What is the purpose of offshore companies?

Hello, an offshore company refers to a company established by a non-local investor in an offshore jurisdiction according to the local offshore company law, and can only conduct business activities outside the offshore area.

The main purposes of offshore companies are:

Do foreign trade. After opening a offshore account through an offshore company, it is convenient to collect and settle foreign exchange and facilitate the operation of funds.

Reasonable tax avoidance. Many countries stipulate that offshore companies do not have to pay taxes if they do not actually operate locally. For example, Hong Kong companies, British companies and some island companies can all be used for reasonable tax avoidance.

Use offshore companies to list overseas. The foreign listing environment is very free and the review is simple.

Take the road of internationalization. Using the international reputation of offshore companies, it is easier to establish large international companies.