Mauritius is located in the Indian Ocean, off the coast of East Africa and near Madagascar. Additionally, Mauritius undoubtedly has a detailed accounting, legal, banking infrastructure, and a high level of anonymity for investors. These factors largely contribute to why Mauritius is rapidly growing as a financial hub and is a terrific option to consider when deciding to start an offshore business.
Let’s have a glance at the working of Mauritius Company Formation and its processes.
What Are the Advantages of Starting an Offshore Company in Mauritius?
Opening an offshore company can be a critical decision; hence, choosing a jurisdiction with maximum facilities and policies is important. Therefore, a jurisdiction with incentives like Inland Container Depot (ICD) and pro-business policies is highly preferable. Mauritius, in this regard, fulfills the criteria of being a highly preferred jurisdiction all over the Globe. Some other benefits that Mauritius offers are:
- Political and Economic Stability
Mauritius is also known, by some, as the ‘paradise’ due to the prevalence of peace and stability in all aspects. It doesn’t fall into the category of countries with frequent civil unrest and economic instabilities. Foreign investors have shown high regards for trust in Mauritius, and thus it makes the jurisdiction highly favorable for you.
- Ranked in Ease-Of-Doing Business Report by World Bank
Mauritius provides laws and policies that are highly flexible and favorable for investors, leading to high economic growth in the jurisdiction. An example of such policies can be zero corporate tax for companies running their operations from other countries but registered in Mauritius. World Bank’s Ease of Doing Business report ranks Mauritius at 20th.
- Financial and Business Hub
Mauritius, a member of COMESA, SADC, and IOR-ARC and being in bilateral trade agreements with many other nations, stands out as a perfect opportunity to grow your business. Incorporating your business in Mauritius opens the door to a huger market besides that of East and South Africa. As a recognized business hub, Mauritius is a noteworthy jurisdiction to consider when deciding on an offshore company formation.
- Tax Incentives
Mauritius offers numerous tax incentives for offshore companies. One of the most renowned ones is zero corporate tax incentive. Additionally, the jurisdiction doesn’t have any withholding tax on dividends, royalties, and interests that are paid outside Mauritius.
How to Register: Opening an Offshore Company in Mauritius?
The registration process in Mauritius can be challenging for some investors. Therefore, it is advised that you consult a team of experts to help you throughout the procedure. The experts for Mauritius Company Formation are not only available for registration and documentation assistance but also for suggestions about availing of the facilities in Mauritius and crafting strategies for your enterprise.
Once you have finally decided about registering a company in Mauritius, the first type is to decide the kind of enterprise you want to form. It can be a one-person company (OPC), limited liability company (LLC), limited liability partnership (LLP), a public limited company (PLC), or a private limited company (PLC). Next, you need to gather the following documents for further procedure.
- Name of the company.
- Details of the company director and secretary (full names, service address, and residential address.
- Business occupation of directors.
- Details of the business shareholders.
- Registered office of the company.
- Business activity and location.
Once the documentation is completed and approved, the Registrar of companies will grant you a certificate of incorporation and update your details on the Mauritius Revenue Authority, Minister of Social Services, and Local Authority.
The final steps towards the opening include the investigation of your enterprise by the Police Department and Sanitary Authorities, information about any additional fees or permits involved, and opening a bank account. After this, you can finally initiate all your operations as an offshore company in Mauritius.
Mauritius is a rapidly growing and economically stable jurisdiction, highly favored recently by foreign investors. However, although the registration process is fairly easy, documentation and preparation might be rigorous for some investors.