is an IBC?
international business company (IBC) is
a corporation that is referred to as a
company, usually created in a tax haven
that is authorized to do business
worldwide, excluding the country of
incorporation. For our purposes, we use
IBC’s formed in the Commonwealth of the
Bahamas. They are an independent
nation/state. Specifically, we have
offices in Nassau, staffed by local
paralegals and attorneys that form and
service Bahamian IBC’s. An IBC is an
international operating company, as
opposed to a domestic company, such as a
Nevada corporation. The operating
structure of an IBC is very similar to
the structure of a Nevada corporation,
with shareholders, directors, and
Why Go Offshore and Why the Bahamas?
Bahamian bank secrecy laws have served as the model
adopted by almost all of the offshore havens in the
Caribbean. The Bahamas rely on two industries for
their income: tourism and financial services.
Therefore, it is in their own self-interest to
protect their customers’ privacy and assets to
maintain their status as one of the most desirable
the last few years the offshore business has become
very competitive. Small islands like Dominica and
others have begun actively soliciting U.S. citizens
for their offshore business hoping to generate
revenue for their cash-starved countries. The
Bahamian government is sensitive to this fact and
has worked to enforce and strengthen their laws
protecting people’s privacy.
People can’t find your offshore assets; The Bank
Secrecy Act in the Bahamas is impenetrable.
U.S. Judgments are not
The Supreme Court of the Bahamas does not recognize
U.S. court judgments against a company incorporated
in their jurisdiction.
Federal Courts have no
U.S. Federal Court judges have no power or authority
outside the U.S. borders. IRS liens are not
recognized offshore. Seizure Warrants from the U.S.
Customs service are not recognized offshore.
A Bahamian corporation can conduct business anywhere
in the world without interference from the Bahamian
government. The annual renewal fee to keep the
corporation in good standing is nominal.
Elimination of Taxes:
The Bahamas will not tax your corporation. Proper
planning allows for the reduction of any U.S. taxes.
Many international stock offerings and mutual funds
cannot be sold to U.S. citizens, but they can be
sold to your offshore corporation
offshore brokerage account.
There are many uses
for an Offshore Company:
The corporation may loan you or your business money
and protect certain assets with a mortgage or lien
granted as security for a loan.
It may own certain vehicles, boats, or second homes
allowing you to segregate these assets from other
With planning, it can protect you from the financial
fallout of a divorce.
Visiting your offshore location is always
informative and fun. And for some, it serves as a
second home or a retirement hideaway.
For most people, a Nevada corporation will
adequately protect their assets. However, for those
who desire, or need the maximum in judgment-proof
asset protection, especially from a U.S. government
agency, an International Business Company (IBC) in
the Bahamas is recommended.
The Bahamas is just 60 miles southeast of Miami and
is the largest offshore financial center in the
Caribbean with more than 300 banks and trust
companies. English is the official language and the
Bahamas boasts the third oldest democratic system in
the world. The Bahamas was initially settled in
1640 by a group of Englishmen, the Eleutheran
Adventurers, who sailed from Bermuda. The Bahamas
has had a Parliamentary government since 1729 and
became an independent nation in July 1973.
The Bahamas Investment Authority, operating out of
the office of the Prime Minister, was created to
stimulate growth in the financial sector and promote
foreign direct investment. The Bahamas have banking
and corporate legislation. The Bahamas Bank and
Trust Company Regulatory Act prohibit the
unauthorized disclosure of information pertaining to
a clients affairs to a third party, without the
customer’s written permission. The secrecy laws are
imposed on all Bank and Trust companies, their
directors, officers, employees, attorney, auditors,
and out-side agents and only by Supreme Court Order
can information be supplied about any account. A
fine of $5,000 applies to any person disclosing
details of accounts contrary to the Bank and Trust
Company Regulatory Act. On June 10, 1993, the
Minister of Justice and Foreign Affairs stated,
“Bahamas is not only committed to the bank secrecy
laws, but to the prevention of intrusion by foreign
The Bahamas have a
long history of legal stability.
There is no income
tax in the Bahamas, no personal income tax and
no tax on personal, business or company profits.
The Bahamas have
no income, capital gains, corporate, estate,
profits, sales, value added, gift, or
IBC’s are an
effective way to lower liability insurance
coverage. This can save tens of thousands of
dollars in premiums each year.
CAN AN ICB DO?
speaking, an IBC may engage in any lawful activity
not restricted by the country of incorporation or
the jurisdiction in which it desires to operate.
This would include consulting services, marketing,
financial and legal services or other professional
services. Specifically an IBC may:
Engage in Commerce:
An IBC can promote and
market goods and services worldwide except as may be
restricted under the company act of the country of
Act as a lender:
An IBC can make money
by loaning money to individuals or other
corporations. Conversely, it can borrow money.
Own Real Property: An
IBC can take title to property anywhere in the
world, unless there are local restrictions.
Open a brokerage or bank account:
In the United States most banks or brokerage firms
will require a W-8 Certificate of Foreign Status
form generated by the IRS to be filed with the
application to open an account.
Act as a trading company:
Via the Internet, an IBC can take orders from
customers, do invoicing, complete fulfillment, and
drop ship orders. Profits are then realized in the
offshore location that may have a favorable tax
WHO NEEDS AN IBC?
have worked hard for their financial
rewards, and who want to keep their assets
wants privacy and keep their assets out of
the reach of lawyers & lawsuits or seizure
by government agencies:
Anyone who is
the potential target of a lawsuit
Anyone who is
facing a costly divorce
Anyone with a
high net worth
high premiums for liability insurance
Anyone who is
a professional or is a business owners
need to keep their financial affairs private
Anyone who is
a professionals working abroad
owns a company selling products abroad
to separate high-risk investments from other
to buy securities or precious metals not
available to U.S. citizens
inventors, and holders of copyrights,
patents, or trademarks
YOU RECEIVE WITH YOUR OFFSHORE IBC PACKAGE
Preparation and filing of the Certificate of
Incorporation, Certificate of Incorporation and
Memorandum and Articles of Association Memorandum of
Association, Register of Directors and Officers,
Memorandum of Associations and Articles of
Association with the Registrar General’s Department
of the Commonwealth of the Bahamas.
Registered Office and Registered Agent will be our
Office in Nassau, Bahamas.
Nominee will serve as your nominee Officer and
Director, unless instructed otherwise.
Certificate's): We will automatically issue 1,000
Shares representing 100% ownership of the
corporation, unless instructed otherwise.
numbered bank account will be opened in the Cayman
Islands without a social security number.
Your IBC will be formed in approximately 5 business
days upon receipt of the fee and paperwork.