Offshore Companies for Affiliates, Networks, and Services

3 min read

Today’s article is all about offshore companies — what problems they solve for affiliate marketers, affiliate networks, ad networks, and service providers, what it costs to set one up, and what types of offshore structures are available. This is a sponsored post in partnership with open-offshore.net, a company that has been consulting on and setting up offshore companies since 2009.

What Is an Offshore Company? And Who Can Benefit From One?

Simply put, an offshore company is one that pays no taxes and files no financial reports. There are no genuine offshore zones in Russia, which is why offshore companies are always foreign entities. The main purpose of going offshore is to simplify your operations and cut the cost of doing business.

An offshore company is a tool that solves specific problems:

Reducing your tax burden or eliminating taxes entirely;
Entering foreign markets;
Keeping the company’s ownership private;
Simplifying business operations (for example, no currency controls).

An offshore company is useful for anyone who needs to solve these problems — and that covers a very wide range of people, from affiliate marketing teams to affiliate networks, tools, and ad networks.

How Much Does It Cost to Set Up an Offshore Company?

Setting up an offshore company starts at €750. That’s the price for ready-made companies in England, and it covers everything you need: document apostille, government fees, and a registered address for 1 year. Another affordable option is €850 for a company in Belize with a full document package and no nominee service required.

If the company also needs a bank account, budget an additional €400 for that. So an offshore company plus a bank account starts from €1,150 in total.

For reference, here’s what setting up an offshore in one of the most expensive and popular jurisdictions in 2020 looks like — the UAE. Example cost breakdown for a company with one visa entitlement:

Bronze office package, with entitlement to one visa — $5,100
Bank account opening — $1,000
Visa — $2,300
E-channel — $580 (electronic registry portal, paid annually) + $1,380 refundable deposit, returned upon visa cancellation (one-time).

The total comes to $10,360. There’s no one-size-fits-all solution, and even the expensive options aren’t right for everyone. The exact cost depends on your specific goals, but as a rough guide, budget anywhere from €750 to €10,000.

Which Country Is Best for an Offshore Company?

For domain name registration without a bank account (or with a payment system account), a Belize jurisdiction is sufficient. Its advantage is a closed registry.
For trading companies, Estonia currently offers great terms — 0% tax as long as profits are not distributed.
If you need a European company with a closed beneficial ownership registry, a Cyprus company is a solid choice.
The UAE with tax residency is also an interesting option. Such a company achieves: 0% tax, and when opening accounts in other countries, there’s no automatic tax information exchange since you declare UAE residency at the bank — meaning your home country’s tax authority receives no information.

Every goal calls for a specific jurisdiction — there’s no universal solution. Contact the team at open-offshore.net, tell them your goal, and they’ll find the best option for you and help with the setup process. They’ve been in the offshore market for years and have already helped more than 1,000 clients. Contact info: +7495-790-8330, telegram — t.me/openoffshoreru, skype — openoffshore