Copy My 4-Part Offshore Company Structure

Summary

The video script discusses the benefits and complexities of moving a business offshore to reduce tax rates significantly. It emphasizes the importance of understanding the appropriate offshore structure tailored to the business's needs, considering factors like royalty payments, dividend policies, and cryptocurrency management. The speaker outlines various jurisdictions suitable for establishing headquarters, such as the UAE, BVI, and Hong Kong, and highlights the impact of the owner's residency on the structure's design. The script also explores the concept of functional subsidiaries for tasks like billing and credit card processing, staffing companies for employee management, and the use of holding companies or trusts for asset protection and estate planning. It concludes by stressing the value of expert guidance in navigating the intricacies of international business structuring to maximize tax savings while maintaining operational efficiency.

Takeaways

• 💼 Moving your business offshore can significantly reduce your tax rate, potentially by 80-100%.
• 🌐 The structure for living and doing business offshore may be more complex than your current domestic setup.
• 🏦 Consider the tax treaties and implications of royalties, dividends, and cryptocurrency when structuring your offshore business.
• 📍 The location of your headquarters is influenced by where you live and where you plan to incorporate your business.
• 🔍 Different jurisdictions have different benefits and restrictions, so choose carefully based on your business needs.
• 💰 The tax savings from moving your business can be substantial, but it's essential to understand the legal and financial implications.
• 🤝 If you have partners, it's crucial to have a conversation about the move to ensure everyone is on board and understands the process.
• 🏢 For smaller businesses, a simple headquarters may suffice, but as the business grows, additional functional subsidiaries may be necessary.
• 💳 Credit card processing and merchant accounts can be challenging with offshore companies, so consider setting up a subsidiary for this purpose.
• 👥 Staffing companies or Employers of Record (EORs) can help manage payroll and employment regulations in different countries.
• 📈 Using a tax-friendly quadrant can help you visualize and plan the tax implications of moving your business and personal residence.

Q & A

What are the potential tax benefits of moving a business offshore?

Moving a business offshore can significantly reduce the tax rate, potentially by 80%, 90%, or even 100%, depending on the jurisdiction chosen.

What are some complexities that business owners might face when moving their business offshore?

Business owners may need to deal with more complicated structures, selling assets, capital gains requirements, and ensuring compliance with local tax laws in their new offshore location.

What are some common jurisdictions for setting up an offshore business?

Common jurisdictions include the UAE, BVI, Belize, Marshall Islands, and Hong Kong, each offering different benefits and restrictions.

Why might a business owner choose to move their headquarters to a tax-free jurisdiction?

A tax-free jurisdiction can help minimize corporate taxes, potentially aligning personal tax situations with corporate structures for a more tax-efficient setup.

How does the location where a business owner lives affect the choice of an offshore headquarters?

The location of residence can dictate which jurisdictions are viable for an offshore headquarters due to tax treaties and other legal restrictions that may apply.

What is the 'tax-friendly quadrant' and how is it used when moving overseas?

The tax-friendly quadrant is a tool that helps visualize the relationship between the individual's tax situation and their business. It considers where the individual is leaving from and where they are arriving to, as well as where the business is leaving from and arriving to, to optimize tax efficiency.

Why might a business owner consider setting up a functional subsidiary?

Functional subsidiaries can be used for specific purposes such as billing, credit card processing, or staffing, which can help streamline operations and potentially reduce tax liabilities.

How can a staffing company or an Employer of Record (EOR) be beneficial for an offshore business?

A staffing company or EOR can help manage payroll and employment formalities in different countries, ensuring compliance with local labor laws and providing access to a larger talent pool.

What are some considerations when deciding on a location for a headquarters or subsidiary?

Factors to consider include the tax system, availability of tax treaties, local banking and financial services, talent availability, and the legal and regulatory environment.

How can a holding company or trust be used in an offshore business structure?

A holding company or trust can provide an additional layer of asset protection and can be useful for estate planning, especially when a business owner has assets or companies in multiple jurisdictions.

What role does Nomad Capitalist play in helping clients with their offshore business structures?

