Choosing an offshore jurisdiction in which to incorporate your business to protect your assets involves considering various factors, including your goals, your budget, and the protection of your legal rights.
Offshore incorporation involves creating an offshore entity outside one’s primary jurisdiction of business. It is often one of the best methods of protecting one’s assets. Many different jurisdictions offer various levels of offshore legal protection.
Generally, these offshore jurisdictions can be divided into three categories:
- very expensive ones – these are often suitable for major financial institutions.
- medium cost, high efficiency ones – these are highly suitable for small to medium sized entities that wish to benefit from offshore features to a great extent.
- low cost, loosely regulated ones – these are very inexpensive to establish and operate.
I personally do not recommend using jurisdiction ‘3’ since the rule of law may be lax and your legal rights may not be protected.
I suggest ‘1’ for those who can afford it, and ‘2’ to almost any aspiring businessperson!
This post gives information only, not legal advice. If you have a legal problem or need legal advice, you should speak to a lawyer. For more information about offshore incorporation, please feel free to contact us.