Like many of our private clients, your circumstances may call for more than just an international trust. Often, an international company (or companies)—in combination with one or more trusts—can be the ideal solution.
Companies are independent legal entities that can own property and transact exactly as an individual can. An international company can offer distinct advantages, including:
- Limited liability for the shareholders
- A separate legal identity
- The simple transfer of ownership
What's more, a company can allow you (as a shareholder) to maintain control over and benefit from assets transferred to the company.
Here are some common uses for companies:
The information below is intended as an overview only. Arrangements are tailored to suit each client's individual needs and requirements.
Investment and property holding
Depending on your situation, you might benefit from using a holding company to own personal assets such as investments and property. A holding company could help:
- Mitigate the income and inheritance taxes that might otherwise be payable if investments were held directly1
- Keep the identity of shareholders private
- Protect assets from possible seizure in a country in which the shareholder is resident
Trademarks
You may be able to use a company to hold trademarks, patents, royalties and other rights. The company could possibly derive a profit from them by granting leases, rights or sole distributorship arrangements to residents of other countries.
Employment
If you earn irregular income outside your country of residence, you may be able to establish a company and then sell sole rights to your services to the company. Employment companies may also be used by onshore resident corporations to employ staff engaged in offshore projects.
In both examples above, a company could help save on social security type deductions and may also help avoid complex employment regulations. In addition, establishing a company in a financially-secure jurisdiction also provides a stable base for the employees of such corporations, regardless of where they actually work. Earnings can then be used to provide for pension and savings schemes and other employee benefits—often in a tax-free environment.
Talk to Us
We can help you explore whether an international company or other fiduciary solution is right for your needs.
1 Depends upon the tax laws in your home country.
