What are offshore companies and why create them?

I have heard about offshore companies, but I do not quite understand what their advantages are. Why create them? Is it beneficial for business or just a way to avoid taxes?

Offshore companies are becoming a popular tool for entrepreneurs due to the advantages they offer. The key advantage is a reduced tax burden, which is especially relevant for international business. Companies registered in low-tax jurisdictions have the opportunity to reduce operating costs and increase profits. Offshore companies https://www.offshorecorptalk.com/ also ensure the privacy of owners, since in some countries, information about owners is not subject to public disclosure.