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If you are looking for a physical location for starting q startup that also happens to be a tax haven, I would suggest being willing to pay a bit in tax in orde
by philiphodgen 16y ago
If you are looking for a physical location for starting q startup that also happens to be a tax haven, I would suggest being willing to pay a bit in tax in order to get the infrastructure you need. If I were in this position I might think of Singapore for instance.
If you are purely asking for a cheap jurisdiction to form a business entity, there is an endless supply of vendors on the Internet. I use BVI and Bahamas companies like cookies for my clients.
Buying a company is the trivial issue. The more important question is what you're going to do with it and what type of assets it will own. Look to home country regulation and taxation of your shiny Bahamas company in other words.
War story: I worked on an Internet gambling migration a few years ago (moving the business out of the US). There is a US tax rule that says transferring ownership of intangible property to a foreign owner (eg from your own US corporation to yor own Bahamas corporation) is treated like a sale. Imagine the capital gain on the domain name: bought for $7 per year and now the brand of a profitable business. Giant tax cost. Moral of the story: start with IP owned offshore while it is being developed.
The person asking the question shows a profile of living in Norway, so to you I would suggest looking at localtax rules and business regulation in Norway. Choosing the right starting point may save you orders of magnitude more money than the trivial expense of setting up a company.
Also the brain damage must be considered. I have lots of nonresident clients who buy US real estate. In almost every transaction the party onthe other side spazzes put when confronted with other than a domestic entity. I spend the front end of my time educating them. You will add to your transaction costs in time and money by using a nonlocal company. Unlike another commented in this thread I ahem have not had ease of use experiences with my bank (which happens to be Wells Fargo) and non-US corporations. Other banks too. The federally-mandates compliance costs for non-US transactions are too high. This may be true in Norway too. (I have a client who is the president of a business-only bank and even with that connection the bank won't take on my clients).