Offshore and Onshore Bank Accounts
Reasons for opening an offshore bank account
Companies that operate internationally may maintain bank accounts in jurisdictions other than the country where the company is registered. This is also true for officials or owners (including ultimate beneficial owners) of the company in their capacity as private individuals, who may maintain bank accounts outside their country of residence. An offshore bank account may form an important component of a company or a private individual carrying out international business as this may affect the financial or tax ownership structure of both. Such offshore accounts may operate for both legal and financial reasons including but not limited to:
- Tax related advantages with appealing benefits to companies or private individuals.
- Greater privacy.
- Low or zero taxation.
- Protection against financial or political instability in the country of origin of the private individual.
- Internet banking which allows maintenance and operation of the bank account internationally.
- Accepted debit cards and credit card, banking-overseas is far easier than it used to be.
Type of Banking institution and jurisdiction
Once your Company has been incorporated we, being Administrative Service Providers, can introduce and assist you with the opening of corporate, trust and personal (private) accounts with major banks in respected major Banking centres worldwide with which we maintain relationships, that are most suited to your personal and business needs.
The correct choice of banking institution depends on the specific activities and place of incorporation of you or your company. In some countries, opening bank accounts is a straight forward and fast process. In other countries there are many requirements that have to be met and banking institution may decline the opening of a bank account if their minimum requirements and conditions are not met.
Banking services and facilities.
Our partner Banks generally offer the following services and facilities:
- Multi or single currency current accounts, deposit accounts, term accounts or other specialist accounts to suit your needs.
- Overdraft or loan and facilities.
- Online internet or telephone banking that enables you to access your account and your funds from all over the world.
- One time password via sms or digital code generator key.
- Credit and debit cards.
- Factoring.
- scrow account services.
- Standing orders or Direct Debits.
- Private banking services and personal accounts as above for officials or owners (including ultimate beneficial owners) of the company.
Account application procedure.
Once the choice of jurisdiction and banking institution has been made we shall assist you to complete the relevant account opening application forms and forward them to the banking institution. The information needed varies according to the jurisdiction. In personal accounts some jurisdictions may require you to provide personal data, proof of residence and proof of identity only, whilst others you may require you to provide additional due diligence (“know your client”) information. For corporate bank accounts you may also need to provide information regarding the company including copies of its corporate documents and business activities.
Once your application is submitted to the banking institution, the designated accounts manager shall review it and, according to the jurisdiction, may also forward it to a compliance officer before they are satisfied and approve your application. If your application does not meet the conditions and requirements set by the particular banking institution it may be declined or further information may be requested. Some banking institutions may also require a personal visit to the bank or to the corporate service provider. Each banking institution may carry out its own procedures, conditions and minimum requirements to open a bank account.
If the banking institution approves the application then they shall send the account opening paperwork for electronic or original signature by you, or if your personal presence in the banking institution is required they shall give them to you for signature. Please note that the account opening process, information and supporting documentation required may vary between different banking institutions and jurisdictions.
Then the account shall be opened and the banking institution shall send you the details of your bank account including internet/telephone banking codes, digital code generator key and credit/debit cards. Note that some banking institutions may initially require funds to be transferred in before they activate the account.
Assistance after opening an account
We shall offer assistance to you, not only through the entire account opening process but also beyond it.
As Administrative Service Providers, we are able to offer you the following supplementary services.
- Administration and maintenance of bank accounts.
- Continuous monitoring of bank movements for up to date information on transactions.
- Assistance with arranging additional credit and debit cards.
- Assistance with arranging further online banking services e.g. adding new accounts to the existing online services.
- Problem resolution with banks on complicated transactions and misrouted funds.
- Executing the transferring of funds and follow up.
Nominee Bank Accounts.
There are various legal or practical reasons some corporate clients may need their funds to be kept on a different name than their own e.g. on an escrow account, or under a client’s account. We able to offer you such service and this can be arranged easily if you comply with our internal due diligence requirements.