Seeking dual citizenship may seem like an overwhelming task. However, there are several benefits of doing so for businessmen looking to engage in the global marketplace. Over the last decade, there has been a notable surge in the number of entrepreneurs seeking to obtain a second citizenship abroad, for both business and personal purposes.
The fact is, based on where you live, your passport may not be considered the most accessible or well-received form of documentation. Your freedom to travel (and connect with other businesses) may be hampered, as will be your opportunities. Therefore, obtaining a second passport is a sound investment for businessmen looking to access global opportunities and travel freely.
If your business is poised for international growth, expansion or relocation, it may be time to look for promising opportunities abroad. Certain countries even incentivize second citizenship for those willing to invest in their country’s economy (options vary per locale).
If you’re a citizen of more than one country, it’s easier for that country to work with your business, making the move towards offering second citizenships a win-win for all parties involved. These incentives often have individuals and their families seek the help of specialized citizenship and residency by investment firms such as Bluemina.
Let’s take a look at the top six benefits of second citizenship for entrepreneurs…
1. Tax Benefits and Incentives
We’re not tax advisers, and always recommend that you consult with an experienced and licensed tax professional to better understand your options. That being said, obtaining a second citizenship often opens up a number of doors regarding potential tax incentives, benefits, and reductions. In some cases you can eliminate high tax burdens of one country while taking advantage of low (or even zero) taxes in another.
2. Avoiding Economic and Political Instability
Whether you’re facing a political uprising, a recession, or economic or political instability in your home country, having a second citizenship abroad would allow you to pack up and leave at will without the need to purse alternate or emergency visas.
3. Lifestyle Benefits (for you and for the next generation)
Every country is unique with its own set of cultural and lifestyle benefits. Some have desirable weather while others have desirable tax structures and better educational systems. In other cases, delectable local cuisine or favorable costs of living may be attractive.
Your descendants may also be able to enjoy the benefits of multiple citizenships, depending on the country you choose. For example, Caribbean countries offer investors and their family a citizenship that can be passed down to future generations without the need to denounce their current nationality. Accordingly, descendants will be able to take advantage of the education and healthcare systems and possibly safer environments in their second country.
4. Investment and Banking Needs
When it comes to investing in foreign nations, there are often strict rules around who can enjoy the privilege of investing in certain markets. Direct citizens of a nation often have fewer barriers to investment than do foreign individuals or entities. If you’re looking to invest extensively in, say, the real estate of a country, you might want to consider making it your second home.
Citizens of different countries also have multiple banking options. Different interest or currency rates may be optimized if a person’s money is welcome in several places.
5. The Ability to Travel Without a Visa to Certain Locations
As the world becomes more connected, travel still remains difficult between certain parts of the world. Different countries have different restrictions on where their citizens can travel and when, according to their relationships to different countries. The rules are often inconsistent even within the same region.
Certain countries, such as Portugal, have relatively easier rules when it comes to travel without visas. If you have citizenship in these countries, you can take advantage and travel around the world with much more ease.
6. Extend your Ability to Work in the World
One of the best benefits of multiple citizenships is how much it extends your international reach. When you don’t have to worry about visas or restrictions, you’re free to meet and network with people from all regions of the world.
Your business may also have more reach as you establish roots (and maybe official ties) in your new country. You’ll have a new base of customers you can speak to—and potentially more benefits to starting a business.
The act of establishing multiple citizenships may become more common as time passes. Economic instability, increased tariffs, and global recessions have made the idea citizenship and permanent residency by investment appealing to many. In the age of GDPR, anything that gives a business access to additional customer bases is worth considering. Pursuing second citizenship now may help avoid delays in years to come. The world only appears to be growing more connected.
Interesting Article: “What is an Entrepreneur?“