Nomad Capitalist acts as a general contractor, coordinating with various specialists such as attorneys, tax preparers, and immigration experts worldwide to ensure a cohesive and tax-efficient strategy for the client's offshore business structure.

Outlines

00:00

😀 Offshore Business Structures and Tax Benefits

The first paragraph introduces the concept of moving a business offshore to take advantage of different tax rates, which can potentially reduce tax payments by 80-100%. It emphasizes the complexity of establishing an offshore business structure compared to domestic ones, particularly in the United States. The speaker outlines the benefits of offshore relocation for both the individual and the business, highlighting significant cost savings. The paragraph also touches on the initial steps in creating an offshore structure, including the relocation process and considerations for different business sizes and types.

05:01

🏛️ Choosing the Right Offshore Headquarters

The second paragraph delves into the decision-making process for selecting an offshore headquarters. It discusses the impact of an individual's country of residence on the available options for business headquarters, mentioning specific jurisdictions like the UAE, BVI, Belize, and Hong Kong. The paragraph also addresses the challenges of moving an established business versus a smaller, more agile one, and the tax implications associated with the relocation process. It further explores the concept of tax treaties and their influence on dividend and royalty taxation, underlining the importance of aligning personal tax situations with corporate structures.

10:01

💰 Functional Subsidiaries for Business Operations

The third paragraph focuses on the role of functional subsidiaries within an offshore business structure. It explains how these subsidiaries can handle specific business functions, such as billing or credit card processing, to optimize tax efficiency and operational practicality. The speaker discusses the challenges of obtaining merchant accounts for offshore companies and the strategic use of subsidiaries to bypass these issues. Additionally, the paragraph touches on the importance of considering the nature of the business, such as whether it involves cryptocurrency, when selecting a jurisdiction for the company's headquarters.

15:03

🤝 Staffing and Asset Protection Strategies

The fourth paragraph discusses the management of staffing within an international company, including the use of Employer of Record (EOR) solutions and the establishment of staffing companies in specific jurisdictions. It outlines the financial and legal implications of hiring employees in different countries and the benefits of segregating staff through separate companies. The paragraph also explores the use of holding companies and trusts for asset protection and estate planning, emphasizing the flexibility and tax advantages these structures can provide. Lastly, it mentions the role of Nomad Capitalist in coordinating the complex legal and financial aspects of international business structuring.

Keywords

💡Offshore Structures

Offshore structures refer to the various legal and corporate frameworks businesses use to operate internationally, often to reduce tax liability. In the video, the speaker discusses the importance of choosing the right offshore structure to minimize taxes and the complexities that come with operating a business internationally.

💡Tax Rate Reduction

Tax rate reduction is the process of legally lowering the amount of tax a business or individual is required to pay. The video emphasizes that moving a business offshore can significantly reduce tax rates, with the potential to cut payments by 80%, 90%, or even 100%.

💡Jurisdiction

A jurisdiction is a geographical region or area where a particular law or set of laws applies. The video mentions several jurisdictions like the UAE, BVI, and Belize, which are known for their business-friendly environments and are often chosen by businesses looking to establish offshore operations.

💡Capital Gains Tax

Capital gains tax is a tax on the profit that arises from the sale of an asset, such as property or shares. The script discusses the potential capital gains tax implications when moving a business offshore, highlighting the need to understand tax exposures when transferring assets to a new company.

💡Tax-Free Jurisdiction

A tax-free jurisdiction is a region where certain types of income or financial activities are not subject to taxation. The video talks about the benefits of setting up a business in a tax-free jurisdiction like the UAE, which can help in aligning personal tax situations with corporate structures.

💡Residence Permit

A residence permit is an official document, often required within a country's borders, that grants a foreign individual permission to reside in that country for a specified period. The video mentions obtaining a residence permit in the context of living in a tax-free jurisdiction like the UAE while operating a business.

💡Functional Subsidiaries

Functional subsidiaries are separate legal entities created for specific business functions, such as billing or staffing. The video explains that these subsidiaries can help in managing different aspects of a business, like credit card processing or hiring employees, without disrupting the main corporate structure.

