Anyone who has savings for a rainy day or for a joyful holiday or a brighter future will benefit from asset protection abroad or offshore. First of all, professionals who need to be prosecuted due to the consequences of their professional activities need the protection of assets abroad. This is especially true of doctors, plastic surgeons, psychiatrists and psychologists, lawyers, business owners, analysts, and financiers.

The more savings are in the jurisdiction of the country where you practice or do business, the higher the chances of becoming potentially attractive to those who want to sue. Based on this, absolutely anyone should not accumulate most of their funds in one country. The smallest part of the funds should be in the country where you practice or conduct business.

Naturally, in drawing up a professional plan for asset protection, it is not only the client’s desire to get away from a potential lawsuit but also the need to protect assets from depreciation through portfolio diversification and foreign investment in various currencies. What is asset protection?

Asset protection is a strategically planned action and precautionary measure aimed at minimizing the risk of capital loss.

For each situation, its own asset protection should be developed, taking into account many factors. The amount of capital, source of income, your age and the age of your heirs. Plans for the transfer and redistribution of assets, your plans for the further use of assets, your citizenship and country of residence, the risk of the potential occurrence of creditors.

From the point of view of protecting assets from lenders, a strategy and plan to protect your assets should be designed in such a way that lenders understand that it will take a lot of time and effort to detect and access your assets.

A good asset protection plan shows your lenders that the cost of getting money from you will exceed the amount you have.

How to choose the right country or offshore jurisdiction to protect assets?

If you live in a country with a highly developed economy, then an asset protection strategy in your country will cost you more than more reliable protection of capital abroad.

In offshore jurisdictions and in other foreign countries there are advantages and aspects of the legislation that you will not find in your home country, no matter how well you look.

You should focus not only on the choice of foreign jurisdiction for asset protection but also on the type of legal entity – an offshore limited liability company, trust, fund, combination of several offshore legal entities, offshore corporation, international business company.

If you have enough patience and perseverance, then check whether there were precedents in your country when creditors from your country managed to get money from your chosen type of offshore legal entity registered in that country. You can protect your assets in cyprus.

How to choose the right time to execute an already developed asset protection plan?

Asset protection

Before you have any problems with partners, creditors or tax service representatives!

Do not confuse asset protection strategies with tax optimization. However, the implications of developing asset protection plans are lower tax payments. Naturally, you should check out strategies that you have been advised to by tax specialists in your home country. Naturally, a tax specialist in your home country will not be aware of the schemes and strategies that an international specialist in asset protection will develop for you. However, a tax professional in your home can reassure you about the legitimacy of your chosen asset protection strategy. If you are already sued, then withdrawing funds from the country in large volumes is not legal. In addition, your funds may already be frozen in the bank accounts of your home country.

How to develop and implement an asset protection plan?

Asset protection


There are two ways. If you really like to do everything yourself, and there is no big risk that someone will soon want to sue you, then you can do the following:

