The term OFFSHORE is used to describe other countries or jurisdictions outside your own. Other countries have different regulations that govern asset protection, financial privacy, bank secrecy , trust laws and overall corporate structures. OFFSHORE havens exist be cause of a powerful demand by individuals in many countries to shelter and protect their wealth and assets from a variety of threats and already mentioned. Protection of assets can take a number of forms, and while there are many domestic alternatives, including living trusts, limited liability partnerships and companies, and family limited partnerships, offshore vehicles are usually more effective for this purpose.

Like all businesses with attractive profit opportunities, offshore havens must compete with each other to attract a volume of banking and financial services clients. Only twenty years ago a few well-known centers such as the Bahamas, Bermuda, the Cayman Islands, Switzerland and others were the predominant service providers in this area. This was not always the case. Within the last ten years, many new countries have developed the necessary package of banking services and asset protection products. There are now a significant number of countries seeking this business, and competition is fierce. Successful countries attract this business with some or all of the traditional techniques: better service, innovative products, favorable laws and regulations, and competitive prices.