Resolution to hire a staff member/s
Resolution to appoint a company lawyer
Resolution to appoint a company accountant
Resolution appointing you as the company’s authorised representative in commercial negotiations
Resolution issuing a Power of Attorney in your favour
Agreement authorising you to represent the company in commercial negotiations
Power of attorney authorising you to sign documents on behalf of the company
Register of directors
Register of shareholders
Expression of wishes (ie an “Offshore” Will)
Lawyer authored User Guide (“How to Use Your Offshore Company”)

Price (all inclusive): $US 2,750

With tax effective offshore company management (ie including Professional Corporate “Nominee” Director, Shareholder & Company Secretary): + $900

From 2^nd year: $2,500 (+Nominees if required)

Would you like to know more? Then please Contact Us:

www.offshoreincorporate.com

info@offshorecompaniesinternational.com

HOW TO LIVE &/OR DO BUSINESS TAX FREE FROM DUBAI

pat — Sun, 22 Feb 2026 23:44:06 +0000

Are you doing digital business? Or are you an entrepreneur with investments in multiple businesses around the globe from which you draw dividend income and/or consulting income.

Are you tired of excessive onshore taxes and heavy regulation? If so you might want to consider setting up a Freezone Company in the UAE. The most attractive option at present for such clients would establishment of a Dubai IFZA Company.

An IFZA Corporation would enable you to engage in any of the following:
1. Holding activities (e.g. receiving dividends from subsidiary companies)
2. Consulting services
3. IT-related business

If you’re engaged in only one of these activities, a single license would be sufficient. However, if you intend to carry out two or more of the above activities, a separate license may be required for each.

The Proposed Activity for such clients would be category 6499001 ie Investment in Commercial Enterprises & Management

This category includes firms and holding companies formed in order to invest their funds through the establishment of subsidiary firms which carry out various commercial activities, as well as transport, contracting and financing activities, besides other investments or shareholdings in commercial enterprises. This also includes the management of such subsidiary companies and the organization of their affairs. Whilst UAE domestic companies are liable to 9% tax its our understanding that non UAE sourced income generated by such a Company would be free from tax in the UAE.

An IFZA Corporation also entitles you (subject to passing medical tests) to apply for a residence permit in the UAE. With a carefully managed exit strategy, and provided you’re away from your home country at least 6 months every year (and, ideally, provided you are not seen to have retained a “substantial connection” to your home country) this could enable you to escape your local tax net and become a UAE resident for tax purposes, greatly enhancing your bottom line (the UAE does not levy personal income tax on individuals).

About IFZA.

The International Free Zone Authority (IFZA), located in Dubai Silicon Oasis, is one of the UAE’s most dynamic and cost-effective free zones for company formation. Designed to attract both startups and established international businesses, IFZA offers flexible licensing options and a streamlined setup process.

Key Highlights include
• Business Ownership: 100% foreign ownership permitted.
• Tax Benefits: 0% corporate and personal income tax on qualifying activities.
• Licences Available: Professional, Commercial, Industrial, and Holding licences.
• Office Solutions: Wide range of options — from Flexi-desks to executive offices.
• Company Types: Single or multiple shareholders (individual or corporate).
• Banking & Residency: Access to UAE banking and eligibility for residence visas.
• Fast Setup: Incorporation within a few days with minimal documentation.

Why Choose IFZA:
• Competitive setup and renewal costs.
• No physical presence requirement during incorporation.
• Reputable jurisdiction under UAE federal law with strong compliance standards.
• Ideal for consultants, traders, e-commerce operators, and global entrepreneurs seeking a Dubai base.

Cost

To set up such a Company via OCI costs would be as follows
• License package: 5,500 USD
• 2 years residence visa processing: from 1470 USD per visa
• OCI incorporation fees: 2,500 USD

Estimated first year: 9,470 USD

The above packages includes a flexi desk solution, that provides a registered business address and access to shared office facilities.

Annual renewal is in the same range as the license package, provided there are no structure changes (e.g. visa quotas or office upgrade).

The residence visa is valid for 2 years and renewed separately at a similar cost.

