Non-U.S. Companies Public in the StatesWritten by William Cate
Non-U. S. Companies Going Public in States By William Cate Published November 1999 [http://home.earthlink.net/~beowulfinvestments/] [http://home.earthlink.net/~beowulfinvestments/globalvillageinvestmentclubwelcome/] Why should your company go public in United States? If you are a non-U. S. Private company, here are ten reasons why you should file your prospectus with U. S. Securities and Exchange Commission (SEC). 1. If you don't file with SEC, your stock can't legally trade in United States. The American Over-the-Counter Market is among best capitalized risk equity markets in World. 2. In many countries, local Stock Exchange has listing requirements modeled after rules of New York Stock Exchange. This practice excludes most private companies from access to local investors. 3. American public companies face fewer economic barriers in Global Village. Trading in States offers non-U. S. companies superior economic credibility. 4. Your company will be valued in U. S. Dollars. This is a major advantage in countries with weak currencies. 5. It's easier to arrange an Offshore Private Placement for a non-U. S. Company. This advantage is so important that I advise American companies to incorporate overseas to qualify for Offshore Private Placement benefits. 6. As a company trading in United States, its easier and less
| | Structuring Your CompanyWritten by William Cate
Structuring Your Company By William Cate Published October 1998 [http://home.earthlink.net/~beowulfinvestments/] [http://home.earthlink.net/~beowulfinvestments/globalvillageinvestmentclubwelcome/] In Canada, you'll pay 60% taxes on your pretax profit. In United States you'll pay Federal and States taxes on your pretax profit. This means that a California business pays 41% in taxes. You make money when you save on taxes. I'm not an attorney nor an accountant. I'd advise that you discuss tax strategies with your tax advisers. I'm offering following from my business experience. I work on premise that you must pay taxes in jurisdiction in which you earned money. If you have a local business, don't incorporate in a tax haven state, like Nevada. The taxing state will still want their taxes on money you earned. Too many local businesses incorporate in such a way that corporation pays taxes on business income and owners pay taxes on proceeds from corporation. If your corporate pretax profit was $100 in California, after taxes your company has $59.00. If you pay $59.00 to owners, they must pay taxes and after tax profit is $34.81. To avoid paying 65% taxes, owners should never have incorporated. They should have asked their tax adviser about forming a LLC.
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