If you had involved parents like mine, you know how difficult it was to get some of the stuff you wanted as a kid. Growing up, kids tend to figure out which parent will give them what they want. Maybe dad is more open to giving you a little extra freedom, whereas mom is more sympathetic to cutting you slack with your girlfriend. It’s no secret children use this system to play parents against one another. And if dad won’t give you something, you ask mom, hoping they haven’t colluded to both deny you what you so desperately seek. I bring up this example because parents are our earliest form of government. They control what we do and tell us where to do and what to say. Fall out of line of whatever standard they set and you’ll be punished. But not all parents are the same. Some keep a tight lid on their kids’ social activity while more apathetic parents buy their high schoolers kegs for them to entertain their boyfriend for the weekend. Like the country we’re born in, we can’t choose our parents. We’re born and that’s that. There’s no debate. Yet as long as we were growing up and live under their care, our parents owned us. Kind of like the government wanting to own us because we were born between their designated stripes in the sand. I’m not dismissing the parent-child relationship. But I am proposing a simple solution to terminate the parent-child relationship you have with your government. After all, government is nothing more than a bunch of bureaucrats who have decided to control you. They didn’t even have to carry you inside of them for nine months. They want parental powers to pick up the phone in the other room and listen in on your conversations. They want to control where you go. It’s a constant power grab to be your new mommy and daddy once you reach adulthood. Diversifying offshore helps you eliminate the encroaching government power grabs of your liberty and your assets. It’s like having five sets of parents. If you could have ten parents, it’s likely a few would green-light practically any request. You could play each of them off of each other much more easily than you ever could just two parents who could achieve solidarity against your whims much more easily. W.G. Hill created the Five Flags Theory which formed some of the earliest tenets of Nomad Capitalist and the international lifestyle. The idea was that you could be treated better by shopping around different countries and finding the best places to take your business.
Just like your parents didn’t want you driving their car downtown, government doesn’t want you going offshore. They’ll both tell you it’s unsafe and it’s for your own good. But now that you’re a big boy or girl, you have the right to do as you please. That includes putting your stuff somewhere so Big Government can’t snoop through it or outright take it the way mom could go into your room. Singapore, for instance, is the parent that lets you do whatever you want with your money. They don’t want to take much of your allowance. If you want an offshore bank account, it’s a great place. It’s incredibly laissez-faire when it comes to capital. Just don’t ask Singapore to sip on a bottled water on the subway – they’ll say no. If you live in Europe, Andorra is a great place to go shopping. It’s a beautiful country in the Pyrenees, and they’ve built a reputation as a tax-free shopping destination for Spanish and French tourists. Cigarettes, electronics, fragrance, and much more is on sale compared to the much higher tax EU jurisdictions. If you have a big purchase to make, it’s worth driving there. But getting citizenship is an incredibly long process. Hong Kong is a great place, but quite expensive. You might not be able to live there, but it’s a great place to incorporate your business. If your company gets big and you find the Hong Kong corporation audits too much to handle, you can “import” your offshore company domicile to the Seychelles and have practically no upkeep requirements. Despite being a retirement haven for Europeans for years, Paraguay might not be on the top of your list to move to. Yet the South American country has some of the world’s cheapest land – Monsanto and (allegedly) the Bush family bought up gobs of it for pennies – and getting a second passport there is a quick, straightforward process. People tell me that leaving the United States is futile because there’s no perfect place on earth. Indeed, no place is perfect. However, by leveraging the best aspects of multiple countries, you can achieve more freedom than almost any human being in recorded history. Governments are inherently opposed to freedom, but they allow certain freedoms to attract things they find desirable. The United States, with its implementation of laws like FATCA, has said it could care less about foreign investment. It’s visa policies don’t encourage tourism, especially from fast-growing economies. However, other countries do like those types of things. Treating the world like a buffet where you only eat the freshest, most delicious foods is the answer to escaping tyranny and protecting your assets. What one country won’t protect, another will. No one place gets all of your business and they have to work hard to keep it. That’s the free market at work. Emotion shouldn’t get in the way of business dealings. Protecting your liberties and your capital is a business deal where an unsolicited party called “government” tries to stop you. from succeeding. To say that not giving in to their strong-arm tactics to strip you of what you have is “unpatriotic” is nothing more than being emotional about your nationality, and letting it get in the way of business.