Entrepreneurs and businesspeople need frequent travel without border limits. Furthermore, the type of passport they possess has a strong bearing on where in the world they can go, and with whom they can do business. This limits opportunities for investments, business partnerships and tax efficiency. The second passport, however, can help get over this problem.
Many countries; however, welcome citizens from other nations to hold dual nationality with them in return for real estate investment or donation. These second citizenship schemes can open a world of opportunity.
Here are five key benefits of having the right passport– and how it can help you reach your international business goals due to Savory & Partners, one of the largest companies in the Middle East that provides citizenship-by-investment programs:
1. Visa-free travel
A second passport gives you the ability to freely travel the world. For example, holders of a St. Kitts and Nevis passports can travel freely to approximately 140 countries, while citizens of Dominica can get visa-free (or visa-on-arrival) access to around 127 countries. EU passports give you access to more than 160 countries visa-free or visa-on-arrival, or in the case of Portugal, you gain access to more than 175 countries, hence the passports’ high ranking.
2. Tax benefits
Any potential tax benefits of second citizenship will depend mainly on the country you are from and your state of second citizenship. Some countries, particularly in the Caribbean, offer much lower tax rates than many developed nations. Therefore, becoming a second citizen of such a nation may present opportunities for higher tax efficiency.
3. Financial benefits
Second citizenship not only allows you commercial access to the country of your second nationality but in most cases, much more as well. The second passport can open a host of business and investment opportunities. However, some countries do not accept foreign investment from certain nations. Thus, foreign nationals will not be able to take advantage of good interest or exchange rates. They may not be able, too, to invest in lucrative property markets, such as those in Europe.
4. The perfect solution for political and economic instability
Should the country where your business is based undergo any significant financial, social or political cataclysm, a second citizenship offers you the option of relocating your assets to another more stable nation.
Besides, having second citizenship can provide you with an escape route from any potential conflict, civil unrest, or travel sanctions imposed upon your home country.
5. Greater access
One of the main advantages of second citizenship is the more significant access it gives to millions of potential customers. As many countries only allow their citizens to do business, obtaining second citizenship means you not only can you do business in that state, but you can also trade with the many others that your country of the second nationality gives you access to– essentially becoming a gateway to the broader business world.
While obtaining second citizenship can be complicated, thus, require a substantial investment along with professional guidance, it can be a little price to pay for the potential benefits on offer. It opens up a whole new world to both individuals and businesses.
If you want to find out more about how you can set up a customised residence and passport strategy as an investor, be sure to sign up on our website or call our team on +971 (0) 4 430 1717.