Would you like to know more? Then please Contact Us:

www.offshoreincorporate.com

info@offshorecompaniesinternational.com

ocil@protonmail.com

oci@tutanota.com

oci@safe-mail.net

ociceo@hushmail.com

PANAMA LLCs

pat — Mon, 02 Feb 2026 05:27:11 +0000

An SRL, or Sociedad de Responsabilidad Limitada, is a Panamanian structure comparable to a Limited Liability Partnership (UK) or a Limited Liability Corporation (USA). This type of entity, although not popular as the well known Panama S.A., is equally important and offers significant advantages in certain cases.

The Limited Liability Companies in Panama are regulated by the Commercial Code and Law 4 of January 9 of 2009 (hereinafter “the law), which replaces Law 24 of 1966.

Among the most interesting features of the Panama SRL we find the following:

1. The new Law provides for an unlimited number of partners, which can be individuals or corporate bodies, with no restrictions as to their citizenships or country of residence. However, two are the minimum number of partners required. Nominees can be appointed to reach greater privacy.

2. The new law does not provide for a minimum or maximum capital, therefore leaving it open.

3. The names of the partners must be registered with the Panama Public Registry, additionally specifying the Capital each contributed.

4. The economic liability of each partner for the obligations of the company will be limited to the amount of their participation made or promised.

5. One Manager can be appointed, in which case it can be an individual or corporate body of any nationality or jurisdiction of incorporation. Also in this case his/her name must also be recorded on public records.

6. No meetings are required to be held, unless otherwise is stated on the articles of incorporation.

7. If the articles so dispose, the manager of a Panama SRL can represent the company in any judicial or extrajudicial proceeding, but it will require a special power of attorney to carry on acts that go beyond the normal course of business. He/she will need authorization to transfer assets and to encumber assets or secure debts of the SRL.

8. Once the SRL is recorded it acquires a different legal personality from that of its members and managers.

9. For tax purposes, this is a transparent vehicle, that at least in the United States it can be considered as a “disregarded entity”.

10. The name must bear one of the following two endings: “SOCIEDAD DE RESPONSABILIDAD LIMITADA” o S. DE R.L. The name cannot be similar in any way or form to a name already registered, notwithstanding if it is a different type of company, like an S.A., for example.

To incorporate an LLC Company in Panama with OCI usually costs $US1,500 and from 2^nd year $990. We can also supply Nominee Directors (3) for $1,200 per year.

Would you like to know more? Then please Contact Us:

www.offshoreincorporate.com

info@offshorecompaniesinternational.com

CAYMAN ISLANDS FOUNDATIONS

pat — Sun, 01 Feb 2026 07:07:37 +0000

A Foundation Company is a vehicle unique to the Cayman Islands and has features and flexibility that allow a company to retain separate legal personality and limited liability while functioning in a way similar to a civil law foundation or common law trust. This can make foundation companies attractive for both private wealth structures and commercial enterprises.

CORPORATE STATUS

A foundation company is a body corporate with a legal personality distinct from its members, directors and other connected persons. As foundation companies are governed by the Companies Act (Revised), except where it is inconsistent with the Foundation Company Act, 2017, they benefit from an extensive body of case law and are well recognised in other jurisdictions.

TYPICAL USES

Foundation companies may be an attractive alternative to trusts, particularly for clients in civil law jurisdictions where a trust may be unfamiliar or the tax treatment uncertain, and offers many of the features of a trust that make them ideal succession planning and asset protection vehicles. Clients from common law jurisdictions frequently use foundation companies to hold higher-risk assets such as shares in family businesses and as part of family office and private trust company (PTC) type structures.

It is possible to use foundation companies to act as ownerless or orphan vehicles making them suitable solutions in the context of PTCs, investment funds or in wider commercial transactions.

By way of example, foundation companies may be suitable for use as:

• holding vehicles for shares in a PTC (Private Trust Company)

• a protector or enforcer of a trust

• special purpose vehicles in financing or commercial transactions

• a vehicle for cryptocurrency related projects, from initial coin offerings (or ICOs) and trading operations

• a traditional succession planning and asset protection vehicle

• a vehicle for philanthropic uses.

