When registering an offshore company, there are a number of statutory requirements that need to be met. In some jurisdictions, an offshore company has to have a certain number of local nationals or residents as shareholders and/or directors, while in others, details of shareholders and/or directors are publicly accessible. Therefore, more and more offshore companies find it necessary to use Nominee Shareholder and Nominee Director Services.
A Nominee Shareholder is a third party who is not related to an offshore company but officially registered with the Registrar as its holder of shares. They are bound to follow the agreement between them and the beneficial owner, which is called custodial agreement.
In a custodial agreement, it is clearly stated that the company shares are only held by the nominee shareholder for and on behalf of the actual shareowner (beneficial owner) and that only the beneficial owner is capable of disposing of those shares. The beneficial owner is also entitled to all the benefits and profits deriving from the shares. This means that the nominee shareholder does not actually own any company share or benefit from them in any way and also does not have access to bank accounts or other assets of the company.
Similar to a nominee shareholder, a nominee director is also a third party, who would be registered with the registrar and acts as a director of an offshore company. As an optional service, nominee directors are usually provided by corporate service providers to guarantee that the nominee directors are capable of such managements and responsibilities and always follow the guidance from the beneficial owner.
The purpose of using the nominee director service is to secure and protect the beneficial owner’s identity from being exposed to the public. Additionally, in many cases, it could be sensitive and disadvantage the company to have a connection with the beneficial owner.
Benefits of Nominee Services
Our Nominee Services are offered along with plenty of advantages that any offshore company will find awfully valuable and worthy:
- Compliant with the statutory requirements from the Registrar and government in the offshore jurisdiction;
- Details of the beneficial owner remain strictly confidential;
- Guarantee share control and benefits for the beneficial owner since nominee shareholders and directors are bound by agreements to only follow the guidance of the beneficial owner to act regarding the offshore company.
With the above advantages, our Nominee Services can benefit any type of company and very highly recommended for offshore companies. Together with Secretary/Agent Service and Virtual Office Service, Nominee Services provide numerous benefits and convenience for starting up your own offshore company. Contact Us now for any further questions or consultation.