One of the most commonly asked questions about the concept of an offshore company is if they are legal. Ultimately, the answer is yes. Individuals are able to establish businesses, legally, in other countries, and operate within the United States. While many may consider this a form of tax evasion, it is an effective way for individuals who are concerned about asset protection, revenue, and financial privacy to maintain their funds easily. There is certainly some moral and a political grey area that revolves around the concept of the offshore company. Many financial professionals have suggested that the offshore company model can be somewhat detrimental to the economy as business taxes fund plenty of public resources. But, ultimately, the practice is allowed and is not considered illegal. In fact, many politicians and other officials have established corporations internationally for asset protection. Additionally, some individuals may choose to have an offshore company to utilize the lower cost of labor. While not each offshore company will operate in the country they are established in; there are many that do utilize this out-sourcing to avoid the high cost of labor in the US. This is legal, as well, as it is considered the utilization of resources.