💡Transfer Pricing

Transfer pricing is the term used to describe the pricing of goods or services sold between related entities within an international corporation. The video touches on how transfer pricing is used to determine how much a subsidiary should pay to the headquarters in terms of taxes or fees.

💡Employment of Record (EOR)

An Employer of Record (EOR) is a company that becomes the legal employer for a number of employees, while the client company acts as a service provider. The video discusses EORs as a solution for businesses that want to hire staff in countries where they do not have a legal entity, thus simplifying the payroll and employment process.

💡Asset Protection

Asset protection involves strategies to safeguard an individual's or business's assets from potential threats, such as lawsuits or creditors. The video suggests using structures like trusts in jurisdictions like the Cook Islands for asset protection and estate planning purposes.

💡Holding Company

A holding company is a parent company that owns the stocks or assets of other companies. The video mentions the use of a holding company to manage and control a group of businesses, which can also serve as a tool for tax planning and business diversification.

Highlights

Moving your business offshore can significantly reduce your tax rate, potentially by 80% to 100%.

The structure for living and doing business offshore can be more complex than what you're using in your current country.

Benefits of moving overseas include substantial cost savings, but the structure depends on your current and future place of residence.

When moving your business, you may need to consider asset sales, capital gains, and tax exposure.

It's easier to move a smaller company to avoid significant tax implications.

Jurisdictions like the UAE, BVI, Belize, and Hong Kong are common choices for business headquarters.

The location of the headquarters is influenced by personal tax situations and the need for a residence permit.

Tax treaties and local tax rules play a crucial role in structuring your business for tax efficiency.

Royalties and dividends may require a different tax structure and possibly a tax treaty.

Cryptocurrency holdings can pose challenges in certain jurisdictions due to regulatory restrictions.

Functional subsidiaries can be used for specific purposes like billing or credit card processing to optimize tax efficiency.

Staffing companies or Employers of Record (EORs) can be used to manage payroll and benefits for employees in different countries.

The tax implications of having employees in certain countries, like the USA, can affect your overall corporate structure.

Holding companies or trusts can provide additional layers of asset protection and estate planning.

The Nomad Capitalist helps clients navigate the complexities of international tax structures and business relocation.

It's important to consider the talent pool, cost of living, and local business environment when choosing a location for your business headquarters.

The tax-friendly quadrant is a tool used to align personal and corporate tax situations when moving overseas.

Transfer pricing and compliance costs are factors to consider when setting up subsidiaries in different jurisdictions.

Transcripts

[Music]

moving your business offshore is a great

way to choose your own tax rate you can

reduce how much you pay by 80 90 or even

a hundred percent but what a lot of

business owners don't understand is the

structure you may need for living and

doing business offshore may be more

complicated than the one you're using

right now in your country and so today

I'm going to walk you through a number

of different offshore structures that

you want to consider

[Music]