INCORPORATION

Any new or existing company incorporated under the Companies Act (Revised) may apply to the Registrar of Companies (Registrar) to be a foundation company provided certain conditions have been met. The conditions are that the foundation company:

• is limited by shares or by guarantee, with or without share capital;

• has a memorandum that:

o states that it is a foundation company;

o describes its objects (which may include beneficiaries);

o provides, directly or by reference to its articles, for the disposal of surplus assets on winding up; and

o prohibits dividends or other distributions to members;

• has adopted articles; and

• has a secretary who is a person licensed to provide company management services in the Cayman Islands (Secretary).

CONSTITUTION

A foundation company’s constitution may grant any person the right to become a member. It can cease to have members if (i) its memorandum permits, and (ii) it continues to have a supervisor, being a person, other than a member, who has a right to attend and vote at general meetings. Once it has no members, the foundation company will not be able to admit new members or issue shares unless its constitution permits it.

A foundation company’s management will be carried out by its directors. In addition, its constitution may give rights, powers and other duties to members, directors, supervisors, founders or others relating to:

• admitting, appointing or removing members, supervisors and directors;

• making and amending any bylaws;

• the supervision of the foundation company’s management and operations;

• enforcing duties;

• general meetings and voting on resolutions;

• altering the constitution; and

• winding up and disposing of surplus assets.

BYLAWS

In addition to a foundation company’s constitution, it is possible for a foundation company to adopt its own tailored bylaws in order to modify or expand upon its management and operation. Utilising bylaws has the advantage of being a private document separate from the constitution, which does not need to be filed with the Register (unlike the constitution), and can offer more flexibility through amendment over time.

RIGHTS AND DUTIES

Unless varied by the constitution, duties are owed only to the foundation company itself and rights are enforceable only against the foundation company. This can make foundation companies well suited to holding higher risk investments because beneficiaries do not have direct rights of action against trustees as they would in a trust context.

Rights to information, such as reports and accounts, are limited to interested persons who are defined under the Foundation Act as any of its members or supervisors, someone with the right to be a member or supervisor or someone declared under the foundation company’s constitution to be an interested person. Interested Persons can bring actions in the name of or on behalf of the foundation company for the enforcement of directors’ duties in the same way as members of traditional companies.

Beneficiaries of a foundation company (if any) have no powers or rights in relation to the foundation company, its management or its assets.

SECRETARY

A foundation company must have a Secretary, licensed to provide company management services in the Cayman Islands. The foundation company’s registered office must be at its Secretary’s registered office and the Secretary.

COURT INTERVENTION AND RESOLUTION OF DISPUTES

The firewall provisions of the Trusts Act apply to foundation companies providing protection against claims in foreign courts. Similarly, the ability of a trustee of a Cayman Islands trust to apply to the Grand Court has been extended to foundation companies, offering assistance in contentious and non-contentious situations.

A foundation company’s constitution may require the resolution of disputes issues by arbitration and any resolution manner prescribed by the constitution cannot be set aside unless a party has committed fraud or conducted itself in bad faith.

TAX TREATMENT

A foundation company is not subject to any income, withholding or capital gains taxes in the Cayman Islands. Members or beneficiaries of a foundation company will not be subject to any income, withholding or capital gains taxes in the Cayman Islands with respect to their interests, nor will they be subject to any estate or inheritance taxes in the Cayman Islands.

In addition, a foundation company, which is incorporated as an exempted company, may apply for an undertaking that any law change to introduce taxes in the Cayman Islands will not apply for a period not exceeding 30 years from the date of approval of the application.

FEES

Every foundation company is required to pay an annual Companies registry fee to the Registrar in January of each year of CI$700 (US$ 854). The foundation company secretary is also likely to charge an annual fee.

In addition, there will be legal fees associated with the incorporation of a foundation company which will vary depending on whether the constitution needs to be tailored and whether bespoke bylaws are required.

Caymans Foundation Company Prices & Inclusions

OCI’s set up fee for a Caymans Foundation Company is $US5,125*. This fee includes the following:

• Government Fee on Incorporation – Share capital of US$50,000 or less

• Registration of Foundation

• Filing of Register of Directors and Officers

• Beneficial Ownership Compliance and Filing

• Economic Substance Classification

• Stamp Duty

• Notary Fee

• Professional Fee

• OCI supplying a local Foundation Secretary (year 1)

Would you like to know more? Then please Contact Us:

www.offshoreincorporate.com

info@offshorecompaniesinternational.com

*Note depending on the proposed business activities of your Caymans Foundation Company the Caymans Company Registrar may ask to sight a legal opinion advising that the Company’s business activities are not considered licenseable activities under the Caymans VASP Law. The above quote does not include the obtaining of such an opinion.

