Archive for January, 2009
The question has been asked by many people and companies who seek anonymity and a way to pay and receive money securely.
Browsing the Internet you will find many websites which pretend to give you guides on “how to get it” others tell you they have a good solution but no track record or proof that they really deliver what they promise. You will find a handful Offshore Agencies which will look reliable and have a wealth of products and services to offer but they require you to visit their place and will charge a fortune for a product which isn’t that expansive.
What you will need to consider is where your offshore bank account should be established, many places like Cyprus, Seychelles, Cayman Islands, The Netherlands Antilles, Bahamas and Uruguay are offshore havens which have a strict banking secrecy and who are able to open real offshore bank accounts.
Now you have some options and suggestions, however, to call up the banks will not help you since they will require you to visit them since they need to comply to KYc (Know your Customers), no you will need someone which already has established a relationship with the banks in the offshore havens, someone which can introduce your business case to them.
Many people believe that to become a offshore bank account and a offshore debit card is difficult and unreliable because they don’t know where to start. I have made it easier for them, visiting this blog and this article already brought you half the way.
The second most important thing to consider once you figured out where you want your offshore bank account to be, is who should go and help you, who is capable to introduce you to a Bank in an TAX Haven / jurisdiction and have earned the trust by the banks to really get your account approved. Surfing the Internet is a good start, however you will get that many hits that you won’t have a clue on who is able to help you and who just will take your money and run.
Important for you is to look at a certain website how it looks, what feeling you have with what they state they do and if they look reliable, if so, go and take their domain name and enter it into Google, find out what others have to say about the company or who they are linked with, if you find 1 to no comments on the company that could be fine but also a sign, then look at how good are they linked, how many websites are linking to them, many links from important websites can be a good sign, do they offer new clients to interact with them on a forum, ticket system, live chat or even a blog, if so, it’s good since fly by night companies would not put a lot of effort into such, often you will see 1 large page of advertising pitches and down the site a payment button, I can just say, stay far away from that. Others have built a good looking website but it has less to no functionality at all, stay away from such sites.
Once you have found your service agency you can ask him to help you to become the offshore bank account opened and to have a debit card for that account.
Look into what you get for the buck, some offshore banks only offer a bank account in one currency and no way to connect by any Internet Banking to the account, to withdraw money you will need to make a phone or fax order. That’s defiantly not a solution you want.
What you want is to look at a complete solution which offers you a multi currency offshore bank account with Online E-Banking facilities and a Visa or Maestro Debit card to withdraw money. You want to be able to have access to your offshore bank account 24/7/365 and make your banking business when it is convenience for you.
The well established banks also in Tax Havens will be able to offer you a quality banking platform to access your bank account, they will offer you multi currency facilities for several different major currency like USD, EURO, GBP and SF, you will have the account separated when you login through your e-banking access, and you will be able to make local and foreign bank transfers.
Hope you enjoyed this post and please feel free to contact CCLOGIC LLC if you consider to open an offshore bank account or offshore company in Cyprus.
For webmasters we offer a great opportunity to participate in our CCLOGIC Affiliate Program, visit our website for more information.
We at CCLOGIC LLC are an independent consultancy and expert company, each of the individuals working for CCLOGIC LLC is handpicked from the industries which our consultancy services cover.
Our goal is to provide the most professional solution for our clients, we don’t want to be the cheapest and we do not enter into discussions about our fees.
We are that convince about our own performance that we only invoice a client if we are 100% sure not to fail our mission.
How do you differ from all the other companies?
CCLOGIC LLC is first of all compared to any other company in our industry, an independent consultancy firm, we are not married with any specifically bank or service agent to which we send all our clients. CCLOGOC LLC is extending their network of sub contractors each day and we know almost any aspect of the arena we are battling on.
In the opposite to many Payment Service Providers on the Internet which offer company formation, payment solutions or the opening of bank accounts and advertising strategies, then we have one thing in mind and what counts. If we haven’t put money into the solution we offer, why should our clients do? Our existing is because of the many clients who contact our company each day, we rely on them, and we want their reference on our client list.
CCLOGIC LLC is not in any way involved in any payment processing operations, nor are we involved in the day to day management of any Offshore Company or Offshore
Bank Account, no, we have used all our sub contractors for our own purpose (some of them for more than 5 years) and made our own experience with them, and they
are experts in what they are doing, that’s why we choice them as partners for CCLOGIC LLC.
The services CCLOGIC LLC offers are all in synergy with each other and that’s why we can handle all of them under one umbrella, we use them daily by our self with great success.
