Best location for company

質問

We (startup) are looking for the best location to form our company. Which country is best? Is it a good idea to have Cayman islands corporation with operations in the US? What are the advantages? How about the cost?

回答: 1 公開 & 0 非公開

Selfie
弁護士

Hi Caleb. It is difficult to say whether you should choose a Cayman Island company without knowing more about the kind of business you are involved in. If you are based in the US and operating in the US and raising money from US investors, then you should probably incorporate in the US. Usually Delaware is the corporate jurisdiction of choice in the US, but there are very practical reasons for incorporating in other states as well. A Cayman Island company would make sense if you are operating internationally and raising money from investors internationally. Alibaba is an example of a company fitting this latter profile, and it is structured with a Cayman Islands company at the top. If your business is in the startup phase, it would be worthwhile for you to talk to a good business lawyer in the US and figure out which state you need to incorporate in. And keep in mind that if you have sophisticated investors, they may have a point of view on where you should incorporate. In general you should be sensitive to the needs of your current and future investors when choosing where to incorporate. Finally, if you are still thinking you want to investigate the advisability of incorporating in a British tax haven (such as the Cayman Islands, Bermuda or the British Virgin Islands) I will be happy to connect you with great lawyers who are specialized there -- they will be able to give you a more nuanced understanding of the costs and benefits.

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