How to Use a Foundation in a Crypto Startup

pat — Tue, 20 Jan 2026 00:44:49 +0000

Are you looking to create and sell a Crypto Token? Or are you looking to launch a DEX?

There are various ways to Legally structure such enterprises but the most common approach we see to the legal structuring of such organizations is to create a collective of legal entities including:

A DAO Foundation +
A Developer Company +
A Holding Company +
A Token Distribution/Issuance Company (Token Co) ie the Exchange intends to sell it owns native Token +
A Management Company

In terms of roles the DAO Foundation can potentially do several things ie it can/would/could:

Engage/pay the Developer Co
Act as an Incubator fund for collecting seed Capital (eg privately introduced/early stage investors and/or DAO members could make donations to the Foundation and in return receive tokens or a SAFT ie a Simple Agreement for Future Tokens)
Own the Tokens as developed and or it could own/provide working capital to the Exchange Company (ie act as a/the Treasury)
It could be used to incentivize sweat equity (ie it can be used to gift and/or air drop tokens to high performing team members or to benefactors)

The Developer Company would be engaged to do the IT/Tech work and would typically be owned by the Tech Members of/Coders for the Collective. This enables the software developers to be remunerated on a commercial basis for the work they do.

If you plan to develop/sell your own Coin or Token (ie a Token that could be publicly traded) then ideally (eg to minimise liability exposure to the rest of the Group) this function should be carried out by a stand alone Company. This Company could be owned by the DAO Foundation and or by stage 2 Investors/founders collectively via a Holding Company .

To ensure that the Founders get paid fairly for running the business ideally the Founders should form their own Management Company. This Company would be engaged via contract by the Token Issuing Co to manage the day to day affairs of the business.

Sometimes we see the DAO Foundation form an IP Company so that the technology/IP can be sold separately later and/or protected from law suits. Where an IP Company is deployed typically it is owned by the DAO Foundation and it hires/engages the Developer Company.

Occasionally we see a Holding Company deployed to own the Exchange Co and or the Token Issuing Co. Typically post launch Commercial Investors (eg if/when you need to do a 2^nd capital raise to fund expansion) would hold shares in this Company as would the Founders of the Enterprise.

(In case you’re wondering what a DAO is you might want to check this article: https://offshoreincorporate.com/what-is-a-dao/ )

How to use a Foundation to help launch an ICO

Private Foundations are increasingly being used Internationally as the preferred fund-raising vehicle for entrepreneurs looking to launch ICOs. The purpose of this Article is to examine how Foundations are typically being used in such instances (and to look at possible commercial alternatives)

So first up… What is a Foundation?

A Foundation is a legal entity set up by a person called a Founder (like a Settlor in the case of a Trust) which is managed day to day by a person called a Councillor (akin to a Trustee in the case of a Trust but more like a Company Director in terms of duties/responsibilities).

There are in essence two types of Foundation:

(a) Foundations with beneficiaries

(b) Purpose Foundations

Type (a) is the more traditional model ie where an entrepreneur or investor sets up a structure which is designed to hold/manage assets for the benefit of 3^rd parties called beneficiaries. In this instance the Foundation is designed:

(i) to minimize the amount of tax that would otherwise be payable by the Founder on profits made by any asset/company that the Foundation owns; &/or

(ii) to protect assets from any law suit/judgment that might be foiled/lodged against the Founder; &/or

(iii) as a cross generational family wealth management vehicle

Type (b) is where a Foundation is set up to fulfil a specific purpose. That purpose might be Charitable or non-Charitable (eg to hold shares in XYZ Company”.

In the case of a Crypto enterprise what actually happens is that a Foundation is established under the law of the jurisdiction where it is registered with a purpose which allows it to justify investing in the particular start-up in question (although, it needn’t be limited to investing in a specific start-up –) or the Foundation could be established for the purpose of owning a/the Crypto Token Issuing Company! Moreover where a Foundation doesn’t have named beneficiaries (ie making it virtually impossible to identify the underlying owners of the Crypto Token Developer/Issuing Company) this acts as an additional deterrent to law suits and regulatory over reach (In our experience most Crypto related Foundations are established as Purpose Foundations).