so what's the benefit for moving

overseas both you and the business again

quite frankly you're going to save

a lot

of money so we could put a big big money

bag there uh that's what you can say by

moving the business overseas let's start

with point one though when it comes to

creating your structure and this is the

headquarters where is your business

structured so let's say you live in the

United States where I lived you might

have an LLC or you might have an S corp

or you might even have a C Corp if

you've got a larger business or you're

raising money and that might be the only

part of the structure that you have you

might run that Delaware C Corp and

that's pretty much everything so all

your clients you know money's coming in

from clients and you know money is going

out to vendors everything happens in one

entity okay obviously the company gets

you know more involved you might have

different subsidiaries your stuff might

be registered in different states you

know if you're doing business in

Australia or Canada you might just have

one Corporation right and depending on

how that works where you live you know

you might take a salary from that

company you might take a dividend you

might take money out of that in

different ways but it's a pretty simple

structure now for some smaller

businesses this may be all you want when

you decide to move your business

offshore the first thing to moving the

business offshore is you have to

understand and we'll cover that if you

want us to cover this separately just

leave a comment below how do you

actually move everything out you can't

just say hey this company's dead and I'm

starting a new company over here you

might need to sell some of those assets

to your new company there may be some

capital gains requirements that's why

it's always easier to move your company

overseas before it becomes too big

because you have more control over uh

limiting or eliminating that kind of tax

exposure when you're migrating your

company you can't just take a 100

million dollar company and say hey you

know what I'm just moving it to Dubai

it's uh it's out right so if you've had

a simple business the headquarters may

be all you want and so you can look at

jurisdictions like the UAE which has

free zones you can look at classical

offshore jurisdictions like BVI is one

of the bigger ones Belize is not that

well respected Marshall Islands not that

well respected Hong Kong works for some

folks there's more Auto require

governments there but that can work

those are some of the big jurisdictions

if you want to live somewhere the Cayman

Islands can work you've got Bahamas

which is a bit more restrictive for

entrepreneurs and there are others but

those are some of the most common ones

that we would work with right to me if

you're going to move your business

overseas you don't necessarily want to

go to a place like Singapore where

you're still gonna have to pay some

decent amount of tax why not you know

take it as far as you can go where you

structure this is also going to be

determined by where you live right so

you're saving a lot of money but where

you live dictates where the headquarters

are so for example we put together a

case study recently with my strategy and

operations team had a client who wanted

to move to Portugal Portugal nhr program

has some validity for entrepreneurs who

make up to 2 million euros a year beyond

that unless you really want to live in

Portugal there are better deals out

there in Europe but when you're in

Portugal where your headquarters can be

is going to be greatly Limited in fact

almost all these are going to be crossed

off the list and so there's certain

jurisdictions where you live that have

more restrictions where these are not

going to work and you're going to be

setting up in you know Malta or Bulgaria

or Estonia less so Ireland if you're

living an island maybe and so these

might be the structures if you're living

in a place like Portugal for example

where they have restrictions and so if

you're going to move to a jurisdiction

and again you if you want to save a lot

of money you need to move somewhere else

we're not just moving our assets we're

actually moving ourselves if we are the

ones running the business if we're

active in the business and so if you

have Partners it's a good time to start

having a conversation with your partners

in more times than not everyone's going

to need to do something they may not

have to go to the same place partners

that don't work actively in the business

may be more flexible this is the stuff

that Nomad capitalist helps people

figure out because it's not enough just

to sit in the United States Canada

Australia the UK and incorporate

somewhere else because various different

tax rules are going to tax that company

locally so you need to go to a place

where now your headquarter company

cooperates with where you live so you

want to be looking for it let's say a

tax-free jurisdiction if you set up in

the UAE you can potentially get a

residence permit to live there you don't

have to live there but you can if you

want to and that could be a way to make

your personal tax situation work with

your corporate structure right you're

not going to get a residence permit for

the British Virgin Islands all right I

mean Hong Kong it's more difficult

cayman's going to work but it's

expensive maybe don't want to live there

so you might want to look for a non-dom

or a lump sum or a territorial tax

country we've got content on all of that

and you can learn more at

nomadcopitalist.com we'd be happy to

help you figure that out because there's

dozens of different options you need to

use my tax friendly quadrant when you're

