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Is there a major stigma towards offshore companies?

companies Offshore stigma
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Is there a major stigma towards offshore companies?

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I would imagine the answer to the question is: “it depends.” A firm located in Canada likely elicits a different reaction than a firm located in, say, Colombia. Further, the culture of the company doing the judging is also pertinent. Some companies are very small and insular while others are very large and international. I don’t think you can really apply a universal answer to your question.

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It is generally easier for U.S. companies to do business with other U.S. companies, for a variety of financial and legal reasons. In the financial sphere, trading exclusively in U.S. dollars eliminates foriegn exchange exposure (risk), and the banking costs of converting money, paying via bank instrument (LOC, sight draft, etc.). Also, as soon as a U.S. corporation begins to move sizeable amounts of money abroad, in either direction, a different level of bank reporting and oversight is triggered (KYC, etc.) In the legal sphere, U.S. companies doing business with one another are working in a well established body of Federal law, that governs and may supercede interstate commerce transactions, if they are in different state jurisdictions. If both companies are working in the same state, too, then they have an even greater commonality of practice on legal matters. This vastly reduces the complexity of contracts, and provides a

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