In terms of management the Foundation is independent and controlled by a board of appointed individuals (“Councillors) who oversee its management and operations (including any grant making). The Foundation takes in the money paid by individuals (which conceptually could almost be considered a donation) in exchange for crypto tokens, and then uses the money to support the development of platforms and technologies that can arguably deliver the foundation’s purpose (which is obviously in practice intended to mean funding the start up at the centre of the ICO).

To summarize a Foundation when deployed as part of a Crypto venture can deliver considerable utility including:

Protection from legal liability: A Foundation is an ownerless vehicle. Nobody “owns’ a Foundation. As such if your Crypto Token issuing Company were to be sued or attacked by Regulators the underlying Founders of the venture should be protected from liability.

Tax Planning Options: A Foundation when deployed to own an income producing company (and with a well thought through “Offshore” management/directorship structure) can potentially enable the Founders of the enterprise to lawfully avoid having to declare/pay tax at home on (what would otherwise be) their share of the Company’s profits.

Seed Capital raiser: A Foundation can be used to raise startup/development capital from benefactors and to reward parties who contribute to the development of the Foundation’s Ecosystem and related projects

Development Engine Room: A Foundation can be used to develop a Token/Cryptocurrency and to reward parties who contribute to the development of the Foundation’s Ecosystem and related projects

All that said there’s no one perfect way to structure a Crypto Token Enterprise. Every business is different. Moreover, you don’t necessarily need to kick off with a menage of Companies – some can be “bolted on” later as the business grows.

The good news is that OCI can provide detailed guidance in this regard ie we can assist you to tailor a Legal structure designed to meet your particular goals/needs having regard to your budget, potential for legal exposure, location, growth aspirations and time frames.

Would you like to know more? Then please Contact Us:

www.offshoreincorporate.com

info@offshorecompaniesinternational.com

What is a DAO?

pat — Tue, 20 Jan 2026 00:30:09 +0000

A DAO is a Blockchain structure (like a secure database), that any member can leverage to self-govern through participation; A DAO sets rules – baked into code – and permits voting through digital tokens (a form of cryptocurrency) — all while leveraging smart contracts. Only that DAO’s Token holders have the power to vote.

In essence, a DAO allows groups of participants to create organizational forms beyond the hierarchical, top-down corporate firm (which must be responsive to the needs of a board and shareholders). DAOs essentially eliminate or minimize the roles of executives and managers in the organization, relying instead on transparent rules that apply to all members and participants

The primary aim behind the creation of a DAO is to create a virtual entity to replace the central management of previous forms of organization. A decentralized autonomous organization (DAO), is an organization, particularized by rules encoded as a computer program, that is transparent, and controlled by the organization members. In terms of decision making a DAO is, in effect, unable to be influenced by any outside party including any central government.

DAOs are particularly prevalent in the Ethereum blockchain ecosystem, combining ideas about organizational forms, coordination, network effects, blockchain, and smart contract technology. A DAO allows a group to organize around a mission or goal and to coordinate the mission via smart contracts, enforced immutably and autonomously on the blockchain. DAOs represent an evolution in how people coordinate with one another, as the organization itself is autonomous from any third party intermediary’s influence and goals.

The main reason a DAO is formed is to decentralize and automate the governance of an organization. The rules by which a DAO operates are encoded as a computer program that is accessible via the blockchain, and controlled by all of the organizing members, rather than by a central governing board. Since the blockchain is essentially a public record, the DAO seeks to provide total transparency, requiring that all of its financial transaction records be recorded by a public facing blockchain. There is no top-down hierarchal structure to a DAO; A DAO depends almost entirely on the operation of autonomous smart contracts to enliven the rules and carry out the decisions made by/within the organization.

