What is an IBC? Where can International Business Companies be started?

Where and how to register offshore companies? Search on that term and you will no doubt find links to International Business Companies, offshore IBCs, offshore companies always appear on the top page of your search results when you look for information. This article explains what an IBC is, its advantages, and how/where you can set up an offshore IBC.

To save time, you are welcome to ask International Wealth’s offshore incorporation and banking experts to help you register offshore companies in zero-tax countries. We will help you choose the right jurisdiction as well as choosing the best offshore bank for your corporate account. 

IBC opening

You are welcome to contact us for offshore company registration, bank accounts opening, residence/citizenship abroad, consulting on a variety of aspects of asset protection, etc. The first step is to send us the details of your objectives or book a FREE online one-on-one consultation with our experts. Just write to our e-mail address given above this article and tell us about yourself and your plans.

What is an offshore IBC?

IBC — is an offshore company that is used primarily for investment and as a vehicle for international trade. Such an entity is usually exempt from all taxes in the jurisdiction of incorporation. 

International business companies/corporations have the same rights in offshore jurisdictions as other types of offshore company such as LLCs and can participate in various business and investment activities around the world paying no or almost no taxes locally. No restrictions or prohibitive rules apply to them, but there is one exception: An IBC cannot engage in commercial activities in the jurisdiction of its incorporation.

Offshore IBC uses

International Business Companies are formed to develop any of the following activities:  

  • foreign trade
  • crypto trading, investing and ICOs
  • electronic commerce 
  • foreign currency exchange 
  • delivery and shipment
  • exports/imports
  • manufacturing
  • stocks, bonds, and real estate investments
  • family office
  • banking and insurance (licensed).
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Offshore International Business Companies can operate practically all over the world. 

Their usefulness can be best explained by the following benefits of International Business Companies.

  • This type of legal entity is convenient for setting up offshore bank or brokerage accounts with credit cards.
  • It is advantageous to open a parent company as an IBC for an international holding company. 
  • It is an ideal vehicle for legitimate transactions, such as, for example, real estate investments.
  • It is an optimal and confidential way for investing offshore or in brokerage acounts.
  • For owners living or staying abroad, a private IBC provides easy solutions for different personal and business needs.
  • Any IBC can be an appropriate corporate tool for registering a yacht or ship.
  • It is an excellent structure for international staff recruitment or billing of personal services.
  • IBCs provide for asset protection and security.
  • Such corporations enhance intellectual property consolidation.

The specifics of IBCs are linked to the rights of such companies. 

  • An International Business Company is free to conduct business anywhere, except for the jurisdiction of incorporation.
  • Its directors and founders can hold meetings in any part of the world. 
  • It can hold as many accounts as needed in virtually any country and any currency. 
  • It can issue bearer shares in some jurisdictions. 

Please note, however, that International Business Companies cannot do certain things without special licenses.

  • An IBC needs a license for business transactions with individual persons residing in the jurisdiction of incorporation.
  • International Business Companies cannot offer banking, insurance, and re-insurance services without specific licenses. 

Advantages of International Business Companies

We have already mentioned the main advantage of IBCs: exemption from income tax in an offshore jurisdiction. Now let us list other advantages.

Subsidized tax rates

IBC is usually exempt from taxes in the jurisdiction of incorporation or is taxed at a negligible rate from 0.25% to 3%. 

Exemption from charges

Local stamp duties, corporate taxes, and other local fees do not apply to these companies. They can be practically invisible as long as their activities do not extend beyond the offshore territory.  

Freedom of trade

The freedom to engage in any business, from manufacturing to trade, is perhaps the main advantage of IBCs.

Fast registration

International Business Companies are often formed nearly instantly, within 1-5 days.

Countries where an offshore IBC can be registered

We recommend the following list of jurisdictions:

  •  Belize
  •  Nevis
  •  Marshall Islands
  •  Saint Vincent and the Grenadines
  •  Panama
  •  Seychelles
  •  Saint Lucia
  •  British Virgin Islands (BVI)

Please note below some of our services of IBCs registration in the most popular offshore jurisdictions. 

PROFESSIONAL SERVICES OF IBC REGISTRATION IN POPULAR OFFSHOREs

For your success in foreign markets and international tax planning, it is important to choose the right jurisdiction, the right type of entity, and the right offshore bank to register a checking account, and to balance different options in your final decision. To simplify these objectives, all you need to do is contact the experts at International Wealth.

Start with booking a FREE one-on-one consultation about the issues of opening a foreign bank account for your IBC.

Contact us at the e-mail address given above this page.

What is an IBC, what does it stand for?

‘IBC’  is an abbreviation for ‘International Business Company’, and both terms are often used interchangeably with ‘offshore companies’. Such companies are registered in zero-or low-tax jurisdictions and enjoy exemption from local taxes. They are most often used for investments and international trade. International Business Companies enjoy the same rights offshore as other common offshore company forms such as LLCs and can engage in various business and investment activities around the world. No restrictions or excessive rules apply to it but for one exception: an IBC cannot engage in commercial activities in the jurisdiction of its incorporation to be entitled to low or no tax locally.

What are the advantages of International Business Companies?

The main advantage of IBCs is the exemption from income tax in their offshore jurisdictions of incorporation. They are usually not taxed at all, but some just have minimum taxation: from 0.25% to 3%. The big advantage of IBCs is doing any business without restrictions, from manufacturing to trading. Other advantages are:
– Fast incorporation – within a few days.
– Convenient corporate tool for registering a yacht or ship.
– Excellent structure for recruitment in international business.
– Asset protection and security.
– Consolidation of intellectual property

Where can one register an IBC?

Many jurisdictions offer registration of International Business Companies. The following offshore jurisdictions are recommended by our experts:
– Anguilla
– British Virgin Islands
– Belize
– Cayman Islands
– Marshall Islands
– Nevis
– Panama
– Saint Lucia
– Saint Vincent and the Grenadines
– Seychelles
You are welcome to take advantage of our services, including the choice of the most suitable offshore jurisdiction for your IBC registration, the company formation, the bank accounts set-up, and consulting on a variety of relevant aspects. 

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