moving overseas and so the tax-friendly

quadrant is this there's U on one side

and there's your business on the other

side if you're living in a country where

you have this one headquarters companies

you might think hey you and your

business aren't that much different in

the USA of an LLC yeah you know it's

kind of the same thing people think I

just kind of take money out you and your

business are totally different in fact

you're basically going to be an employee

of your company for tax purposes if

you're an American right no matter where

you move they're going to say are you an

employee foreign income exclusion comes

and it comes into play if you're from

anywhere else you're still going to be

an employee generally so you need to

know where's your where are you leaving

okay U.S for example where are you

arriving okay

you're going to arrive to live in

Portugal where's your business leaving

again it's probably in the U.S same

jurisdiction where is it arriving

right might be in multiple Gary Estonia

um in a number of different lower tax

places in Europe okay if you're leaving

Canada and you're going to the UAE your

business may be leaving Canada and it

may be arriving in the UAE or maybe

you're you know you're arriving to live

in Malaysia but your business can live

in the UAE and Malaysia doesn't care

about that business because it's a

territorial tax country uh and so that's

what you want to follow on the tax

friendly quadrant so now that being said

let's go through the structure

headquarters what are some

considerations besides where you're

living that you've got to keep in mind

number one

okay royalties are you receiving

royalties from a book from a YouTube

channel from any kind of other royalty

or rents can also be an issue right and

so if you're receiving royalties

sometimes we've had people who decide to

own those various royalty generating

assets themselves maybe they sell that

to themselves from their business in the

country that they're leaving and that

gives them A Better Tax system but

royalties have a different tax system

that often can't just be thrown into a

corporate structure you may want a tax

treaty same with dividends if your

company's treasury management policy

includes stocks also if you happen to

own stocks in your own name that

generate dividends where you live is

going to be important because living in

a place like the UAE you're going to pay

a higher withholding tax rate because

there's no treaty for most of these

countries crypto could be an issue if

you have Bitcoin or cryptocurrencies not

every jurisdiction is going to be

friendly for companies that have crypto

in their treasury management policy and

so the banks may also not be friendly so

these are factors they can consider you

know where you're going to go and so we

have people who their companies engaged

in the cryptocurrency business and

there's certain jurors restrictions that

just don't want them or they've got to

get a special license and maybe it's too

difficult and so these are things that

you want to consider but if you've just

got a simple management company for

example let's say that you do Consulting

pretty simple to have one headquarters

so where's that headquarters going to be

you want to consider all those different

places we talked about but let's talk

about this you might need a number of

functional subsidiaries and so what

would a functional subsidiary be a

functional subsidiary could include

things like you want to Bill your

customers so a billing company sometimes

you may have a structure that already

exists in your current business maybe

it's the headquarters and it can be

shifted to being a functional subsidiary

so we had a gentleman come to us from

Australia he has a certain way of

getting paid like one of these after pay

kind of things he said that's a lot of

my business and they only pay to an

Australian bank account they only want

Australian companies well he's paying a

ton of tax in Australia and he wanted to

move offshore so we were able to make

that Australian company a Building

Company basically put it underneath or

in some cases have it either you know

underneath the structure or sometimes

I'll just reuse this Arrow it's

interacting with right put that down

there so depends on the situation

sometimes either can work sometimes it's

a certain one that works where either

you know you've got a billing subsidiary

so if you have an Australian company and

your customers want to only pay an

Australian company if they're going to

be freaked out like why are you in the

UAE I gotta understand then you can put

this billing company underneath and what

you can do is say uh we'll deal with the

proper tax work with our tax

professionals in your country and say

all right this you know that's that's

worth three percent potentially right

and so you're going to pay the tax on

three percent rather than 100 that's

just a random number sometimes it's zero

percent right so if you've got a

business in the US or Australia or some

other Western countries that can come

down here and that can be a subsidiary

we can also help people open up

um you know U.S credit card processing

it's easier if you're an American it's

theoretically possible if you're not an

American you want to process credit

cards if you've got a headquarters in

the British Virgin Islands this is why

offshore companies aren't as functional

anymore because you know you can get

offshore Merchant accounts you can pay

really high rates you're going to pay

higher rolling reserves I mean we had

not even a full offshore merchant

account I remember one of them held our

money for like three years like into the

six figures they were holding on an