How to Form a DAO

There are typically a number of steps involved in the formation of a DAO. You’ll need to

Define the structure of the project eg What do you expect your DAO will achieve? What are your goals?
Decide on the type of DAO you want to create (eg a Grant DAO? Or an Investment DAO? Or a Social DAO? Or a Collector DAO? Or a Media DAO? Or an Entertainment DAO? Or a Philanthropy DAO?)
Decide what features are to be included in the Tokens that you issue to persons wanting to be part of your DAO (eg Voting rights, Incentives/rewards, Executive participation opportunities etc)
Create your DAO (there are several DAO startup templates one can access on the Blockchain + tools are also available in the market to help you. They can help in ascertaining the legal infrastructure of the DAO, DAO coin minting, Building teams, Finding members etc)
Encode your rules: Get your DAU rules encoded in a smart contract (which renders the rule immutable/unable to be changed). Rules can be encoded using easy to purchase DAO tools or by simply hiring a blockchain developer to do it for you
Create your DAO Treasury (After you’ve completed your DAO token’s ICO supply and allocation, it’s essential to guarantee that you can secure the collected funds. There are now numerous popular east to access DAO Treasury Tools including Gnosis Safe- Platforms, Juicebox- Juicebox, Llama, Parcel, Utopia etc
You’ll need to decide on what Governance tools you want/need (eg you’ll need to implement systems for holding discussions, conducting voting, and managing funds and for depositing/managing/lending governance tokens etc).
You’ll need to create a community (a trustworthy, independent community is the strongest pillar of a DAO ecosystem. An interactive, engaged, and strong community can help in the constant expansion of the DAO project. Moreover the success of a DAO project largely depends on how freely the community is able to participate in the decision-making and management of the DAO project).

There are a ton of resources out there that can help you sort out the above and more. Here are some examples:

https://blog.liquid.com/create-dao

https://www.blockchain-council.org/dao/how-to-create-run-a-dao-a-comprehensive-guide/

https://academy.binance.com/en/articles/how-to-create-a-dao

https://sensoriumxr.com/articles/how-to-create-a-dao

I’m guessing you’ve already made the above-referred decisions which means the next thing you need to decide is what kind of legal form do you want your DAO to take? There are a number of options worthy of consideration in that regard… and OCI is fully across ALL the options!

Would you like to know more? Then please Contact Us:

www.offshoreincorporate.com

info@offshorecompaniesinternational.com

China Creates the New Singapore

pat — Sun, 21 Dec 2025 05:41:11 +0000

Could China have created an attractive new Tax Haven???

What China is doing with Hainan – a huge island to the south of the mainland (50 times the size of Singapore!) – is quite extraordinary: they’re essentially making it into a completely different jurisdiction from the rest of the country, and an extremely attractive entry gate for the Chinese market.

You can now import most products in the world (74% of all goods) entirely duty free into Hainan. And, if you transform the product and add 30% value locally, you can then send it to the rest of mainland China completely tariff-free. For example: You could import beef into Hainan tax free. Slice it and package it for hotpot in Hainan: it can then enter all mainland supermarkets duty-free.

The Hainan Province also offers an attractively low corporate tax rate ie 15% which is lower than Hong Kong (16.5%) and lower than Singapore (17%) AND lower than the rest of mainland China (25%).

That’s not all, Hainan now has different rules from the rest of China in a number of areas including:

HEALTH: In essence, the rule here is that if a medicine or medical device is approved by regulatory agencies anywhere in the world, it can be used in Hainan – even if banned on the mainland. Which undoubtedly makes it THE place in the world with the widest range of medical treatments available.

NO FIREWALL: Companies registered in Hainan can apply for unrestricted global internet access

OPEN EDUCATION: Foreign universities can open campuses without a Chinese partner

VISA-FREE: 86 countries get visa-free entry into Hainan, probably one of the most open places in the world

CAPITAL: Special accounts let money flow freely to and from overseas – normal mainland forex restrictions don’t apply

To summarize, China is running an extraordinary “radical openness” experiment in Hainan. They are essentially creating a “greatest hits” of global free zones: Singapore’s tax regime combined with Switzerland’s medical access blended with Dubai’s visa policy – and all in one giant tropical island attached to the 1.4 billion people Chinese consumer market!

And what we know from the Hong Kong free trade port experiment, the growth of Singapore and of late the staggering upsurge of capital, entrepreneurs and professionals migrating to Dubia/UAE is if you create a low regulation low tax Corporate operating environment the money will follow!

Watch this space for developments…

Would you like to know more? Then please Contact Us:

www.offshoreincorporate.com

info@offshorecompaniesinternational.com