Structuring Your Business for International Operations

Operating between Africa and Canada requires an optimized legal structure: protection, taxation, and flexibility. LEXAFRIC guides you to the ideal solution.

1. Key Objectives
   • Minimize taxes (DTAs, transfer pricing)
   • Protect assets (limited liability)
   • Facilitate flows (repatriation, visas)
   • Compliance (GAAR, CRS, BEPS)
2. Recommended Structures Canadian Subsidiary When to use: Local operations, credibility Advantages: Access to incentives, PR via PNP Cost: 2,000–5,000 CAD Mauritius / Cyprus Holding When to use: Dividend repatriation, IP Advantages: 0–3% effective tax, multiple DTAs Cost: 10,000–25,000 € Branch Office When to use: Market testing, no PR needed Advantages: Simplicity, no minimum capital Cost: 1,000–3,000 CAD JV (Joint Venture) When to use: Local partnership, regulated sector Advantages: Shared risk, network access Cost: 5,000–15,000 CAD
3. Quick Checklist
   1. Country of origin → DTA with Canada?
   2. Activity → IP, services, or goods?
   3. Investment → < 500K or > 1M CAD?
   4. Team → Local or expatriate?
   5. Exit → Sale or succession planned?
4. Mistakes to Avoid
   • Holding without substance → GAAR
   • Branch without tax registration → fines
   • Subsidiary without local agent → blockage

Conclusion: Structure with LEXAFRIC A good structure = -15% taxes and +30% speed. Free audit in 48h.