alleged rolling Reserve there were no

problems the money had all cleared there

were no complaints but they just kept

holding it because they're just not as

efficient and so you can set up

subsidiaries to the purpose of

processing credit cards if you're

running an online store for example if

you're doing PayPal processing in the US

will be cheaper than many other

jurisdictions and let's say that your

company's in the UAE UK may not be able

to get an onshore merchant account but

you can get a PayPal account they're

going to charge you a higher percentage

rate in a place like a UAE or a Hong

Kong plus they're going to generally

want you to process in that currency

they'll local currency and then they're

going to charge you PayPal has some of

the worst currency conversion rates uh

stripe might be a similar thing so you

might set up a separate subsidiary just

to run your credit cards or your stripe

or your PayPal uh through uh and so

billing companies uh credit card

processing subsidiaries that allow

people to pay you allow you to interact

and so there's plenty of people for

example who will say my subsidiary is in

the British Virgin Islands that's going

to be a hard company to bank and so

either I'm not going to have a bank at

all or I'm going to have kind of a

marginal bank right so I'm going to have

my business run through here and then

the profits will go up to here and

they'll distribute them to my business

bank you know if I don't have a lot of

money it'll be somewhere kind of low

rent if I have plenty of money if I have

enough money I can go to Switzerland I

can go somewhere bigger you know I'll

move it out to the business bank and

then I'll very quickly just move that

Business Bank you know money to my own

personal bank account and I'll spend

that money uh that's kind of my bank

there and so you know if money flows

from a subsidiary up to the headquarters

in that business bank and then down to

you personally that all happens you know

in a short period of time that may be

the cleanest way to do that you might

pay some more fees for that business

bank but you're saving all your business

to where you can go to your customers

and say well my company is a us-based

company it's a US entity it's an

Australian entity it's a Canadian entity

and we figure out through the process of

you know transfer pricing whatever how

much you need to pay there it could be

nothing it could be a few percentage

points but if that's worth having you

know if being able to run your credit

cards while having a very simple HQ is

worth it then you know it's worth paying

a little bit extra in terms of

compliance costs to keep that open and

maybe a small amount of tax and filing a

small tax return so maybe you reduce

your tax here you know maybe it's 95

percent uh less than what it was

that's the number that's what you want

number two the third thing is staffing

companies

uh and so there are some solutions just

by the way as things like wise

transferwise

um Works certain companies like ours by

the way aren't supposed to use

transferwise or wise now uh they don't

like certain industries

um

and so but if you can I mean you can get

an Australian bank account you can get a

U.S bank account for foreign entities

through wise and then move the money

locally that works for some people but

not for everybody uh and again they have

their own fees uh and so in the same way

a staffing company which is a company

where you segregate your staff there are

what are called eors out there where you

can employers of record where you can

take staff members in certain countries

and have them put properly in the

payroll one thing people don't

necessarily consider when they're going

offshore is oh I hired a remote worker

in Germany well we've done studies for a

lot of these countries you hire someone

in Germany out of like 15 of that 18

months that person has to go on a

payroll they can't be your freelancer

anymore you got to give them all the

benefits are you going to set up a

German company to pay that person well

if you've got one person you might want

to go with an eor but just having

Freelancers everywhere you know European

countries are more particular but in a

lot of countries they want people to be

employed formally it's we find it's

easier to employ people formally where

they like getting the benefits you have

a much bigger pool of talent and so if

you want to hire a certain number of

people in a country you set up a

staffing company and so you know we've

done this for example you know Serbia

and we are moving to an eor model in

some places as we diversify more uh with

our employment geographically Serbia I

mean you could even hire people I think

a great one is Ireland for example right

so if you want to hire folks in Ireland

you don't have to move your entire

business there but you do want to

segregate here's the other big one the

USA if you have folks in an offshore

company that work in the United States

there will be some tax ramifications

from that they may be small they may be

big depending on what the person does

but what your staff members do if

they're doing things like selling that's

going to be potentially damaging so if

you're running an international company

the business that you do in particularly

Western countries you know will dictate

what your tax liabilities are so if you

want to keep things simple it's

oftentimes easy to say the HQ owns

staffing companies or sometimes you as

the shareholder of this HQ could just

own the staff companies again sometimes

it's it's it's different but where you

might have a bunch of different

employees you employ them in a separate

company that's controlled by the HQ and

then the HQ just sends money down let's

