It is not easy to register a company in one country and operate it in another. The process can be very complex as the legal system of two countries will be involved and if a mistake is made at start up then a lot of headaches can be caused later on.
Before telling you what you should know to start an offshore company, it is important to understand why the process is complex. Legal systems on their own are very complicated however when you take two legal systems belonging to two different countries, things can quickly go out of hand. Everything from Business registration policy to tax policy can differ and the company would have to appease all of them. Furthermore adding to this complexity is a clash of cultures that can occur. This may not affect the company as operations are held most of the time in the owner’s home country however they will affect the owner when he goes to interact with government officials in the host country. Simply put, it is a very complex affair.
Therefore it is understood that the process of setting a company up is complex so how can you make it easier? Well the answer to that is to be informed of the regulations and the process involved in setting-up the business and of course be as prepared as you can to face the culture.
Knowing the process involved
In different countries the process of registering a business can differ. In some the process could be pretty straight forward while in others you could get lost in a maze of applications, calls, disgruntled workers and lengthy processing times… that is if you get lucky. More often than not you would be asked to produce multiple letters from various ministries and important people or even be told that the man in charge has gone out for tea only to never come back. The process can be tedious and you would not want to get caught in it without knowing what is going to happen. So make sure to call a government agency and get all the available information regarding what has to be done however the problem with this is that more than likely you would end up listening to the holding tune for so long, you would hear it even in your dreams. If you want to avoid that situation consult business setup consultants. They would know what has to be done.
Know the culture
It is also important that you should know the culture of the country you are registering the business in. culture plays such a huge role in how conversations are carried out and how things should be done and this can vary greatly from country to country. If you are prepared for the changes, you would find it easier to adapt. If you do not know anything about the other culture chance are you would feel like a lost lamb.
Therefore make sure to gain as much knowledge as you can. When you know what has to be done you would feel more confident and the process of setting up the business will become easier.