How we operate:
CCLOGIC LLC strives to deliver a fast, professional and reliable service to our existing and new clients, we won’t involve our self in any of our clients operations, and we don’t want to have access to our clients money. Also we want to have the right without any further details or discussion to discontinue the work with a client if we fell they are fooling us into a business we dislike or are just not honest about their entire business case. Most important to us is, we don’t want to waste our time on clients which don’t want to pay for the minutes and hours we are using on them, because they came to us because they had a issue they need to have solved, we didn’t contacted them.
Visit our Merchant Services Forum Today, where you will find much more information about Offshore Company Formation and Cyprus Offshore Bank Accounts
Banks corporate secrecy laws typically impose civil and criminal penalties for unauthorized disclosure of confidential information, including information on the beneficial ownership and control of corporate vehicles. These laws diminish the capacity of authorities to obtain and share beneficial ownership and control information when they not provide mechanisms for domestic and international authorities fulfilling their regulatory/supervisory or law enforcement functions to access records.
Above is part of an article we found on a website of OECD. The purpose of the entire article is to inform people about the illicit use of bank accounts for laundering money or to hide money from tax authorities.
The main purpose for an offshore bank account is to have it opened in the name of the offshore company to be able to get all the benefits from your offshore company operation. Beside the tax benefits and asset protections possibility, often such offshore vehicles are used to be established by people which live in countries where they are unable to open an bank account.
Another widely used reason for opening an offshore bank account and an offshore company is if the business conducted is Internet based. The card associations has divided the world in about 6 regions and prohibit people from one region to clear credit card transactions in another region then where the company and the business is conducted. To work around this problem it is common to open an offshore company which fells into the region of where the Acquiring bank is located with whish the transactions should be cleared.
Other aspects are the legal issues of certain product or services, for example the distribution and selling of replicated products of brands is prohibited in most parts of the world if they are not licensed. In some countries it is however, possible to sell those products; typically China is such a country. To be able to sell such products on the Internet you will need to become a credit card acceptance agreement with a bank in the region where it is legal to sell the product. But those banks (as already explained above) require you to be incorporated in the same country as the Acquiring Bank. To work around this you will need to establish an offshore company for instant in China; since it can be overwhelming to open a company there it could be of benefit for you to have the Chinese entity to be owned by a “more close to you” company which in worth case can be liquidated and in that way not harm you or your economy.
Thank you for your reading and we hope to be able to serve you once in a while when you decide to register a Cyprus Offshore Company or need a Cyprus Bank Account or just want to Accept Credit Cards on your Website. Then please contact cclogic.com | Please also feel free to visit our Merchant Servise Discussion
Much have been said about Offshore Company Formation and especially company formation in Cyprus, we have been through the topics of assets protection, how to establish an Offshore Company for instant in Cyprus and Offshore companies in other countries.
While we try to give you in depth going information about the phenomena “offshore company” to prepare you for starting your own offshore company in all areas of the world and of course also for establishment of Cyprus Companies, then we decided to highlight a few things which we think are of interest for you and has some grade of importance.
It is a fact that you are able to hide and shielding assets from creditors and other claimants and that it is an efficient way to use an offshore corporation for this purpose, many will define this step as illegal and unethical, however this isn’t your problem, since to operate a offshore company is not illegal as long as you comply with the local regulations in the jurisdiction the company formation take place.
Some say “ Corporate vehicles can also be misused to hide and shield assets from creditors and other claimants, such as spouses, heirs, and tax authorities” Again true. And they continue
“ The obscurity provided by certain types of corporate vehicles can be exploited to conceal the existence or ownership of assets in order to keep them out of the reach of creditors and other claimants. In some bankruptcy cases involving individuals, for example, funds have been siphoned out of one jurisdiction through shelf companies and trusts incorporated in other jurisdictions where it was extremely difficult to trace beneficial ownership”
So you are good Sherlock and I think in many cases it is not ethical right to hide and protect your assets from other peoples, creditors or any claimants, however, there are circumstances in which I believe it is a great to use your offshore vehicle as for this purpose. I have seen some cases where a 100% legit company was driven by an entrepreneur and which only hardly got the thing to take off, so he decided to take in partners which was people from the big business, what they did, they cheated the a.. out of my client and he was left with only a few percentage left of the company he started and with a huge load of owing money to others. If something would go wrong he would have lost everything if the client hasn’t protected his assets through an advanced offshore company structure before he started. The business partners took over the business and threw him out, in the believing that they could manage the business themselves.
I advised my client to strike off his position as manager and to leave the company and go. So what this story tells is that it would have been a disaster for this person if he wasn’t able to use an offshore corporation as instrument for protecting the assets.
Some examples of misused offshore vehicles are below and which the author of this article of course not comply to or in any way find acceptable, but it gives an idea of why authorities worldwide are chasing offshore corporations driven by experienced business people.
For instant it has been reported that former Philippine President Ferdinand Marcos used a number of Lichtenstein foundations to hide money stolen from the Philippine treasury. This is obviously not correct and something he needs to be punished for by court order.
