When it comes to growing your wealth, it’s important that you diversify your portfolio so that you can benefit over the long-term.
Diversifying helps you not put your eggs in one basket. In this regard, forming an offshore private foundation is one of the best ways to diversify your portfolio.
Going international is the next step once you’ve grown a bit of wealth and want to explore deeper options. By setting up an offshore foundation, you’ll reap a lot of benefits, but it’s important to first learn the key details.
Read on and follow these steps to make sure you’re covered.
Forming an Offshore Private Foundation — What Does it Mean?
When it comes to setting up a private foundation, it’s important that you understand the basics of this sort of entity.
This is a financial agreement or entity, created in offshore locations like Belize or Anguilla, that is self-governing and legally binding.
By setting up a foundation, you’re able to transfer assets and enter agreements that are beneficial to both parties. This agreement can be between two or more parties, whether they’re individuals or companies.
Unlike an offshore trust, an offshore foundation is public information, and the details are recorded and available. This sort of agreement can be entered for a number of reasons and can be tailored with details and customization in mind.
The Benefits of an Offshore Private Foundation
There are lots of advantages to setting up a private foundation.
Perhaps most importantly, it is a way to lessen the tax burden that both parties would otherwise be subject to. By setting up the foundation in Aguilla, for instance, you won’t be taxed on profits and capital gains.
Another benefit of setting up a private foundation is that it is one of the easiest legal entities to create. In some countries, such an agreement can be created online within 24 hours.
When you’re looking for a creative way to transfer or grow your money, offshore private foundations can be incredibly advantageous and customized to the liking of both parties.
Understanding the Steps Involved with Setting up a Private Foundation
First and foremost, it is important that you understand the laws that govern setting up a private foundation.
Knowing the laws and rules that govern these agreements up front will save you time and minimize mistakes. Read the laws and follow the steps to getting a permit, making sure first that your entity is compliant with the laws of the place you’re establishing it.
From here, it’s a simple matter of agreeing to the terms and getting your license.
Protect Your Interests and Get the Help That You Need
As you can see, forming an offshore private foundation can be very much to your benefit. By knowing the laws and processes, you’re well on your way toward diversifying your wealth.
To get more help, stay tuned to our blog and reach out to us. Our experts are happy to assist you with any need that you have.