Do You Know Alibaba Company is an Offshore Company?

Alibaba is the toast of Wall Street as it heads into what may be the largest initial public offering in history.
Although Alibaba is Chinese, it is incorporated in the Cayman Islands and will list on U.S. markets -- an unusual setup that can make an investor's head spin. China has prohibitions on foreign ownership, which means U.S. investors won't actually own the company's Chinese assets. Instead, investors will own a Cayman Islands company called Alibaba Group Holding Limited.
Why Alibaba Chooses to be an Offshore Company?
The Cayman Islands are a British Overseas Territory located in the western Caribbean Sea. It is also a major financial center and has the fifth largest banking sector in the world with a high concentration of top quality service providers. Due to its strong links with the UK the Cayman Islands is considered very politically stable, protected and safe. The Cayman Islands offer a tax efficient, respected jurisdiction for the incorporation of an offshore company. The formation of an Offshore Company is a tax efficient solution for international entrepreneurs.

The key benefits of offshore company are listed below:
-All documents and legislation are in the official language of English
-There is no annual reporting, accounting or auditing requirements for an Offshore Company
-Only one shareholder and one director are required. These can be the same person or a corporate body and do not need to include a local
-There is a complete lack of direct taxation; no corporation, property, capital gains or withholding taxes. This legislation is backed by a 20 year government guarantee (rising to 30 years on application) enabling long term business planning
-There is no minimum capital requirement for an offshore Company formation
-The business does not need to be run from the Cayman Islands or other offshore countries/regions. It can be run from anywhere in the world
-Corporate bank accounts
Until now, thousands of subsidiaries, many from world class companies, have indeed set up offshore companies. They include Coca-Cola, Oracle Corp, Procter & Gamble, General Motors, Intel, FedEx, Sprint and etc. Offshore Company absolutely is one of the best choices for the worldwide investors to make their business easy. In addition, Hong Kong company is the most popular offshore company. If you want to learn more about the Offshore Company registration, please contact at +8620-8355 5515, email to info@touchlawfirm.com or chat with our online secretary Ms. Touch (Touch-Law-Firm).

Read More:
Do You Know Alibaba is an Offshore Company? 
Are You Worried about the Tax & Accounting of Your Company?