APGI - Frequently Asked Questions

OFFSHORE COMPANIES, BANKING & TRUSTS FAQ

These are some frequently asked questions that many of our clients and visitors to our website often send us by e-mail or calls by phone for a free consultation. Often times people are very unsure about the offshore industry as well as offshore banking and they're unaware of all the potential possibilities that they can have my using them. We have taken the time to gather the most interesting as well as most pertinent questions that people pose us on a daily basis and provide them to your in a way in which you can better understand and comprehend. If you still feel that you have specific questions about certain entities or about asset protection in general please feel free to contact us as the learning process always continues.

Frequent Questions

Please find a list of the most frequent questions that we have received from our clients as well as those interested in asset protection and offshore banking and corporations.

1. What is an IBC?

An IBC is also known as an international business company or an international business Corporation. An IBC is a company or a legal entity which is incorporated in a tax-free jurisdiction also known as a tax haven. These types of companies are exempt from all local as well as international taxes. One of the regulations set forth in the IBC act in each of these countries is that the company does not conduct business within the jurisdiction itself.

2. What are the differences between offshore companies, corporation, an IBC?

There are no differences between the three and they are all legal entities incorporated offshore but the name a very depending on the jurisdiction in which they were incorporated. Often times people call them nonresident company or nonresident Corporation.

3. What offshore companies most commonly used for?

Offshore companies are most commonly used for offshore banking as well is to conduct international trade, offshore investing, asset protection, as well as other lucrative activities. An offshore company can buy and sell goods and services, establish bank accounts, and operate business in the same fashion that on short companies can. In some cases, offer companies are also used for the ownership of real estate and land, as well as for the holding of intellectual property, and tax reduction strategies.

4. What are the costs associated with setting up an offshore company?

Establishing an offshore company is relatively simple as well as inexpensive. In most cases a company itself can run about US$725 for the basic company incorporation. Other fees associated with the company may be nominee directors, nominee shareholders, bank account opening services, apostille of corporate documents, etc. These all may vary depending on the personal as well as corporate needs of each and every individual or company.

5. Either any requirements to pay up the share capital of an offer company?

There are no current requirements to pay of the share capital in full, but often times a nominal amount needs to be paid up and this is taking care of at the time of incorporation and is included in our rates. In some cases the share capital which needs to be paid up is just one US dollar. In other cases there are no requirements to venture capital whatsoever.

6. What is a registered share?

A registered share is a share which has been registered to the name of the beneficial or real owner of the share certificate and this information has been placed on the company share register and his or her name may be printed on the share. This person is known as a registered shareholder.

7. What is a bearer share?

A bearer share is a share which does not include the name of the beneficial owner of the share and their is no requirement to place the name of the shareholder on the certificate. In some cases where bearer share companies are incorporated, the IBC act in the respective jurisdiction requires that the share be held on the registered office of the company. This is a requirement in some cases in order to protect the share from theft or loss which could create issues for the beneficial owner.

8. How many shareholders are required to establish an offshore company?

In most cases, the requirement is for one shareholder in order to establish an offshore entity. In some jurisdictions such as Costa Rica and Panama the requirements can be two or three shareholders respectively.

9. What is a nominee director?

A nominee director is a corporate entity or individual which is intended to facilitate a high level of privacy for the beneficial owners of the company. The nominee is not intended to assist in the management of the company or sign off on any documents or contracts for the company. The beneficial owner of the company will receive a power of attorney which will allow him to undertake such activities without the need of the now a director to become involved. In certain jurisdictions such as Costa Rica and Panama, the register is public, therefore the nominee director will shield the beneficial owner from being place on the public registry.

10. What is a nominee shareholder?

A nominee shareholder is that individual or corporate entity which is intended to offer a high level of protection and privacy for the beneficial owners of share certificates.

11. What is share capital?

Share capital is the assigned value given to the number of shares that one can issue for specific company. In some cases such as the Seychelles, the share capital of a company can be set at US$1,000,000 and 1,000,000 shares can be issued for the company. This means that each year and have a valuable one US dollar.

12. How long does it take to incorporate an IBC?

Depending on the jurisdiction, and IBC can take anywhere from 24 hours up to several weeks. Some jurisdictions such as the Seychelles and Belize the average incorporation time is 24 to 48 hours. Panama and the BVI currently take about one week to incorporate as well as Dominica.