say on a monthly basis

you might need to add a little bit of a

markup so let's say your payroll is 50

000 a month maybe depending on the whole

you know pricing study that we would do

for you with our tax Partners maybe

you've got to send fifty three thousand

dollars or fifty seven thousand dollars

right and so that let's call it seven

thousand dollars extra is then going to

be taxed you know you go to Georgia

that's 20 by the time you're done with

it so you're paying an extra you know

fourteen hundred dollars on that fifty

thousand dollar payroll and so you get

to hire people for a fraction of the

price if you have people in the US for

example and you're moving your company

out of the US to Offshore but not all

the employees will leave you may need to

segregate them so none of this is actual

tax advice for you but it's what we work

on with our clients to figure out this

entire map so you don't have to move you

know your your payment processing and

your client-facing stuff outside of

maybe where you want it to be if that's

important to you and you can keep

employees without poisoning your new

beautiful low tax or tax-free offshore

structure now one thing people also

might do on top is they might put a

holding company uh or a trust on top of

the entire structure and so you know

Cook Islands trust for example we have

folks we set those up for people that's

a way if you want the asset protection

benefits if you want an extra layer of

hey I came up to your headquarters but

now I've got to go to the Cook Islands

and the acids and the Cook Islands are

somewhere else and you're somewhere else

that's a way for asset protection it's

also a way for estate planning if you're

someone like myself who has properties

around the world if you have companies

around the world it's easier to put

perhaps put them in a trust and have

them distributed uh you know at your

passing or Upon A Certain event so

people sometimes put their company

into a trust and then all you've got to

do is contribute that headquarters

either when you set it up or in the

future you contribute the headquarters

to the trust and then everything else

that comes underneath it could just go

right up there with it you probably need

to update your Banks and what have you

and your brokerage accounts but you can

just put that right up there and so

that's why whenever we can put the

subsidiaries in the staffing companies

as

um directly underneath the HQ it makes

it a lot easier you can also say I'm

going to run a holding company because

maybe my business I want to move on from

my business it's I want to start other

businesses and now the HQ can go into

the holding company and so a holding

company needs different bank accounts

and different stuff that an HQ would and

so there's different kinds you know hold

codes and trusts and headquarters and

subsidiaries for billing and

client-facing stuff and staffing

companies to isolate your employees

people say oh they're all contractors

the tests between what most

entrepreneurs think is a contractor and

what most tax authorities think is a big

difference so generally you want to put

people in some kind of isolation right

now if you go and set up your

headquarters in the UAE you can get

everybody that you want to hire a visa

to come to the UAE and so that makes

life pretty easy but you're going to pay

people a lot more to live in the UAE

than you would to have them live in

Serbia for example and the talent that

I've seen in Dubai quite frankly you're

you're probably not really even the best

talented but I think places like Ireland

for example

um probably get a lot better people for

less money than the UAE so you have so

the point is you can get all the

benefits you want of not having to

sacrifice anything maybe you pay a

little bit extra in tax but you're still

reducing your taxes by 90 95 percent in

many cases you're adding a little bit of

of uh you know pieces and parts to your

corporate structure but you're you're

basically making do that so you don't

sacrifice anything right so if you just

move your headquarters the British

Virgin Islands unless you're just

running the most simple you know company

where the people paying you or you've

got five clients and they all just will

send the money anywhere in the world

you're going to need the rest of the

structure you know for for the one-man

band who has five clients and it's just

a guy like me hey I don't care where

you're located fine one company can

probably work for everybody else who's

doing payments and credit cards and

growing and expanding and has employees

this is the kind of structure that you

want and so what Nomad capitalist will

do is we've got people all over the

world we are the general contractor for

all the subcontractors you're going to

be in the UAE you're going to be in

Georgia you're going to be in Ireland

you're going to be leaving the U.S

that's where you're leaving you want to

have the U.S credit card processing you

might have seven eight nine different

attorneys and tax preparers and

immigration people involved someone

needs to manage them also where they all

work cohesively so that your strategy

actually does save you most of your tax

bill and that's why you pay for a

premium service with Nomad capitalist to

solve that I don't know anybody else

who's done this from spending you know a

dozen plus years overseas most people

will sell you a passport they'll sell

you a residence the UAE they'll set up a

company but they're not telling you how

to do all this Under One Roof and all

the different jurisdictions and that's

what we've spent the last dozen plus

years figuring out and we do it for you

you save the money