When a company sees success, or the economy of the country it is established in is a little low, most people will naturally start thinking about broadening their reach. Selling products overseas is one solution; and setting up an offshore or overseas company is another solution. But what actually involves this? What should you know before you venture into such a project? What should you ask yourself? These are a few questions that we recommend.
What are the rules for forming such a company in the country of your choice? – more often than not, most countries have common rules in regards to businesses. Especially the more prominent rules. But its still worth going through the rules and knowing your way among it. Do so especially with the rules that are regarding a good company set up.
How does the tax play into it? – Unlike the rules regarding trades, the taxes tend to be different from country to country. Knowing them and identifying the differences before hand may help a great deal; specially to decide if this is the ideal place to launch your Hong Kong company formation and bank account.
How easy it is to get help and assistance for said company? – Having a proper network of friends and investors pays a great deal in the business world. Unfortunately, this can get a little tricky if you are going to lunch a company in a land where you have very few familiar faces. But that doesn’t prevent you from going there and making friends. If you plan on launching it in the middle east especially, take the time to spend time with your clients. The word of mouth is pretty strong there, and you’ll most likely be recommended by your clients to their friends.
Will you need to have a local investor or shareholder? – in most western countries this may not be an issue. But some middle eastern and east Asian countries and cities have specific rules that may affect this. Sometimes, you’ll find that even the procedure will be difference with or without a local investor or shareholder. Make sure to research this thoroughly so as to not be disappointed or over your head.
Are there any rules in regards to your employees? – a company or a business is almost never run single handedly. There are many people involved in it; and its employees have the ability to see it to success or drag it down. Unfortunately, you’ll be surprised to find that there are rules regarding employees as well. Some countries have different retirement ages; some countries have rules in regards to foreign employees or laborers. It helps to know these rules as well…