Incorporating a Domestic Company
Here are the usual benefits of incorporating a company in the Bahamas:
- It limits your liability – by incorporating your company you reduce the opportunity of exposing your personal assets to claims brought about by operating a business. If the company becomes liable, in most instances, your exposure is limited only to the extent of your shareholding in the company. An incorporated company gives your business the posture of credibility.
- Raising Capital becomes significantly easier – capital can be raised by distributing shares, investors and lenders are more willing to lend to incorporated companies, as incorporated companies are better structured than sole proprietorships.
- Longevity of the business – incorporating the company in the Bahamas allows for perpetual existence of the company. When a sole proprietor dies the business ends – this is not the case for incorporated companies.
- Government fees – Name Reservation- $25
- Incorporation (capitalized up to $50,000 (Filing fee) – $360
- Incorporation (capitalized over $50,000 (Filing fee) – $1,000
- Express Incorporation (within 1 hour) – add $500
- Modification of the Memorandum & Articles of Association (Change of Name – $125
- Amendment and Restatement of Memorandum of Association – $100
- Amendment and Restatement of Articles of Association – $200
- Certified Copy of the Memorandum & Articles of Association – $50 each
- Certificate of Good Standing- $50
- Certified Copies -$4/page
- Additional Costs (not quoted include company seal)
Stamp Duty Charged
- On companies with capital of $5,000 or under – $100
- On companies with capital above $5,000 at every additional $1,000 or fraction thereof – $6
- Attorney’s fees Bahamian Owned Company- B$1,000
- Attorney’s fees Non-Bahamian Owned Company – B$1,500
Companies must be maintained on an annual basis so that it remains on the Company Registry in good standing.
Annual Maintenance Expenses
The minimum maintenance expenses in connection with each calendar year amount to the following:- Annual Fee payable to the Registrar General of The Bahamas on 1st January each year:
- (Bahamian owned) – B$ 350.00
- (Non-Bahamian owned) – B$1,000.00
Our professional fee for:
- maintaining the Registered Office and the Company’s statutory registers;
- for drafting or perusing the Minutes of the Shareholders’ Meetings;
- for preparing and filing the Annual Statement;
- for services offered by our nominee Shareholders (if any) ………………… B$600.00
We require a retainer of B$1,900 to proceed with incorporation and if we are to also carryout annual maintenance a retainer of B$2,500.00 on account is required.
We suggest that the retainer be wire transferred to our account – Contact us for wire transfer instructions. You may also use direct deposit, we can provide you with the appropriate bank details. Please contact our Firm at (242) 677-5265.
We are required under the provisions of the Financial and Corporate Services Providers Act 2000 to have the following information and/or documentation on file with respect to each beneficial owner of every company we represent:
- Full details of the names, addresses and contact details, including telephone and facsimile numbers and electronic addresses;
- Copies of the relevant pages of the passports of each beneficial
- Details of the principal place of business;
- Two sources of reference which provide adequate indication on the reputation and standing of each beneficial owner.
Time Required to Incorporate a Company in the Bahamas
We can normally incorporate a company that is to be Bahamian owned within three to seven days however a company that is to be non-Bahamian owned requires two weeks’ notice to effect the incorporation. Obtaining the necessary governmental approvals must always be considered and can result in an extension of time stated.
Here is what you must provide us concerning your proposed company
- The aim of the company and where will you operate your company (in The Bahamas or elsewhere);
- If one or more of the shareholders are non- Bahamian, the company must be registered with the Exchange Control Department of the Central Bank of The Bahamas;
- Non-resident status ought to be granted by the Central Bank, to companies owned by non-Bahamian and conducting business outside of The Bahamas; being designated a non-resident allows this company the ability to operate $US and other foreign currency accounts without reference to the Central Bank of The Bahamas’ Exchange Control Dept.;
- If the company is to conduct its business activity in The Bahamas, it will be given resident’s status and will be permitted to operate foreign currency accounts, but with approval from the Central Bank of The Bahamas’ Exchange Control Dept. for approved purposes. A non-Bahamian can apply for approval status for his investment in the company.
- Proposed Names of your company;
- Names, addresses and occupations of the proposed shareholders (minimum of 2) our nominee shareholders will be initial names used for incorporation; however, the true beneficial owners must be provided for exchange control purposes;
- Names, addresses and occupations of the proposed who need not be ordinarily living in The Bahamas;
- The desired Authorised Capital of the Company and the number of Shares into which the Capital is to be divided.
- Any further details are corporate Structure that would be of benefit to us as we assist with your company formation in the Bahamas.
Please address all inquiries to: Yvette C. Rahming:
Tel.: (242) 677-5265 or 6