Why do I need an IBC?

By Richard Price
July 2006

Virtually anyone with a net worth can benefit from the use of an IBC. Imagine operating your business and personal affairs with 100% confidentiality, with no restrictions on your business or tax penalties on your profits in your chosen jurisdiction. Imagine operating without the constant fear of law suits or creditors waiting in the wings to attack your hard earn profits.

Currently banks automatically report to government agencies on the activities of their clients, including you. What's worse, your hard earned savings can now be legally garnished from your bank account by government agencies and creditors who may believe they have a claim against you. In fact, you stand a 1 in 4 chance of being sued if your net worth exceeds $100,000. Not a lot of money!

Listed below are some of the benefits of having an IBC:

• Offshore banking
  Hold offshore bank accounts in an IBC name and bank in complete privacy while utilizing tax-free jurisdictions.

• Hold assets confidentially
  Protect what you own. With the ever-increasing chances of litigation being brought against you and your business, don't take any chances; use an IBC to shield your assets. IBC's can protect you from product liability, malpractice suits if you are in the medical field, creditors and even divorce proceedings.

• Hold titles to properties and other physical assets
  IBC's can be used to hold real estate, valuable collections, precious metals, and shares of any offshore company of your choice.

• Preparing for retirement
  Take steps to protect your assets for retirement. Place assets into an IBC where no tax is applicable. Make sure your loved ones will gain the full benefit of your estate without large death duties consuming their inheritance.

• Lease equipment and Real Estate
  Equipment and real estate can be held in an IBC name and then leased out to onshore companies with income directed offshore to any tax-free jurisdiction of your choice.

• Borrowing and lending
  Take out a loan from your offshore company and issue it to your onshore company.

• Invest in international markets, commodities, options and bonds.
  Make stock trades through your IBC brokerage account allowing you to trade in a tax-free jurisdiction and increase your profits dramatically.

• Operate shipping companies and owning boats/ships
  By registering your boat or shipping company offshore, your tax and liability will be held to a minimum in your chosen IBC jurisdiction.

• Hold intellectual property
  Protect your ideals. Hold your Intellectual property in an IBC for a reduction in reporting and regulatory compliance.

• Sell your products or services internationally
  Start selling your products internationally in a jurisdiction that allows you maximum tax saving with little to no government interference.

• Consulting services
  Establishing your consulting service offshore will increase your corporate exposure while keeping tax and operating expenses to a minimum.

• Draw up contracts under IBC
  If you are entering into a contract with a company but want to limit your liability, have your nominee director of your IBC sigh on your behalf.