An offshore company is a legal entity that is established in a country which is foreign to the principals (directors, shareholders) of the organization or a company that conducts its business from a jurisdiction which is outside of its country of formation.The reason why people set-up an offshore company is to take advantage of the tax structure of the foreign jurisdiction, asset protection, business opportunities that lack in their own country or a liberal legal structure. Countries, on the other hand, welcome offshore companies to bring in more revenue and attract foreign investments.
Georgia is a magnificent example of a jurisdiction that makes setting up of an offshore company a speedy, easy and low-cost process. It is growing at an unprecedented rate with an excellent entrepreneurial ecosystem, and outstanding opportunities. Itis an open economy that allows natural Georgian citizens as well as foreign citizens to purchase land, incorporate a business or open a bank account. It is one of the most sought-after jurisdictions in the world for incorporation of an offshore company. Starting a company in Georgia will lead to vast customer reach as it is at the crossroads of Europe and Asia.
How You Can Set-Up an Offshore Company in Georgia?
Georgia enjoys free trade agreement with the European Union and is trying to strike a deal along the same lines with the USA and China to make it an even more favourable business environment. Setting-up of a company in Georgia, be it any of the legal entities, is actually a pretty simple process that doesn`t take much time and is not paralyzed by excessive red-tape. Here is the most manageable, effortless and elementary process of registering an offshore company that you have had the pleasure of ever coming across-
- Register with the National Agency of the Public Register with an application that has all the necessary details. You should also submit a notarized copy of the company charter and a proof of the submission of fee.
- The charter of the company can be in any language along with a copy of the same in the Georgian language.
- A document giving details of the company`s registered address and legal occupancy of the same.
- A comprehensively written consent of the appointed director of the company.
It is without any speck of doubt clear from the above that offshore company registration in Georgia is the simplest process in the world. There is no minimum capital required for an offshore company formation. You may have to buy a property here to give proof of legal occupancy of the registered company address. Put your mind at ease because according to the Georgian legislation foreigners enjoy the same rights as natural Georgian citizens when it comes to owning a property here. All one has to do is provide a few documents such as proof of identification and a notarized copy of the purchase agreement. The same procedure is applicable in case your company has rented an office-space. The only difference that lies in such a situation is that one has to submit a lease agreement instead of a purchase agreement.
Benefits of Setting-Up an Offshore Company in Georgia
The reason why anybody sets up an offshore company is to enjoy certain benefits that the jurisdiction provides which will help the business grow.
- Starting and registering a business is straightforward.
- Registration of aproperty is easy.
- Access to credit is smooth.
- Operational flexibility.
- No minimum capital requirement.
- Easy and cost-effective administration.
- Low tax rates compared to other European countries and no double taxation as a result of double tax avoidance treaties with 52 countries.
- Privacy of assets and shareholders.
- An offshore company can also open up a bank account in Georgia.
- No property tax.
- Offshore companies also enjoy certain tax exemptions.
The exceptional transformation of Georgia over the past few years has made it one of the most attractive locations for setting up of business by entrepreneurs and already established businessmen alike. The growth rate of Georgia for the year 2018 was 4.5% and it has been opined that Georgia`s economy will experience an upward trend for the coming years. According to the World Bank, the Georgian economy is going to witness 5% growth in 2019. It has a diverse economy that provides opportunities in many industries such as tourism, transportation, and logistics.
Business Setup Worldwide has experts in Georgia that provide the best advice about setting up a business in Georgia. We provide company registration services, corporate secretarial services, accounting and bookkeeping services, tax services, intellectual property services, audit services, and visa services in Georgia. We help entrepreneurs build and nurture their ideas into reality. If you are looking for a commitment to high-quality professionalism you may contact us.