Offshore

Day to day support can be critical, whether regarding document filing, supplying a company stamp (very important in the Middle East) or the provision of Certificates of Incumbency or Good Standing, often required to smooth the passage of lending or credit applications and annual auditing.

Business development director Tim Edwards comments: “Such support might be at a relatively obvious level such as advising on administrative and compliance protocols, but equally it is often the softer aspects which can only really be appreciated and understood from direct personal experience.”

One of the most obviously differentiating factors between jurisdictions is price. It can cost just $550 to establish a vehicle in the Seychelles, while a Bermuda company costs from $15,500. With such a large variation in fees, clients will want to know why they might be asked to invest more in one jurisdiction as opposed to another. The answer usually revolves around the purpose of the vehicle.

Jurisdictions offering lower cost solutions tend to be associated with simple trading or holding vehicles. Fund vehicles, where both the regulatory and compliance requirements will be far more complex, are more often seen in jurisdictions such as the Cayman Islands and Bermuda.

Edwards said OIL will focus on the intermediaries who service these markets, including private banks, trust companies, legal and accountancy practices, but also on new players such as auction houses who are increasingly attempting to capture high net worth clients and exploit their earnings potential across a broader range of services.