That's because the domestic environment was somewhat different from that of foreign countries, and China's policies were also different from those of other countries, so large companies chose to register abroad.

However, with the improvement of domestic policies, some large companies have indicated that they will return to the mainland A-share market, such as Baidu, if domestic conditions permit.

Our country was too backward in the past, but now it is catching up in an all-round way. I believe the motherland will get better and better.

These large companies are also registered in the Cayman Islands because:

I. Tax incentives

1978, the Cayman Islands obtained a royal decree, which stipulated that it would be exempted from taxation forever. Therefore, there is no direct tax in the Cayman Islands, and no direct tax is levied on individuals, companies or trust industries. Therefore, it has also won the reputation of "tax haven". It is also the fourth largest financial center in the world.

Second, service advantages.

World-renowned law firms, such as Maipuda Law Firm, have set up special offices and special China business groups in Cayman to help Hongkong and mainland companies formulate offshore corporate strategies.

3. Flexible capital flows

There is no foreign exchange control in Cayman Islands, which makes the funds of enterprises in international transactions more flexible. At the same time, the company does not need to carry out substantive business in the place of registration, and only charges a small amount of annual management fee. Offshore companies in Cayman Islands do not need to hold annual shareholders' meeting, which is more convenient for company management and low in management cost.

Fourth, the approval process is loose.

The Cayman Islands is relatively relaxed in the approval process such as listing approval and annual declaration.

Verb (abbreviation for verb) confidentiality of information

The policy environment in the Cayman Islands is relatively relaxed, and there is no need to go through complicated administrative examination and approval, and companies do not have to spend too much money on administrative relations. There are few administrative processes, which reduces the possibility of the company's trade secrets leaking. A company registered in Cayman Islands only needs one shareholder and one director, and the shareholder director can be the same person, and the shareholder information is absolutely confidential.