In order to fully understand the differences between banks and other financial institutions, let us first discuss the meaning of financial institution. You can think of this term as an umbrella encompassing many businesses and organizations, including banks. In general, financial institutions can be divided into two groups: non-banking financial institutions and banking financial institutions. The first group consists of various institutions, including leasing companies, investment banks, finance firms and insurance companies. Banking financial institutions, on the other hand, include banks whose main purpose is to make loans and accept deposits. We can take a closer look at both of the categories.
Banking financial institutions Banks, more precisely – retail or commercial banks, fall under the category of banking financial institutions. A bank is a financial intermediary with a purpose to act as a middleman between suppliers of funds or depositors and borrowers. The main task of a bank is to accept deposits and use these funds later on to offer loans to its customers. Another duty of a bank is to act as a payment agent, which is done by offering a host of payment services, such as credit and debit cards, direct deposit facilities, cheques and bank drafts. A bank makes money by investing the deposits in financial securities and assets, but mostly by lending the funds further to its customers. The primary reasons for depositing money in banks are convenience, safety and interest income.
Non-banking financial institutions The other type of financial institutions includes investment banks, insurance companies, investment funds and other. A range of financial services offered by non-banking financial institutions differ from those of a bank. The main difference between both is that non-banking financial institutions cannot accept deposits into savings and demand deposit accounts, while it is one of the core businesses for banking financial institutions.
Meanwhile, they offer a variety of other services. For example, investment banks offer services to their clients such as underwriting of debt and share issues, corporate advisory, securities trading and derivative transactions and other investment services. Insurance companies offer a protection against specific losses in exchange for an insurance premium. Pension and mutual funds are savings institutions where investors are able to invest their funds in collective investment vehicles. There are financial services that are provided by both banking and non-banking financial institutions, such as granting loans, financial consultancy, leasing of equipment and investment in financial securities.
Examples of non-banking financial institutions Breder Suasso is a non-banking financial institution, which core business includes providing its clients with swift and secure cross-border payments by opening a multi-currency account (for which a face-to-face meeting is not required). Other services include internationally accepted debit card and financial advisory for both corporate and private clients. The company's main selling points are confidentiality, security and convenience of cross-border payments.
PaySera is a Lithuanian-based non-banking financial institution offering a free-of-charge multi-currency account and a possibility to transfer funds to more than 10,000 banks in over 180 countries around the globe in less than 30 minutes. Additionally, the company in cooperation with more than 5000 e-shops offer a Paysera Checkout payment method for a faster transfer and a chargeback of up to 1% of the money spent. Company's main selling points are fast and accessible e-environment, around the clock service and highest level security.
A value-added tax (also known as VAT) is levied in some countries from selling/purchasing certain goods and services. Generally, it can be defined as a consumption tax estimated and charged based on the value being added. Usually, VAT is considered destination-based, as application of VAT depends on the jurisdiction of the seller and purchaser. It must be noted that VAT provides almost 20% of total tax amount charged worldwide.
Whenever you choose to do business in the EU, you are surely to face the question of VAT number registration. VAT questions are complex. Nevertheless, all EU Member States follow EU VAT Directive, thus each EU country worked out its own legislation towards VAT requirements and reports.
As soon as the company is registered for VAT number, it must regularly file its VAT report, which will contain information about the incoming and outgoing invoices, whether those were issued / received by other EU counterparties or non-EU partners or not. Most importantly, all deals must be declared in the VAT report, including invoices where 0% VAT was applied.
Depending on the purpose of the website, there may be different characteristics that should be pointed out to form the technical basis of the website. For example, if a company wants to promote some new products that are available in the market in order to increase sales by selling the goods online, then an intelligent content management system is required to make the online sale efficient. If the goods are exclusive and above the average price compared to other prototypes on the market, the website content must reflect the level or standard of the products.
This means that the website must have an attractive interface. If the range of products is quite wide, then the website must not only have an attractive interface, but also a fairly intuitive design to provide easy navigation for potential customers. Therefore, the website must contain tools and features that range from attractive design, carefully selected and arranged content and promising online marketing tools as it is necessary to make goods salable.
Essential characteristics of a good company website When it comes to the look and feel of a website, the first thing to do is to choose the domain name of a successful website so that people can easily recognize it. SEO would also be helpful as Google recognizes the content and structure of a website when it ranks for search. In this case, the entire content of the website can be wireframed. Social media integration can make the website recognizable and also boost SEO: Twitter, Pinterest, Facebook, Instagram etc. This can also be accompanied by creating a mobile friendly or mobile optimized version of a website.
Clear navigation is another feature that a good business website must have. The navigation strategy is a call to action that defines what website owners expect from users on the website. For example, place an order, send an email, become a member, visit the business, get services a business may offer, etc. When it comes to standard website content, there are a few features that they must contain, e.g. B. Logical roadmaps. For example, from a visual point of view, the website must necessarily contain a main page with sections that describe its content.
