Even though the incorporation and design of a Dominica company is straightforward, the assets of the company are sometimes at risk. For companies incorporated and registered in Dominica, Legal Floris LLC provides asset recovery services when the firm or its owners are duped by bank failure, investment fraud, theft, embezzlement or other illegal acts. Asset tracing and recovery is a time consuming and cumbersome process that often involves different jurisdictions and legal systems. Therefore, victims should choose their advisers wisely.
A Dominica offshore company needs a bank account to conduct business and execute financial transactions. The company can choose between a traditional bank account and a transaction account provided for by an electronic money institution. To avoid future challenges, beneficiaries of offshore companies should inform themselves accordingly to determine the best solution for their international transactions and payments. Bank account opening is more than just an administrative task, account maintenance and compliance is evenly important.
Tax residency of an offshore company allows the company to benefit from the local tax regime of the country of incorporation. Offshore jurisdictions often provide International Business Companies that exclusively operate outside the jurisdiction with a special fiscal status. Corporate tax residency of the company, especially creation of the necessary substance outside the jurisdiction of the owner of the company, to minimize risks of residency challenges by the Inland Revenue in the latter country, is a crucial part of the establishment of the Dominica offshore company.
A holding company traditionally has limited activities. In general, the company does not trade itself but manages assets such as Intellectual Property rights, or shares it holds in other companies. Holding companies can have a special status in the financial industry that potentially disqualifies them from depositor protection when their bank fails. This, and other special circumstances must be considered before a holding company is established. Incorporation of a holding company and a subsidiary can be done simultaneously with the help of Equation CS.
The establishment of an offshore company in Dominica follows a strict and straightforward incorporation procedure. The adequate and flexible requirements for the internal organisation of the company mostly relate to registered address, capitalization of the company, shareholders and directors. The memorandum and articles of association are often broad enough to include a variety of business activities. Yet, the beneficiaries in need of additional protection can choose to tailor the articles to match specific activities with the help of Equation CS and Legal Floris LLC.
The International Business Act in Dominica provides sufficient flexibility for directors and shareholders. These can be individuals and companies. Also, nominees made available by trust companies and corporate service providers can take visible management positions. Such can be beneficial for compliance with local regulation in the country of residence of the beneficial owner, especially to limit the risk of a successful residency challenge by the Inland Revenue of this country. When issues such as substance and presence of the offshore company are at stake, nominee services can deliver an extra layer of protection.