Thank you for your reading and we hope to be able to serve you once in a while when you decide to register a Cyprus Offshore Company or need a Cyprus Bank Account or just want to Accept Credit Cards on your Website. Then please contact cclogic.com | Please also feel free to visit our Merchant Servise Discussion Forum
The ability to obscure identity is crucial for perpetrators desiring to commit illicit activity through the use of corporate vehicles. While Cyprus offshore companies and offshore companies in general provide some degree of “natural” anonymity to its beneficial owner, anonymity can be enhanced through the use of a variety of mechanisms, such as nominee shareholders and nominee directors. These mechanisms can be used to conceal the identity of the beneficial owners from the authorities.
With your Cyprus Company you are unable to conceal the identity of the beneficial owners from the authorities since they require the beneficial owner to be registered with their archives.
To avoid the registration of the beneficial owner, you can have another company for example in the seashells to be the owner of your Cyprus company, Seychelles offer 100% anonymity but limit your trading possibilities.
In most other offshore jurisdictions the primary instruments used to archive anonymity are as follow:
Bearer shares are negotiable instruments that accord ownership of corporation to the person who possesses the bearer share certificate.
Nominee shareholders are utilized in most jurisdictions. With respect to publicly traded shares, nominees (registering shares in the names of stockbrokers) are commonly and legitimately, used to facilitate the clearance and settlement of trades.
Nominee directors and corporate directors
Nominee directors and corporations serving as directors (“corporate directors”) can also be misused to conceal the identity of the beneficial owner, and their use renders director information reported to the company’s registry less useful.
For more information to open or register your Cyprus Offshore company please contact cclogic.com they have specialized them self in the fields of offshore company formation and offshore bank accounts together with different merchant services like merchant account and payment processing.
“Many offshore banks have very strict rules on who they accept as their customers and contrary to popular belief they don’t accept just anyone as long as they have money! They have their reputation to maintain as a reliable and trustworthy financial institution and it would not be acceptable to them to allow criminals to use their services. Opening an offshore company can give you privacy or anonymity, the confidentiality laws of these jurisdictions are usually very strong and are a legal method of minimizing the tax amount you have to pay each year. “
This is what we wrote in one of our articles for not long time ago, and it is true, almost any bank in an offshore jurisdiction has that strict rules and regulations that they simply are unable to enter into the Merchant Acquiring business. Offshore banks will not be able to obtain a license to clear Visa or Mastercard credit cards often because they wouldn’t be able to withdraw the money from the card holders due to for instant European banks would decline such requests.
For instant if you get a Merchant Account in the Philippines or in Mauritius which both are great known offshore jurisdictions and which also have a license to do credit card clearing for each country, then you will often face the problem that your customers can’t pay with their credit or debit card. This due to the fact that many banks for instant in Europe or in the US simply decline such request because those countries are knows for scam and frauds.
However the problem can be solved very simple. You can become a Merchant Account with some banks in Europe and in countries which aren’t black listed in other banks around the world, once you have this merchant account you can ask the agent or the bank with which you have the merchant account to transfer your funds to an offshore bank account for instant in Cyprus.
Don’t make the mistake and open a Merchant Account in your local bank and ask them to transfer the money to your offshore bank account which might be in any of the different offshore jurisdictions, because they won’t do that.
By using the above model, you will need to face that your payment processing rates and fees might be much higher then what you can get them to in your local bank, but this should make it up with the TAX benefits you get through your Offshore Company. Don’t be fooled by low budget payment processors and payment service providers which promise you a offshore merchant account with a processing rate for instant of 4% or even lower, that’s simply not possible.
Also all the so called “free” service that tell you they will process your Visa and Mastercard credit cards for 3% flat rate, no monthly and no setup fees, they will process the cards but don’t transfer the money to your offshore bank account, and even if they would like to do that, then their financial institution will decline that request.
As solid Offshore solution for instant in Cyprus isn’t easy to get done. It needs the experience and knowledge from people which have been working in both the Merchant Acquiring and the offshore company formation business sectors, There are only a limited number of Offshore Service Providers which can help you and also assure you to become the real and right solution, many other will fool you into something you have better been without.
For the real solution which both it secure and reliable contact cclogic.com the experts in Offshore Merchant Services
Because of the strong anonymity a offshore company can provide if it is setup correctly it is often also misused for money laundering and other activities which violates the tax regulations in most countries.
It is known by all that an offshore company can be used to protect your assets and also be used as a vehicle to avoid TAX.