Effective Website Content In general, the website may contain information about the company, its team members or historical background, terms of sale of goods or services, shopping sections such as shopping cart or basket when the website offers its customers countable items that can be purchased online, support section, Contacts section, which may include a list of addresses and phone numbers, and an illustrative section, where image galleries, video galleries, and/or audio files may be placed, stored, downloaded, and/or viewed.
In addition, the site may contain Frequently Asked Questions (FAQ) or "How To" sections, feedback section, special offers, upcoming news or events, popular or useful articles arranged as a blog, notes, or even a journal.
Website building platforms as an alternative to the traditional approach to website building Nowadays, there are some automated website building platforms available on the Internet, which can provide a necessary help for those who want to have pre-made patterns of image galleries and image box layouts, text box templates and layouts, title font designs and other useful tools for the visual presentation of the website. The most popular of them are called WIX.com, GoDaddy, Weebly, SiteBuilder.com, Web.com, BigCommerce, etc. Usually, these platforms have demo versions that can easily be used to get started in creating a new, stunning website for free.
Of course, there are some limitations when it comes to website building features. However, each registered user can subscribe to a wider range of technical means to achieve perfection. Such website builders are a great alternative for long meetings with graphic designers, exhausting discussions with many disagreements, conflicting attitudes and other distracting and unnecessary engagements. Website UI can be built on site very easily, taking all the hard work away while creating a beautiful and functional website design.
In a joint-stock company, the share capital is made up of the total contributions of the shareholders. Shares may be subject to public trading, providing an incentive to investors, who are needed for further business development. In a private company, stock can be transferred to anyone the current shareholder chooses, and usually shares are transferred under the terms of a share purchase agreement. A public joint-stock company‘s shares can be freely traded on the open market through a stock exchange, and so the list of shareholders is not fixed and can be changed in a flexible manner.
Major industries in the country are agriculture, forestry, fishing, logs and wood articles, manufacturing, mining, construction, financial services, real estate services, tourism. The Industrial Production growth rate of New Zealand is 2%.4.9% of population in the country are unemployed. The total number of unemployed people in New Zealand is 232,730. New Zealand produces 42,910 GW/h of electricity each year. New Zealand emits 7.1 metric tons per capita of CO₂. On average, you would pay 1.71 USD for one liter of gasoline in New Zealand. One liter of diesel would cost 0.78 USD.
As each individual result is based on the background and experience that created it, it may be helpful to take a quick look at already established startup companies in that geographic area before starting to explore the most popular and effective jurisdictions for incorporation in to describe Asia.
Asia is leading the growth in technology investment, defying the dismal numbers for other parts of the world with economic powerhouses in China and India. The most popular business areas or business trends in this region today are: E-Commerce, Marketplaces, Financial Technologies, Transportation, Biotechnologies, Computing Technologies, Internet Infrastructure and Enterprise Business Solutions Area. These sectors accounted for about 30% of VC investments a few years ago.
Market leader in Asia Each of these areas has its leader in terms of business performance and funding. For example, e-commerce site Lazada was valued at $1.3 billion with total funding of $686 million. Ride-hailing cab application Grab has received $680 million in funding. There are other Asian startups that have really great potential: Zalora (e-commerce sector, fashion industry); PropertyGuru (real estate business); Elevenia (e-commerce area, marketplaces and platforms); M-DAQ (fintech area); Tokopedia (e-commerce section, consumer-to-consumer marketplace); Qoo10 (e-commerce section, business-to-consumer marketplace); Capillary Technologies (cloud-based customer loyalty platform for retailers); Aslan Pharmaceuticals (biotech company); IcarsClub (peer to peer car rental platform) and other companies. Most of these startups are formed in Southeast Asia in countries like Singapore, Malaysia, India, China, United Arab Emirates and Indonesia. These can be considered as the top 6 jurisdictions for company formation in Asia.
Singapore This country has one of the best startup ecosystems in Asia Pacific. Today, around three and a half startups are active there. It is a well-known business center that is home to the headquarters of Uber, Facebook and Google. Therefore, the main areas of development include e-commerce, social media and gaming. It is a perfect place for e-commerce development as 9/10 of its citizens have access to a smartphone. Only half of Singapore's potential startup clients live abroad.
Indonesia This jurisprudence is more cooperative compared to other countries. There is also a large flow of investors in the country entering the market. For example, Jakarta gathers investors around the world focused on e-commerce, travel and lifestyle.
Malaysia The country has had special programs for startups since 2013, which support them and help entrepreneurs by equipping them with skills, networks and the necessary knowledge. These programs are the largest startup accelerators in this region. It is also perfect for developing and nurturing foreign talent. Hence, Malaysia has a really supportive government. Incidentally, the cost of living in Malaysia is significantly cheaper than in Singapore. Another advantage is that the country has a good test market, which is slightly larger than the Singapore market.
China Beijing is one of the top startup cities in Asia along with Hong Kong, which is seeing global growth in startups across various industries such as fintech, hardware, and e-commerce. The second has about 2,000 small and large startups. China also has a tax break program for startups. Annual tax deductions are around $1,500 million. They are usually awarded to companies set up by previously unemployed workers and university graduates. Currently, the country operates about 1,500 business incubators created by the Ministry of Science and Technology. It is conducted as part of the 27-year Torch program, which provides policy, consulting and financial services to high-tech companies.
