Offshore companies are businesses that have been registered, established, or formed outside of the country of residence. Starting a foreign company is a straightforward procedure in all of the popular offshore financial centres and tax havens and can provide a varied range of advantages to the company. Starting an offshore company primarily offers the following benefits.
- Asset protection
- Reduced tax liability
- Protection against lawsuit
- Ease of business operation
- Flexible business laws
The United Kingdom is situated in Western Europe consists of Great Britain along with Northern Island, commonly known as Britain. The United Kingdom is not an offshore country, per se. The country allows for the incorporation of a business called a Limited Liability Partnership which if structured the right way will be given tax reductions similar to what received by many offshore corporation’s these days. An LLP in the United Kingdom is straightforward to maintain ad allows greater flexibility than an ordinary business.
A UK LLP is a company structure which can be formed in Greta Britain. It is best labelled as a cross between a partnership and a limited company. If a limited business established in the UK, it is adequately structured, then it will be taxed as an offshore entity.
Characteristics of a UK Offshore Company
- The United Kingdom has a fast and efficient registry. Business incorporation can be processed electronically within a day
- The mandatory corporate secretary is necessary
- Minimum of one director and one shareholder is required
- A UK Company can act as an agent for a foreign company also known as UK agency structure
- Bearer shares are not permitted
- A tax rate of 21% applies for profits below £300k. for-profits exceeding £300k a bracket applies
- Upon incorporation of the business, the names of the company officers will appear on public record
- Information of directors and shareholders will appear on public record
Top Uses of a UK Offshore Company
- Holding company
- Commercial activities
- Trading house
- Asset protection
- International investment company
The procedure of Offshore Company Formation in the UK
The process of business registration is much less involved than most people realize. The steps are –
- The first step is to finalize on the trade name. As a part of the name, you will also need to include a suffix at the end of the business name to denote limited liability. All the usual options might be considered including “Limited”, “LTD”, “Corporation”, “Corp”, etc.
- Under the next step, you will need to supply due diligence information including –
- A certified copy of your passport and license
- An original or certified copy of a document proving your residing address
- Details of the company’s proposed business activities
- Next step is to submit an order form including information as regards to what kind of shares are issued, the company secretary and the director, several shareholders, banking and virtual services required for the business and so on.
- Make payment so that you can officially start your business.
Documents Required for Offshore Business in the UK
To open a company in the UK, you must first register the company in the UK with the following mandatory details:
- Certified copy of passport
- Names and details of directors
- Details of shareholders and share capital
- Registration fee
- The Company’s name and registered address (if pre-existing)
- Articles of Association and Company Memorandum
- Completed IN01 Form
The UK corporations enjoy many advantages, including no corporate tax; only one shareholder requires as mentioned above. Business Setup Worldwide helps you in setting up your UK Offshore Company in a relaxed and hassle-free manner. It includes all the essential documents so that your business is fully functional right from the day of registration. Our United Kingdom company setup services include-
- Certificate of Incorporation issued by Company Registrar
- Company Registration Certificate issued by Inland Revenue Department
- Memorandum and Articles of Association
- Official address and documents of company head office
- Share certificate
- A resolution relating to the nomination of director and distribution of shares
- A fully dedicated agent from BSW at your service
Contact us today for more information.