Costs and Fees
The purpose of this chapter is to provide you common considerations regarding offshore costs and fees and information on the usual structure of offshore fees. Our list of costs and services available is set forth in the schedule of fees.
Cost is not absolute criteria in choosing offshore jurisdiction and the type of offshore company. However, it is still important, that is why it would be useful to reveal the common structure of offshore fees and costs.
First of all, offshore financial centres have diversified greatly in terms of cost. There are some that are, like Liechtenstein where the prices are very high but the service is of the premium class as well. On the other hand, there are jurisdictions with large number of incorporated companies and high competition, and consequently the prices there are very low.
After considering all the corporate features and legal aspects of the given jurisdiction, it often makes sense to compare the prices. One position to compare is the minimum possible state duty – a fixed amount that the offshore company pays every year instead of tax. As these amounts are usually fixed and can change only with the change in laws, it is possible to make a comparison easily. Then it would be easier to make a decision and choose between the jurisdictions with state duties of USD 100 and of USD 350.
Another fees that may be taken into consideration are:
* The professional fees, constituting the bulk of the cost for the annual maintenance of an offshore company,
* The incorporation fee,
* The continuing domiciliary and management fees,
* The audit and other statutory compliance requirements, maintenance costs,
Apart from the above-mentioned fees, handling costs and charges are applicable, depending in the method of forwarding chosen and the volume of correspondence.
In general, the level of professional costs will depend on the competition on the market, on the general cost of business operation in the country and on the reputability of the jurisdiction and particular service provider. There are offshore service providers promising offshore companies for $100 with anonymous accounts and other outstanding benefits. It would be useful to ask from them a complete explanation of all fees and charges involved. Competence, and not low prices are the key concept in the offshore business.