Nominee service

Nominee service for companies

1. What is a nominee service?
2. Advantages of a nominee service
3. Nominee director
4. Nominee founder
5. Is a nominee service safe?

It takes a very long time to build your own business, so people are not always ready to get rid of it when certain circumstances arise. However, in some cases, people are prohibited from owning any companies (for example, when working in the civil service) or there is a need to manage an organization while remaining incognito. Is it possible to do this? Yes, it is possible. A nominee service is used for these purposes.

If you need a nominee service in Kiev or across Ukraine, you can find companies that provide such services on the Poshuk.info website. After making a request, you will receive an answer from a database that includes only verified organizations. Poshuk.info is your opportunity to find nominal service services in Cyprus, Hong Kong or any other jurisdiction for offshore companies, or in Ukraine for any organization or company.

What is a nominee service?

A nominee service is a company management tool that involves the appointment of nominal (fictitious) persons to management positions. As a rule, jurisdictions require that the following positions be occupied in the company:

• accountant;
• irector;
• founder.

Full nominee service allows you to appoint formal people to these positions who will not make real decisions. Their task is only to sign documents and represent the interests of the company.

In fact, persons appointed under the nominee service in offshore companies or Ukrainian ones do not have the right to make any decisions on their own. They only sign documents and carry out orders given to them by the real owner of the company. At the same time, the real owner does not interfere in the activities of the organization in any way. He does not appear in the documents, his name is not indicated during registration, etc. A nominee service for offshore allows you to ensure compliance with all the requirements of the jurisdiction, but at the same time not to disclose the real owner of the organization.

What are the advantages of a nominee service?

A nominee service has several key advantages, thanks to which it has gained such wide popularity. The first of them is confidentiality. The services of a nominee service allow you to hide the real owner. This can be important if the owner of the company is persona non grata in the country or he is prohibited by law from owning any companies and combining his main work with other activities, especially business.

In addition, a nominee service in Hong Kong or any other offshore jurisdiction has other advantages. These include:

• protection of personal data. Since the owner does not appear in the documents, registration agents in offshore are provided with information about “fake” persons. Therefore, leakage of important data about the real owner is impossible;
• no need to travel to the country. Some offshore jurisdictions have requirements for holding constituent meetings and making key decisions exclusively on the territory of the country. Using the services of a nominal service, you do not have to travel to the country. The nominal director and founders, as a rule, live there;
• you do not need to be a tax resident. A stricter version of the previous requirement. In a number of jurisdictions, the director and owner must only be tax residents of the country. Using a nominal service allows you to solve this problem;
• the possibility of applying special tax regimes. With the help of “front” persons in management positions, you can fulfill the residency requirements, thanks to which it is possible to apply special preferential tax regimes.

Also, a nominal service may be needed if you need to conclude an agreement with a counterparty of two companies owned by the same person. In this case, it is possible to hide the fact that the organizations are owned by a single owner.

Who is a nominee director?

A nominee director is a fictitious person who is appointed to the position of the head of the company. A company director is a mandatory position for almost all types of companies in all jurisdictions. However, of course, managing an organization registered somewhere in Hong Kong from Ukraine is very difficult. Not everyone wants to move to another country just to manage the company. However, you can’t do without a company head, this is a mandatory requirement. Therefore, nominee directors are in great demand.

In most cases, companies offering services of a nominee director of a company or offshore have concluded contracts with specialists. Employees are instructed in advance and have experience in similar positions. Therefore, if you are looking for a nominee director in Kiev, it is better to contact a specialized company. Professional services will quickly find a competent person in any jurisdiction.

Is a nominee director for offshore legal? Formally, no one can make any claims to such a service. It is practically impossible to prove that the manager does not make decisions independently, but acts on the instructions of a person from the outside. Most likely, no claims to the organization from the regulatory authorities will arise. The only exception is situations when the organization is engaged in illegal activities. In this case, you need to be prepared for the fact that the nominal director will tell the real situation during interrogations.

The appointment of a director is carried out differently in different jurisdictions, so it is important to comply with all the requirements. If you fulfill them, most likely, the regulatory authorities will not have any claims, so there will be no additional checks.

Nominee founder (owner)

A nominee founder (owner) is a person who is formally the owner of a company or offshore. One of the varieties of such an offshore service is formal shareholders – persons who can own shares of a legal entity, if this is required by the legislation of the jurisdiction.

The services of a nominee founder (owner) for an LLC are especially popular for maintaining the confidentiality of the real owner. In all countries, including offshore ones, there must be at least one founder who owns the securities of the LLC. However, the name of this owner will clearly appear in the documents, so if the real founder is indicated there, there is no need to talk about any confidentiality.

However, the nominal founder of an offshore company, of course, does not have any real power and authority. He is only listed as the creator and owner of securities, but in reality does not perform any functions. His name appears in the constituent and other documents, and he also signs documents if the director is absent. However, he does not have the right to make independent business decisions.

Some people confuse nominal founders with a “blind trust”. In fact, these are completely different concepts. In the case of a “blind trust”, the owner of the company is known, but it is actually managed by third parties. The situation is the opposite with the nominal founder of an offshore company. The real owner of the LLC is unknown, and the person listed in the documents actually has no authority.

Is a nominal service safe?

Of course, any company owner will ask: is it safe to entrust your business to a stranger? Are there any ways to reduce risks and protect against a possible “situation getting out of control”? Of course, there are such ways, and all necessary measures are provided for at the beginning of cooperation.

The real owner receives a general power of attorney to represent the interests of the legal entity. Including, by proxy, the actual owner can also manage bank accounts, conclude contracts on behalf of the director or founder, etc. The actual owner of the company also receives a statement of dismissal of the director and a document certifying the purchase and sale agreement of the nominal founder’s share in the company. Both documents are issued with the signature of the nominal director and founder, but without a date. Thus, you can deprive them of their powers only by putting a date.

If you need the services of a nominal director and founder, you can find the best offers from Poshuk.info. Our service will help you find a company with the most favorable conditions.