13. What documents are required to establish an IBC?

In accordance with the regulations as well as stipulations in the IBC acts in all of our respective jurisdictions in which we work, we are required to have is clear scanned copy of a valid passport as well is a clear scanned copy of a valid utility bill which is no less than three months old at the time of incorporation. We do not share this information with any registry or any other company but we are required to hold these documents on file in order to identify our client should he need to make movements on the company as well as in such a case the file would need to be inspected by the international business companies registrar. We will need to have this know your client documentation for each of the directors, shareholders, as well as beneficial owners of all companies incorporated by us.

14. What documents do most banks require in order to open an account?

Most offshore banks require a notarized copy of a passport, and originally utility bill will more than three months old, as well as in the original letter of recommendation from a bank, attorney, or accountant for all signatories and directors on the account. He certified set of copies of corporate documents are required as well and this can be obtained from us upon ordering.

15. How long does it take to open an offshore account?

In most cases it takes anywhere from 48 hours to two weeks in order to open an offshore bank account. This all depends on the bank as well as a jurisdiction in which the bank is located and the legislation in place.

16. Can I have a debit card with my offshore bank account?

Yes, all of the banks which we currently work with offer debit card as well a secured credit card solutions. Some of the banks even offer anonymous debit cards for security and privacy.

17. What is the Board of Directors?

The Board of Directors consists of the director as well as a secretary or any other member of the company which is assigned to have a position of responsibility in the Corporation.

18. What is a power of attorney?

A power of attorney; also known as a POA ; is a legal agreement which empowers an individual or another company with a specific authority in which to act on behalf of the entity. This makes the individual or company the attorney-in-fact. The power of attorney can be general, which means the in power has unlimited powers of the company, or it can be limited power of attorney which limits the actions in which the empowered man to take.

19. Can I open a bank account if I have not established a offshore company with your company?

In many instances, offshore services providers will deny those who not established companies with him a bank account introductory service. Fortunately, we have found that there are many individuals as well as companies in need of offshore banking solutions due to the fact that there are many providers who cannot provide a bank account for them. Therefore, we all inhabit to assist qualified clients in opening an offshore bank account. Please note that the fee is slightly higher than those who have incorporated companies with us but this is due to the level of work in which we must undertake in order to assist a non-client with opening an account.

20. What is the initial deposit required by the banks you work with?

Some of the base we work with have no minimum deposit requirement or initial deposit requirement and there are others who have a US$1000 requirements all the way up to a US$500,000 requirements depending on the jurisdiction. The majority of our banks fall between the zero US dollar and US$1000 requirements.

21. Which base you work with?

We currently work with banks and Belize, St. Vincent, Cyprus, Tanzania, Switzerland, Liechtenstein, as well as Latvia. Oftentimes we are requested to divulge the name of the banks in which you work with before the client has made payment. Unfortunately, we are unable to do this because we hold agreements with the banks which require us not to divulge the name of the bank until the individual or company has become a paid client. The bank bases this on the fact that they do not want to advertise themselves as an offshore bank which could create issues for them and their clients.

22. Can I open a personal bank account offshore?

We normally don't recommend that individuals open personal bank accounts offshore due to the fact that their privacy is nonexistent when using their personal name on the account.

22. Can I open a personal bank account offshore?

We normally don't recommend that individuals open personal bank accounts offshore due to the fact that their privacy is nonexistent when using their personal name on the account. Oftentimes people are not aware that if they use their personal name on an offshore bank account and all wires or payments into the account as was out to the counts are undertaken that their name will be on the MT 103 form.

23. What methods of payment do you accept?

We currently accept international wire transfers, Western Union, and XOOM.com payments. In some cases we will except PayPal payments on a case-by-case basis. Note, all payments are due in advance and we do not make any exceptions for this due to the nature of the services that our clients request.

24. Are there any fees that I need to know about on an annual basis?

Yes, all companies are required to pay an annual maintenance fee which consists of the government fee, registered office fee, and registered agency. In most cases this is due on the anniversary date of incorporation of the company. And some jurisdictions such as beliefs, the government requires payment in January of each year and a day in which the company was incorporated has no bearing on the annual fees.

25. How many companies can I set up at a time?

There are currently no restrictions concerning the number of companies, trusts, or foundations that one individual or company can own. As long as a company is needed and has a purpose for you and your business it can be established.