India India has about 5,000 operational startups established in cities like Bangalore, Delhi, Mumbai and others. New projects are actively funded, consolidated, growing financially and evolving in the technical sense. India is making a revolution in this business field that is fundamentally changing the way markets work today. There are some estimates by the Internet and Mobile Association of India showing that India has 500 million internet users worldwide in 2017. This place also has a lot of high-profile talent, a larger number of investors willing to invest in potentially successful projects, rather cheap real estate prices
Colombia is mainly located in northwestern South America with some areas in Central America. Colombia borders Panama, Venezuela, Brazil, Ecuador, and Peru, while its maritime border borders Costa Rica, Honduras, Nicaragua, Jamaica, Haiti, and the Dominican Republic. Colombia is the third most populous country in Latin America and almost five times the size of Great Britain.
Colombia has a relatively advanced and diverse economy, as well as economic and political stability. Entrepreneurs have numerous opportunities in various industries, especially in niche areas. Major industries include textiles, clothing and footwear, food processing and beverages, petroleum, chemicals, cement and automobiles, coal, gold and emeralds, and household appliances. Main exports are coal, crude oil, coffee and non-ferrous metals.
Colombia is home to numerous local and multinational companies. Below is the list of the top five companies in Colombia.
Ecopetrol Ecopetrol, formerly known as Empresa Colombiana de Petroleos SA, is the largest company in Colombia and its main activity is oil and gas exploration and other activities. As a result of efficient operations and continued growth, the company has risen to the top of the Fortune Global 500 as one of the largest companies in the world by revenue. In 2012, Ecopetrol was the 346th largest company in the world according to the Fortune Global 500 Top. It was also one of the top 25 oil companies in the world and one of the top 4 oil companies in Latin America. Since then, the company has lost some of its revenue year after year and, with sales of nearly $16 billion in fiscal 2016, was not included in the Fortune Global 500 list of the largest companies in the world, but is currently the number 559th company in Forbes Global 2000 top.
The largest company in Colombia was founded in 1921 and is currently headquartered in Bogota, the capital of Colombia. Exploration is one of the Company's primary activities. It has made numerous significant advances in the exploration segment, particularly offshore prospecting for hydrocarbons. Some of them are Rydberg with Shell and Nexen, Lion with Repsol, and part of the Orca-1 discovery team, the first discovery of its kind in the deep waters of the Colombian Caribbean. Other business activities include manufacturing, innovation, science and technology, transportation, supply and marketing.
Group Aval In recent years, Grupo Aval has managed to grow in terms of revenue, surpassing Bancolombia to take the second place at the top of the largest companies in Colombia. Grupo Aval is a holding company headquartered in Bogota, Colombia, which primarily operates in Colombia and Central America. The Company is engaged in a variety of activities including banking, telecommunications and real estate. The holding is controlled by Luis Carlos Sarmiento, who directly and indirectly owns over 90% of the company's shares.
Grupo Aval owns BAC-Credomatic, which operates in Guatemala, El Salvador, Mexico, Panama, Costa Rica, Honduras, Nicaragua and Florida in the United States. In addition, the holding company owns enough shares in other companies to control their operations. Most of them are financial institutions in Colombia: Banco de Bogota SA, Banco de Occidente SA, Banco Popular SA, Banco AV Villas SA, etc.
Grupo Aval ranks 693rd in the Forbes Global 2000 peak with $8.5 billion in revenue and figures in many other Forbes-based peaks: #88 in Top Regarded Companies, #377 in Assets, #899 in Profit and # 1289 in Market Value.
Bankcolumbia With 2016 operating income of nearly $7 billion, Bancolombia is the second largest commercial banking financial institution in Colombia and one of the largest in Latin America. The bank was founded in 1945 and is currently headquartered in Medellin, Colombia. Bancolombia is a full-service bank offering a wide range of financial products and services to a diversified corporate and retail customer base not only in Colombia but also in countries such as Panama, Puerto Rico, El Salvador, Peru, Brazil and the Cayman Islands , the United States, Australia, Spain, Sri Lanka and Malaysia. Bancolombia operates in nine segments: Banks in Colombia and Banks in El Salvador, Trust, Investments, Leasing, Pensions & Insurance, Brokerage, Offshore and All Others.
Banco Davivienda Banco Davivienda is a Colombia-based bank founded in 1972 and with headquarters in Bogota, Colombia. It is currently a part of Grupo Bolivar, the third biggest financial institution in Colombia by profits and assets. Banco Davivienda offers financial services to corporate and individual customers as well as the rural sector. Banco Davivienda currently is number 1374 in the Forbes Global 2000 top with 3.3 billion USD.
Grupo Bolivar Grupo Bolivar is a holding company with over 70 years of experience and operating in various sectors, such as financial, insurance and construction. Interestingly, although Grupo Bolivar had a slightly bigger amount of revenues than Banco Davivienda, Forbes has placed it below its daughter company – it takes 1546th place in Forbes Global 2000 top.
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