A nominee shareholder is a person, unrelated to the actual owner, who is officially registered as the holder of shares in an IBC. The purpose of the nominee shareholder is to shield the real owner of the offshore company from being publicly associated with the ownership of that IBC. If a nominee shareholder is contracted, a confidential legal document (a declaration of trust, nominee services agreement or similar document) would be issued by the nominee to the beneficial owner. Such document would confirm in writing the actual state of affairs – namely, that the shares are only held by the nominee for the benefit and on behalf of the beneficial owner, and that only the beneficial owner may dispose with these shares, and that only the beneficial owner is entitled to all benefits and profits from those shares.
Nominee shareholding services are routinely provided by Registered Agent firms to their client IBC`s. Nominee shareholder is an optional service. Dedicated in-house nominee shareholder entities would normally be included under the umbrella license of the Registered Agent firm and would be similarly regulated and accountable.
