It’s very important when you are considering expanding your Virtual Assistant Company that you get some sound advice from an international accountant who really understands the workings and set up of a company who hires independent contractors, sub contractors and freelancers to assist them within their company.
I have found that local accountants, or financial advisers who only handle businesses within their own country specialise in company formations only within that area, and whilst they have excellent knowledge and can give sound advice with regard to company formations within their particular location, they usually know very little about dealing with international business, offshore jurisdictions, double tax treaties and limiting tax liability as part of an international business corporation – and if you are a virtual assistant, then your business is uniquely placed to explore alternative possibilities because of the way we conduct business online.
“IBC’s are vehicles chosen by many individuals and corporates nowadays for everything from international trading, offshore investment, purchasing and owning real estate abroad, ownership of intellectual property and protection of certain asset classes, for the employment of overseas placed staff, for efficient tax planning and offshore e-business.” ShelterOffshore.com
IBC’s or offshore companies have, for a long time been associated with tax evasion and dodgy business, and whilst this is undeniable that people do use them in such a way, it certainly doesn’t mean that is the case for all of them, in fact it’s quite the opposite, reputable companies like Google, Pfizer and Facebook are taking advantage of the benefits of registering offshore companies, in many cases, there are business owners with offshore companies working with qualified and knowledgeable international accountants, who can best advise them on how to set up their companies, and a virtual assistant company is ideally suited to this set up given that fact that we work with multiple people, clients and contractors often in multiple different countries, all online. You can still have a completely legitimate, legal company, but the rules and regulations will be slightly different.
When I went to my local accountants to discuss my business, (in several countries where I have lived) I drew a lot of blanks, simply because the way I worked was a little alien to them, and I realised very early on that I needed the advice of someone who really understood the mechanics of my business on a global scale, in order to have everything above board, but not fall into potential situations where I would end up paying more tax than I personally should be liable for.
“It is always important to speak to an offshore consultant with experience before conducting any offshore business or setting up any offshore entities so that you select the right offshore jurisdiction for your needs.” OffshoreCompany.co.uk
I am not an accountant or a lawyer, and I cannot advise on how you should set your company up, but not everything is cut and dried in this industry, and you should do yourself, and your business a favour by seeking advice from someone who is not only qualified but knows the ins and outs of “international” business. Had I continued to take the advice of my local accountants, I would have not been open to other considerations and possibilities related to working virtually which even the best local accountants in the country could not have helped me with, as it was simply not in their spectrum of understanding.
“Belize Offshore companies offer tax exemption and privacy protection; they are 100% legal and able to operate anywhere, and Belize is one of the most popular and cost effective countries for offshore company formation.” YourBooks.com.cy
Whether you are a virtual assistant hiring sub contractors, or a multi-VA team, whether you are a digital nomad, or you stay static in one place, there are always options open to you, explore your options and find out what is going to work best for your business model, because not every company formation works for every type of VA business.