However in many cases a offshore company for instant in Cyprus is formed due to several benefits which a local company can’t give you, one of them is the right to make a loan in your own company. To “borrow” money in an LLC or LTD is prohibited in many European countries since it is in violation with the TAX authorities. But it is of great benefit for a new started entrepreneur if he can get the protection of a regular LTD and still is able to use the money for financing the company’s activities including his own salary.
How is it possible to get more money out of an IBC / Offshore Company for instant in Cyprus ? Very easy normal you need to have about EURO 17.000 to form a LTD in a European country, there are exceptions but for 80% of the countries in Europe it is the case, now when you have established the company with 100% of shares of an value of EUR 17.000 then you are not allowed to take some money out from the company to yourself. A Limited Liable Company need to have the status to be liquid and to assure your trading partners that you at least have the EUR 17.000 in assets or cash in the company and if the owner of that company by law was able to just take out the money exactly before the company for any reason declares bankruptcy then it would favor himself.
With a Cyprus Offshore Company or any other offshore company you are allowed as an resident of an European country to make loans in the company, let’s say you are starting to make money in the company, then you can money out of the company in two ways, one is as regular salary which will course you to up to 50% of the salary to the TAX authorities that can often be a problem, because you need to take more money out then if you don’t had to pay tax! So what to do? The second option is to take out the money as a loan, this loan can be made over a period of 10, 20, 30 or even 50 years if you like, and once the money is on your account you just need to report it to your local TAX authorities as a loan.
Hope you find this article informative, more are coming with more tips and tricks for your offshore company setup.
For Cyprus Offshore Company formation and Cyprus offshore bank accounts please contact cclogic.com
In the offshore company formation world and in all type of company formation regardless if it is a local company or a company formation in another country you will sooner or later ran into the possibility to have a trust to manage your company.
A trust can be a good instrument for forming offshore companies if you wont move to the country where you register your offshore company or if you don’t want to travel at least 2 or 3 times a year to manage the offshore company.
So what is a trust?
A trust is an important, useful and legitimate vehicle for the transfer and management of assets. Trusts provide an effective mechanism for managing assets given minors, individuals who are incapacitated, and others who are otherwise inexperienced in financial management.
Trusts can also be used to promote charitable purposes and for estate planning. In addition to personal and financial planning, trusts are increasingly used to structure corporate transactions, such as securitization programs, and employee benefits programs, such as pension schemes, international employee stock option plans, and compensation structures.
To create a valid trust, the settler is required to give up control of the assets he has transferred to the trustee. In turn, the trustee is obligated to observe the terms of the trust deed and has fiduciary duty to act honestly and in good faith in the best interest of the beneficiaries or, in the event there are no named beneficiaries, in the best interest of the trust. Traditionally, trusts are subject to limitations on duration, the terms of the trust are fixed, and trustees cannot be removed without a legal challenge. Lastly, the traditional trust could only benefit individuals or charities and could not be used to delay, hinder, or defraud creditors.
As with other types of corporate vehicles, however, trusts can also be misused for illicit purposes. Part of the attractiveness of misusing trusts lies in the fact that trusts enjoy a greater degree of privacy and autonomy than other corporate vehicles. Given the private nature of trusts and the fact that a trust is essentially a contractual agreement between two private persons, virtually all jurisdictions recognizing trusts have purposely chosen not to regulate trusts like other corporate vehicles, such as corporations.
Above are just a few example of usage and misusage of trusts and what they are and how you can use it. For offshore companies in general in is common to use trusts to manage the company.
If you are looking for Offshore Company formation with a trust, then please contact cclogic.com we have specialized in company formation, Cyprus bank accounts and offshore merchant services.
This is an often asked question and also something people think and which stops them to get an offshore company.
The fact is in the time of Internet, you can get an offshore company where ever you want without to have to travel to any of the countries. Most agents will ask you for proof of identity and that’s all.
You can have a company formed for instant in Cyprus if you like without visiting Cyprus, all you need it to find an agent that is able to do the offshore company formation for you. Once your ordered the company then all documents and the certificate will be send to you by post mail or courier to your home address and that’s all.
I wrote an article about this before, but above should clarify the questions which may be still there when you consider opening an offshore company.
A snap from the article:
You are not required to actually live in the country where your offshore company is registered and that is why it is so popular with all types of industries. There are no restrictions placed on you based on your residence and who controls the company is entirely your decision, you can control it yourself or allocate an agent who is located on the offshore territory to take care of everything for you. Many industries that conduct trade all over the world do so through offshore international business centers and a large majority of the worlds hard currency is kept in offshore banks, much more than anyone realizes and this figure is likely to keep growing and developing for companies and individuals
However, a good thing is always to visit the people you are doing business with, and can’t harm you if you see your business partner face to face, maybe they might have some other solution relative to your offshore company which they didn’t told you simply while they forgot.
For Offshore Company formation, please visit cclogic.com they have specialized them self in this field and can help you.