Foreign bank account
Foreign bank account : all the advantages and risks. Now, due to the situation with deoffshorization, entrepreneurship need to turn to the international banking services.
Therefore, the question of how to open an account in a foreign banking institution is now in the mind of almost everyone who is actively involved in business.
Advantages of opening an account in foreign banks
Cooperation with any financial structure and opening a foreign account have advantages and risks.
It is advisable to read carefully both those and the other before starting any transactions through the account. So let’s start with the benefits.
- High level of personal data security – all foreign banking institutions guarantee their clients absolute confidentiality and security. This will protect the company from groundless audits from the state, as well as from the actions of competing organizations.
- Variety of currencies – a foreign bank account allows you to use several currencies at the same time, that helps you to carry out transactions on the international market quickly and without commission.
- Opportunity for diversification and capital protection – owning a foreign account helps to minimize the risks of losses, as you can transfer assets to currencies with more stable positions.
- Access 24/7 – you can use the account at any time of the day, 7 days a week.
Risks associated with a foreign bank account
The owner of the foreign account is fully responsible for compliance with all legal regulations.
That is why, in order to exclude all possible penalties and blocking of the account, it is better to cooperate with a specialist with significant experience in the field of international banking.
It will also be necessary to carry out all financial transactions, taking into account the declared business activity of the organization. It means that it will be impossible to trade in such a way as to sell both cosmetics and equipment.
You may be suspected of money laundering or acting as an intermediary in illegal financial matters. Therefore, it is recommended to open multiple accounts.
How to open an account in a foreign bank?
You can open a bank account abroad in several ways:
- in person – you must personally appear at the bank branch and submit the required list of documents, after that the bank checks all your documents and informs about its decision;
- with the help of intermediary – using this method, you can additionally get expert advice.
The procedure for opening an account in a foreign bank is not too long and laborious. Nevertheless, it is better to use the help of people who work in this area and know exactly how to carry out this procedure.
The accounting department of the company must compile quarterly, annual financial reports and provide declarations to the tax service. Contact us for more information.