Comparing Offshore Companies

Offshore Jurisdiction

British Virgin Islands (BVI) Offshore Companies

Belize Offshore Companies

Delaware Offshore Companies

Panama Offshore Companies

Benefits of registering and offshore company with these jurisdictions.

The administration for the formation and running of a BVI company is simple and straight-forward compared to some other jurisdictions.

This offshore jurisdiction has been set-up to increase the flexibility with the company shareholders can operate the business.

Both the registration and annual fees are low by comparison to other locations.

Incorporation is typically very quick.

Delaware had one of the strongest limited liability shields available of all of the offshore company jurisdictions.

Delaware caters for a flexible company constitution and permits the shareholders to determine their own internal arrangements.

The Panama offshore jurisdiction is well-known for its extensive banking system and zero rate of capital tax.

Company formation times are among the quickest available.

Annual accounts and returns do not have to be submitted.

Requirements for gaining tax exempt status.

The tax exempt status is granted automatically without the company having to apply for it.

Tax exempt status is given where the company complies with the jurisdictional requirements.

Tax free status is granted straightaway without any submissions to the relevant authority.

The company must declare its constitutional documents to a notary public.

Potential drawbacks of incorporating.

The absence of public records can make ownership verification an arduous task.

Proving ownership of the company can sometimes be difficult because there is no public register.

Each offshore company is restricted to having two attributes of a corporation.

Absence of publicly available documents can make declarations of ownership difficult to substantiate.

Official company status.

Companies incorporated within this jurisdiction are given the International Business Company (IBC) and BVI Business company status.

International Business Company status is granted up on registration.

Not applicable.

Recognised in accordance with Panama Corporation Law.

Body of regulation applicable in this location.

British Virgin Island Business Companies Act 2004.

The International Business Companies Act 1990 together with case law.

Offshore companies within this jurisdiction are regulated by Delaware Corporation Law 1994 to 1995.

Panama offshore companies are governed by Spanish civil law and the common law influences of Delaware.

Restrictions and guidance of company names.

All company names must be sanctioned before registration can take place. Similar rules to the UK regarding terms like Royal, British and so on. All offshore companies within this jurisdiction must bear the suffix of "limited", "corporation" or national alternatives which are viewed as being generally acceptable.

Certain company names can not be used. These include Imperial, Royal, and those associated with financial and related institutions, such as bank, and insurance.

Company names can be used only after they have been sanctioned by the company formation authorities.

Sensitive words such as bank and insurance are not permitted in a company name.

Commonly used suffixes such as limited and corporation or the abbreviated versions of these are required at the end of the company's name.

Typical time taken to register a company.

Companies are usually registered with one to two working days.

Belize companies can be formed within one to two business days.

Registration of a new company can occur within one to two business days.

Incorporation can usually be affected within 48 to 72 hours.

Types of companies which can be purchased.

Both ready made and new companies can be purchased.

Offshore company formations available in this region can be of the newly formed and ready made type.

Off the shelf companies are usually available as is the option to incorporate a new company.

Both those which are incorporated to order as well as pre-registered versions are generally available.

Minimum amount of authorised shares capital.

None.

There is no prescribed minimum number, however most ready made companies have US $50,000.

No capital is required.

One share must be issued (which can have a zero nominal value). 1,000 shares of $1 each are commonplace.

Minimum number of company shareholders.

There must be at least one shareholder in the company.

A minimum of one shareholder is required.

No shares.

A minimum of one shareholder must be in existence.

Are bearer shares possible?

Yes, bearer shares can be issued although new legislation is planed to curtail such arrangements.

Any Bearer shares must be kept with an approval body such as Offshore Company Formations.

Not applicable.

Panama offshore companies can have bearer shares in issue.

Required number of company directors.

There must be at least one company director.

A minimum of one director is required.

This type of offshore company has no directors.

There must be at least there companies at any one time as well as a President, financial officer and a secretary (who may also be the directors).

The position of other companies acting as director.

This is permitted. In addition there are no restrictions on their locality.

Corporate officers can be persons or other companies.

See comments above relating to company directors.

Corporate bodies can be directors.

The position on company secretaries.

There is no requirement to have a company secretary, although if one is appointed, it can be a person or another company, There are no restrictions on where the secretary can be located.

The appointment of a company secretary is not required. If one is used, it can be a person or corporate body.

No company secretaries exist within these offshore companies.

The appointment of a company secretary is required. This person or company can also act as one of the directors.

Registered office and agents requirements.

The offshore company must have its registered office located within the jurisdiction and have an appointed a registered agent.

The company must have a registered office and a registered agent in order to comply with the jurisdictional requirements.

There must be both a registered agent and registered office present at all times during the entities existence.

A registered office is not mandatory, however the appointment and retention of a registered agent is a requirement.

Records available for public inspection.

The offshore company's memorandum and articles of association any changes made, the registered office address and agent details must be disclosed.

The memorandum and articles as well as details of the company registered office and agent are held on public records.

Publicly available records consist of the company name, incorporation date, name of agent and the current registered office.

The company's articles containing information on the registered office and agent, the corporate officers and directors and any amendments to them must be available in the public domain.

Records available at the company's registered office.

The following records need to be kept at the company's registered office: mem and arts, details of company shareholders and directors, all statutory notices and official company documents which have been submitted in the last ten years.

Originals or copies of the list of shareholders and directors must be stored at the registered office. An imprint of the company seal should be kept at the location.

There is no requirement to maintain or store any company records at the registered office.

Panama offshore companies do not have a registered office and the directors can determine where the statutory records are kept. The location does not have to be within the jurisdiction itself.

Other subsidiary requirements.

There must be a company seal and corporate records in existence but it is not necessary to be stored at the registered office.

Having a company seal is mandatory as well as the lists of shareholders and directors where these exist.

Statutory books, the company seal and other records at stored by the members themselves.

There are no additional requirements for a company seal of other accessories although these can be used if the company wishes.

Statutory accounts requirements.

The company is not obligated to prepare and submit any accounts.

There is no requirement for the company to prepare and deliver accounts.

Statutory accounts need not be drawn up or delivered to any central body.

Annual statements of account are not required to be submitted.

Annual returns.

There is no requirement to submit a company annual return.

This is not necessary.

The offshore company must prepare and submit and annual return.

No annual return is required in this offshore jurisdiction.