Contracting an Employee for a Specific Assignment
If you would like to make use of a contractor’s expertise abroad for a specific assignment or if you would like to complete a one-time assignment in another country we can help with all of the necessary financial operations.
Because there is no single solution when it comes to contracting we first ask you a number of questions in order to clarify your specific situation (such as the duration of the assignment, the countries of origin and destination, etc.). All of these aspects will help us identify the best solution for your contracting needs. Then using our various structures we can undertake worldwide factoring, issue pay slips including deductions (for Switzerland, Italy, Spain, the United Kingdom, etc.) and manage your contracted employees.
Please consult our case study below on freelance contracting in order to understand this process:
Caution: the proposed structure may in some cases be considered tax fraud, tax evasion or an abuse of rights. The diagram above may be illegal in some countries, and while it gives a quick overview of international practices, it cannot be considered definitive or applicable on the basis of the illustration presented. If you are interested in such an setup, you must first consult a qualified advisor.
Invoice Service Companies
International contracting is frequently used by offshore companies to facilitate transactions with foreign partners. This method often makes it possible to solve logistical and fiscal constraints applicable to transactions. Generally speaking, there are two different types of consultancy: employee contracts and corporate contracts (contracting a legal person rather than a natural person).
Imagine the following scenario: Your company intends to sign a trademark license agreement with a European client for the use of a concept for hosting a special kind of event. The agreement indicates that your client must pay €2,000 whenever they host this event. On average, the client organizes three such events per month.
What is the Best Solution?
- First we draft a contract between your client and one of our European entities which will be paid by your customer, i.e., €6,000 per month (three events at €2,000 each).
- Secondly, we draft a contract with you stating that you are in fact the beneficiary of this amount (as you are the trademark license owner for the event concept).
- We can then pay you 90% of the amount paid by your customer, with a maximum tax of 10%.