Whenever someone brings up the words “offshore company,” the minds of most of us race to the numerous Hollywood movies which has a notorious depiction of what an offshore company is and how the owner of one would be. However, the truth could not be farther from fiction. An offshore company is a legal entity that provides one of the best legal mechanisms to structure businesses and carry out international business transactions. Here are the key benefits to buy offshore in UAE.
Asset protection
An offshore company’s most essential and widely used benefit is protecting your hard-earned assets. Incorporating an offshore company with the proper corporate structure builds up a solid legal wall that secures your assets from unwanted lawsuits, which one can generally encounter in traditional mainland jurisdictions with the increased visibility of the assets. If you are a high net worth individual, the chances of facing an unnecessary legal obstacle from any one of your adversaries can exponentially rise. With an offshore company, you would be able to ensure that the assets you include in your offshore company are sufficiently protected from any such adversaries. The UAE provides one of the best offshore jurisdictions in the world to incorporate an offshore company for asset protection.
Privacy
Offshore companies in the UAE are not required to publish private details of the shareholders and directors in the public domain, including their financial information. In some of the offshore jurisdictions in the UAE, there are no annual auditing requirements. There are no requirements to file the financial accounts as well. The relevant offshore registry does not divulge this information to any third-party law enforcement agency unless required by the expected reporting standards or there are credible suspicions of criminal or terrorist activities as per the existing Anti-money laundering and combating the financing of terrorism laws in the UAE. This ensures that the privacy of an offshore company is well maintained.
Zero taxes
When you buy offshore in UAE, there are zero corporate tax liabilities, and no restriction on capital repatriation sounds like a dream for most entrepreneurs looking to incorporate an international business company. The UAE has double taxation treaties with many countries as well. The companies in an offshore jurisdiction in the UAE do not need to pay any corporate taxes for their company, and the shareholders keep 100% of the dividends from such an offshore company in the UAE.
Access to banking
Access to prominent banks in the UAE ensures you have access to the best banking infrastructure to support your business venture. Additionally, you will have access to other premier international banks worldwide. This ensures that you reap the benefits of the best banking infrastructure in UAE and elsewhere. Depending upon the client profile, a bank account from a UAE bank can be opened within six to eight weeks.
Lastly, you will not be limited in conducting the board meetings geographically as the board meetings of an offshore company in the UAE can be held anywhere in the world.
