Entrepreneurs do not have to physically reside in a country to set up a legal entity. The right business structure and location for company formation depends on the exact needs of a company. Not every jurisdiction is suitable for a venture and its activities. Therefore, a wise choice to structure and incorporate starts with a thorough probe into the opportunities and limitations of a business and its environment.
Running a business as a sole trader or self-employed person limits the workplace to a local market. This restriction is furthered by difficulties to operate in other countries and even online. Additional complications of this limited corporate structure are the aggregation of corporate debts into the personal sphere of the business owner, and a further personal liability for corporate conduct. Entrepreneurs therefore may choose a private limited company that separates the legal entity from its ownership and control. An added advantage is that such a corporate structure is suitable and even appropriate for international activities.
Governments all around the world try to avoid fiscal and financial abuse of its local environment. As such, a variety of directives, rules and regulation limit the possibilities of using onshore, tax exempt and offshore companies. Company formation is more than just a click on the button to purchase a ready-made company from the shelf of a corporate service provider. It is not rocket science to comply with all the procedures. Competent and well-grounded entrepreneurs therefore should act with care and handle their professional incorporation and business activities diligently.
The internet provides for an extensive ecosystem of free information that allows individuals to research their interest. Studies and random information from running and building a success business to incorporation in exotic jurisdictions is available for you. However, a word for the wise, educate yourself with reliable information before jumping into a world where big brother is not just watching, but also acts upon regulatory violations.