  1. Subscribe to newsletters that specialize fully or partially in asset protection. In addition to my blog in Russian, I can recommend the monthly newsletter Midland Consultant. From the news about changes in the taxation of various jurisdictions, you can learn a lot of useful information. 
    By the way, if you decide to immediately use the services of a professional and get a professionally developed and executed capital protection strategy, this does not eliminate the need to independently monitor the fact of the legitimacy of your strategy after 3 years, five years and ten years. International law and corporate law of various offshore jurisdictions are changing and improving from time to time. Follow the changes by subscribing to various newsletters easier. In addition, you can track news about the news of the offshore industry.
  2. In addition to mailings, there are also paid internal parts where much more recommendations are given in monthly or quarterly editions. You can also find excellent reports in the internal parts of tax optimization and asset protection professionals like the Q Wealth Report. Some of them, with the permission of the author, have been translated by me into Russian, but some are prohibited for free and public distribution.
  3. In addition to quarterly and monthly reports, there are also books on asset protection and tax optimization. On the pages of my blog about offshore companies and foreign bank accounts, I will give a list of recommended literature in English and Russian. However, remember that books quickly become obsolete and you need books for ideas and a general picture.
    1. A) Hong Kong Workshop for Q Wealth Report. You can request or learn more about the seminar by visiting www.qwealthevents.com. Sometimes I bring readers of my blog and my clients to such seminars. This workshop is especially useful for its part of the questions and answers when lecturers give very specific and detailed answers to correctly asked questions. Attending such seminars is beneficial when you have a general picture in your head. There is also a separate group of clients from Russia and Ukraine who cannot do without attending such seminars. As you understand, there are people who entrust the implementation of their asset protection strategy only to people who have been seen personally. Therefore, they can choose between seminars, offices in Russia and Ukraine and offices abroad. As for offices, as well as information that I give in the public part of my blog, you understand that consultants are limited to the jurisdiction of the country where their office is physically located. Therefore, there are two ways out – to withdraw your consultant outside your home jurisdiction, which is expensive or to meet with your and other consultants at the seminar. Offshore seminars, as well as seminars on asset protection and tax optimization,  are usually held in Panama, Mexico, Croatia, Hong Kong, and so on. Typically, offshore experts choose warm places where their clients can relax. Naturally, you can take your family with you. 
      Another value of the seminars is communication with other attendees of the seminar, including informal communication. You can find business partners and like-minded people in other countries. These are people who also carefully, as you have studied various offshore schemes and schemes for optimizing taxation and asset protection. Moreover, these are people from different countries with a different view of the world. One of the best teachers in the offshore industry for me were customers who ask and ask questions. Good seminars are built precisely on the living questions of real-life customers, and I look forward to this seminar for the Q Wealth Report members.
    2. B) After Hong Kong, I will go to Shanghai for another seminar. If the Q Wealth Report seminar is a symposium, then this seminar is called the China Offshore Summit 2011 Summit ( http://www.chinaoffshoresummit.com.hk ). 
      I think that after you follow the link, the quality and scope of the seminar will become clear to you.
    3. C) The third seminar in Singapore is mainly aimed at specialists. http://www.step.org/asia2011 STEP Asia Conference 2011 Trusts, Families & Business – An Asian Focus and will be held in Singapore from November 1 – 2. I will tell you about how trade and business with Asia should be taken into account in modern capital protection and tax optimization strategies in the following articles that I will write after attending all three seminars. Once you have a general picture, it makes sense to attend several offshore workshops. After you have developed a general picture, you can already distinguish high-quality seminars from those where inexperienced and incompetent specialists are trying to sell you something incomprehensible. And the incomprehensible is not for you, nor for themselves. Even by subscribing to a quality newsletter, there is a risk to receive an invitation to a seminar aimed at selling a particular offshore tool or service. 
      For comparison, I cite seminars that I will attend this fall in Singapore, Shanghai, and Hong Kong. Since the tickets have already been purchased and the hotels are reserved, I have the right to share the joy with the readers of my blog about offshore companies and foreign bank accounts:

A quick way to develop and implement an asset protection strategy is possible only through the trust of a professional. If you come to an office in Russia and Ukraine, then you can be sure that this professional is less likely to run away from you if things go wrong. You can also be sure that in his office, where information about you and your business is located, verification from your own jurisdiction can break in, his office is bugged. If you want to sue for registering an offshore company and not opening a bank account abroad, which is highly unlikely, you can be sure that the specialist’s assets in this area are protected very reliably. What you can not be sure about is that all documents about you, as a client, are destroyed after opening a foreign bank account. This service is promised by many providers of offshore services with offices in major cities of Russia and Ukraine. If you are inclined to believe these promises, ask them to show you a shredder for papers or a fireplace. And it is better if you really want to visit someone’s beautiful office in the center, then contact the lawyers. You will have the opportunity to use the lawyer’s secret. It is true to hope that the offices of major professionals in the offshore industry among lawyers are not tapped, also not worth it. It is better to discuss matters in nature by removing the battery from your mobile phone.

So, why is asset protection so important in the twenty-first century?

If you live in the USA or Europe, then the chances that someone will sue you one to four. In the nineties and at the beginning of the two thousandths, getting a law degree was very fashionable. Now all these lawyers need to feed themselves, and many of them agree to work for a percentage of the amounts won. And such lawyers will work day and night to find out what you own, how much assets you have and how easy it will be for the bailiffs to select these assets. The lawyer will receive 50% of the amount won and is very interested to win. If you are relying on your insurance, then read the points of your insurance, which are written in small print.

If your only accommodation is a modest apartment, then you do not need to transfer it to the ownership of an LLC. But here all other real estate is better to issue on a foreign legal entity.

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