The global economy saw its rise when many countries opened their doors to new citizens and allowed them to obtain a second citizenship. And when a person gets dual citizenship, a variety of avenues become available in terms of business opportunities, quality of life, better healthcare, access to education, and more.
Many foreigners opt to get a second passport by investing in the economy of a foreign country. And according to Eric Major, a CEO of a consultancy agency, 5 factors can influence your decision to invest in citizenship, known under the acronym of SMILE – Security, Mobility, Investment Opportunity, Lifestyle, and Education.
Before we get into understanding the application process, there are certain factors you need to consider when you invest in dual citizenship.
Below we’ll describe the most important ones, so you ensure you choose the right CBI program.
1. What Are Your Goals?
The key factor when applying for dual citizenship refers to your goals. What are you looking for with the second passport? Are you opting to expand your business globally and conquer new markets? Or to boost your ability to travel visa-free to more countries? Or maybe for better education and healthcare for your family?
Regardless of the several incentives that might have made you apply to a CBI program, you need to determine your main goals and the reason you are getting a second passport. Make sure you think ahead and consider what’s most important to you.
The CBI programs offer different opportunities, so for example, if you apply for the St. Kitts citizenship by investment program, you can have a whole new range of options regarding career, job opportunities, new customers, optimized taxes, and the opportunity to travel visa-free or with a visa on arrival to more than 160 countries.
The Caribbean countries have the lowest tax rates compared to the rest of the world, so make sure you’re well-informed before you apply to a certain program. And ensure that your goals align with the CBI program.
2. Citizenship Plans
Next are your plans regarding your residency in the new country. Are you planning to establish a residency in a foreign country now or in the near future?
You might want to live in the second country for a certain period, for example, when your children attend university, or when you want to spend your vacation abroad. Or just to change your lifestyle and relocate there permanently.
If you decide to relocate to the country permanently, make sure the lifestyle appeals to you in the long term. Inform yourself about the living costs, and the standard and decide whether you want to live in the suburbs or the center. All of these factors are crucial when changing your place of living.
3. Application Timeframe
The application process varies by jurisdiction. In some countries may last 3-6 months, while in others can take up to a year. Factors that can influence the speed at which your application is being processed are the type of investment you’ll deposit (whether you’ll invest in real estate projects approved by the government, in national funds, or open a business), the documentation, background check, etc.
If you want to get citizenship as soon as possible, then the application process speed could be vital in choosing the right CBI program.
4. What Are The Costs?
CBI programs are not cheap, and that’s a fact. The cost of the program will mostly depend on the type of investment you’re making. You can invest in government bonds, and real estate or make a one-time, non-refundable donation to government funds.
Remember that there are additional costs that need to be covered during the application process, like administration, VAT, legal, government disbursements, agency, and due diligence fees.
Another thing to consider when applying through the CBI program is to maintain the investments in the foreign country for a certain period. This period is determined by the government.
What Are The Requirements?
Ensure you are familiar with the application requirements before you apply for citizenship. Investors often focus on the financial requirement and put the rest at the back of their minds, thinking the funds are the most important.
And yes, it’s important to supply your application with the required amount of funds, however, the application process will be delayed or canceled if your funds are from mortgages or loans. Also, you need to have a clean criminal record, and you’ll be required to undergo a background check to acquire transparency of your financial and personal information.
Important! – This is all for application purposes!
While you’ve learned about the top 5 factors to consider when investing in dual citizenship, it’s important to learn more and inform yourself about the application process, the various CBI programs, and the latest news regarding alternative citizenship. For that purpose, you can check our blog!