Offshore Company in Nevis vs Panama

We all know that Nevis and Panama are among the top offshore locations in the world. But being an investor, you also must be having a series of options in your mind where to base your offshore company.

In this blog, we will discuss the differences in offshore companies in Nevis and Panama.

Main Corporate Details of Nevis Offshore Company

Company Shares

A Nevis Offshore company is allowed bearer shares and shares with no par value.

Required Capital

A Nevis Offshore company has no minimum capital requirement

Financial Statements Required

A Nevis offshore company does not need to file any statements. Also, there are no audit requirements. The company must keep its financial records.

Directors

A Nevis offshore company must have a minimum of three directors. They need not be a local individual. Corporate directors are allowed.

Company Secretary

A Nevis Offshore company must appoint a company secretary. He can be an individual or a corporate entity. He does not need to be a local resident.

Shareholders

A Nevis offshore company needs a minimum of one shareholder.

Trading Restrictions

An offshore company cannot do business in Nevis. An offshore company can’t also conduct business in real estate in Nevis. It must get a license and proper approval to operate as a banking or insurance business.

Language

English

Registered Office Required

A registered office is necessary for Nevis, though any physical presence is not mandatory.

Time Required for Formation

One to two days

Name Restrictions

Restrictions to those names which are identical to or similar to an existing company or any name that is undesirable, suggests illegal activity. Any names that may imply government patronage by the register are also restricted.

Requiring a Special License

A Nevis offshore must obtain a license if the business is engaged in activities related to banks, building society, savings, loans, insurance, reinsurance, fund management, investment fund, etc.

Annual Government Fee

$ US 200

Main Corporate Details of Panama Offshore Company

Required Capital

No minimum capital is required in a Panama offshore company.

Financial Statements Required

A Panama offshore company is not required to file audited financial statements annually with the Financial Services Commission.

Company Secretary

The appointment of a company secretary is mandatory in a Panama offshore company.

Directors

A Panama Offshore Company must have a minimum of three Directors.

Powers of the Company

Offshore companies incorporated in Panama have equal power the same as that of a natural person.

Registered Office Required

A Panama offshore company must have a registered office

Local Presence

There are no mandatory local presence requirements in a Panama Offshore company.

Language of Name

The name of a Panama offshore company may be in any language

Annual Government Fee

In a Panama offshore company, there is an annual fee of US$350 with a one-time registration payment of US$250.

Name Restrictions

The name of a Panama offshore company must include one of the following legal endings: Incorporated, Corporation, Inc., Corp., S.A.

Shareholders

There must be one shareholder. He could be either an individual or a corporate body, issued one share valued at US$100.

Corporate Meetings

The corporate meetings can take place anywhere in the world.

Double Taxation Agreements

Panama offshore companies have signed twelve double Taxation Agreements with Barbados, Luxembourg, South Korea, Spain, Italy, Mexico, France, Netherlands, Portugal, Qatar, Singapore, and the United States of America.

Advantages of a Nevis Offshore Company

Remote Access

There is no need for your presence in Nevis to conduct the affairs of your offshore company. Banking, contract signing, and investing can all be handled remotely and also can remain in compliance with Nevis law.

The flexibility of Ownership and Management Structure

There is no need for any residency requirements for directors, shareholders, or officers. The corporate or trust entities may act as a director, secretary, or shareholder.

Citizenship and Residential Options 

Nevis offshore company offers citizenship opportunities through its Citizenship by Investment Program. In Nevis, there are no dual-citizenship restrictions and no tax requirements for individuals who decide to take up residence.

Confidentiality and Privacy

The government of Nevis exhibits a total commitment to maintain the privacy and protection of those involved in legitimate business practices. Neither Nevis nor St. Kitts have been polluted by reports of money laundering or tax evasion, unlike a number of other offshore jurisdictions.

Tax Incentives

A Nevis offshore company is free from taxation on the income generated anywhere in the world. There are no income taxes, corporate taxes, and withholding taxes to be paid.

Advantages of a Panama Offshore Company

Anonymous Ownership

Panama offshore companies share certificates that can be issued in bearer form with or without par value.

No Reporting Requirements or Taxes

A Panama offshore company does not impose any reporting requirements or taxes on non-resident Panamanian companies.

No Piercing the Corporate Veil

A Panama offshore company does not allow "piercing the corporate veil," which is why your corporate books are maintained 100% private and confidential by law.

Nominee Directors

When a Panama offshore company appoints nominee directors for the entities that they establish for their clients, they always provide their clients with pre-signed, undated letters of resignation from the directors.

Favorable Incorporation Laws

A Panama offshore company offers the most favorable and most flexible incorporation laws in the world.

Strict Privacy Laws

Panama has one of the most reliable banking and corporate book secrecy laws in the world. Privacy and confidentiality are not only respected but also vigorously protected by constitutional law in Panama. 

Stable Government

Panama has the most stable government in all of Central or South America.

We hope that all the above information will give you a clear picture of deciding whether to start an offshore company in Nevis or Panama.

Business Setup Worldwide is a platform to guide you through this. If you need any assistance, then you can contact us! We’d be glad to assist you.

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