Newcastle FN 300 – As an Executive at the Canadian
As an Executive at the Canadian-based company Forbex inc, a software company that sells and provides it’s services online. . Forbex software provides a full suite of tools to help customers organize their operations, staff and clients, as well as manage their financials and communications. Working with the top-notch team you’ve assembled and the business skills you’ve learned, you and your team have turned your company into a viable going concern. In fact, sales in Canada have quadrupled in the past quarter and you are now seeing significant interest for your product from all over the World. After a lot of hard work Forbex is most likely entering a hyper-growth situation.One of the challenges you face is managing significant new sales from abroad. Your Merchant Account provider (merchant account providers processes credit card transactions) requires you to open a foreign-based subsidiary in order to process sales outside of North America. If you set up in Asia and South America your account provider will be at a considerably higher rate, between the 2.95% – 3.95% range. If however you were to open a subsidiary in an “offshore” jurisdiction such as Belize, British Virgin Islands, Isle of Mann, or Ireland you would receive the lower rate in all regions. You expect to be processing 10’s if not 100’s of millions of dollars in transactions annually within 3 years.Analyze British Virgin Islands and address key business and economic considerations :1-globalization,2-comparative advantage,3-foreign exchange and risk strategies,4-taxes,5-intellectual property rights/protection,6- political and policy direction,7-country risk/freedom.the end goal of the case is to justify if BVI is a suitable offshore jurisdiction. The stimulus are favored merchant account rates and growing worldwide sales3 to 4 double-spaced pages 12PT font + 1 reference page .APA style.reference articles and list the sources in the reference section. If Internet sources are used, include the (URL) in the reference section.
