Keeping one’s finances in order can be difficult, which is why many businesses hire trust companies to help them. Trust companies are legal entities that manage assets and wealth for clients. Here is an overview of the services these companies provide.
Trust Formation and Administration
A trust company’s primary duty is trust formation and administration of trusts. A trust is an agreement in which a beneficiary allows a third party known as a trustee to hold property or assets on their behalf. Utilizing a trust prevents a business from spending money unwisely and ensures that all financial matters are left in the hands of an expert.
Company Incorporation and Management
When a new company is first formed, it needs to undergo a legal process called incorporation to be recognized as a business. A trust company can help a business with the incorporation process in addition to consolidating its finances. It can also help a business with various management tasks after it has been fully established.
Through fund administration, a trust company acts as a middleman between fund managers and investors to ensure that all investment assets are distributed correctly. Managing a fund includes services such as administration, accounting, custodial services, and fund manager selection.
If a business wants to provide insurance for itself rather than relying on a third party for coverage, it can create a captive insurance company. A trust company can help a business by overseeing the administration of a captive insurance company and providing underwriting and technical support
Offshore Financial Services
An offshore bank account enables a business to hold money and make and receive payments outside of its home country. This type of account can be set up for any type of currency, so a business may wish to open more than one to have different types of money available. Offshore bank accounts are especially useful for companies that engage in e-commerce, which makes up about 14% of all global retail sales, according to IFC.
Working with a reliable trust company is the only way to properly protect your business and keep it running smoothly. First Nevis Trust Company Limited provides offshore financial services along with other services to ensure that a business operates as efficiently and successfully as possible. Contact us today to learn more about how our corporate, trust, foundation, and estate administration services can benefit your company.