Forming an Offshore Company
Introduction
The formation / registration of an offshore company is a two fold procedure. The company will need to obtain permission for its registration from the ultimate authority with respect to offshore enterprises. Once this permission is obtained then the company will be registered with the Registrar of Companies.
Below are details regarding the different aspects of the information required to establish an offshore company.
Name of the company
This first step involves the suggestion of two or three alternative names by the client for submission to the Registrar of Companies. In case the company to be formed already belongs to a group of companies operating abroad under a similar name, then a letter of consent by those companies is required.
Conversely our company maintains a list of already approved names out of which one can be chosen. The list of available names can be provided on request.
Objects of the company
The main activities of the company must be provided so that the Memorandum and Articles of Association can be constructed for submission. The objects of the company can be of any nature as described in the previous section.
Share Capital
It is recommended that the authorized and issued share capital of the proposed company is at least 2000 shares of 1 euro each.
Shareholders
Every company should have at least two shareholders. If the beneficial shareholders desire complete anonymity then our own trustee and nominee companies can be provided to hold the shares in trust without the public disclosure of the beneficial shareholders.
In the case where the ultimate beneficial shareholder is only one person, be that either a legal or a natural person, then the provision of the trustee or nominee companies is of further use as the client is automatically provided with two shareholders so as to satisfy legislation.
In the case where the beneficial shareholders do not desire anonymity, then the shares can be registered directly to their names. If the shareholder is again only one person then the majority of the shares will be registered in his / her name with the balance to be held in trust by a nominee shareholder.
Bankers Reference
A bank reference is required for each beneficial shareholder.
Directors
In the case of offshore companies it may be important both from a tax point of view and for administrative purposes that management and control are exercised from the jurisdiction. If this is the case then it is recommended that not more than one director is appointed from abroad.
Our office is able to provide local directors in addition to the ones mentioned above. These directors will be able to conduct the functions through guidance from the beneficial shareholders, thus ensuring a smooth and timely operation of the company.
Secretary
Company Law requires that every company has a company secretary. Our office provides this service through a secretarial company, which will ensure that all secretarial operations will be carried out in a cost effective, efficient and timely fashion to ensure compliance with legislation.
Registered office address
Another law requirement is that a company has a registered office, without implying that this entails the opening of an administrative office. Our own office address may be used as such.
Client Package
Upon completion of the registration of an offshore company, we provide our clients with a package that includes the following documentation:
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Certificate of Incorporation (English and Greek).
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Certificate of Directors and Secretary.
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Certificate of Shareholders Certificate of Registered Address.
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Memorandum and Articles of Association.
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Share Certificates.
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Instruments of transfer (in the case of nominee shareholders).
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Minutes of the companies first meeting of the board of directors.
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Any other information concerning the company’s activities up to the date of establishment.
Period needed to register a company
The period needed to register a company is one week.
Opening of Bank Accounts
This procedure is fairly straight forward. A set of opening forms (resolutions) must be completed and signed by all the directors before being forwarded to the bank. Specimen signatures from all authorized signatories are required along with passport copies. In the case of the authorized signatories two options are available:
1. The beneficial shareholders will be the signatories. In the case where the shareholders are abroad, then the necessary forms can be forwarded to them by a courier of their choice to ensure speed in the process.
2. We can act as signatories and operate the bank accounts based on your instructions. Test key code arrangements can be made to ensure the authenticity of such instructions.
Our office has a long standing business relationship with all the banking establishments in Cyprus some of these are:
Fee schedule
Formation fees, annual fees, and administration costs vary from jurisdiction to jurisdiction. Please contact us for a quotation or fill out our online Incorporate Now form.
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