Introduction:
Located in the northwest of the Caribbean Sea, the Cayman Islands are 290 km away from the northwest of Jamaica. The average temperature is only 24˚C in Cayman Islands which is influenced by trade winds in the subtropical zone. English is the official and common language in Cayman Islands.
Economy:
Financial services and tourism represent the two major economic pillars, and their major trade partners include the U.S., the UK, Canada, and Japan. Financial services play an important role in their local economy. Due to such advantages as political stability, zero restriction on foreign exchange, highly confidential financial mechanisms, and tax exemption for non-local business, the Cayman Islands are one of the largest offshore financial center in the world.
Taxation:
Loose registration policies: Anyone aged 18 or over can register a limited liability company with a capital of only USD 50,000, and the capital verification of which is not required. Meanwhile, the company is not required to do any business in the registration area but to pay some annual management fees.
The Cayman Islands indeed live up to their true name as a no tax haven, as there are only import tax, industry registration tax, and some other simple tax. In 1978, the Cayman Islands were permanently exempted from tax obligations under a British royal decree, so no direct taxation is imposed on residents and Cayman Islands companies.
Registering a company in the Cayman Islands only requires one shareholder and one director, and they could be the same person, and information about the shareholder(s) is kept absolutely secrecy. Meanwhile, company registered in the Cayman Islands is an exempted company, which means there are no payable taxes.
Company Listing
Cayman Islands companies can be listed in many countries across the world, and they accept and welcome the Cayman Islands companies list for trading their stocks, such as in Hong Kong and Singapore.
Registration requirements:
The registered capital in general is USD 50.000, which may be divided into 50.000 shares at par value of USD 1 per share. There are no citizenship restrictions about shareholders in the Cayman Islands, and they can be natural person or legal person.
Requirements for a company name
There are no specific requirements on company names. Unless specifically approved, company names shall not contain such words or expressions as “trust”, “mutual fund”, “insurance”, or “reinsurance”.
Information shall be provided by the client:
To determine the name of the company;
To determine the business nature of the company;
To determine the shareholders of the company and their share allocation ratio;
To determine the number of shareholders or directors, and to provide copies of their identification card or passports, residential certificate, utility bills, or bank statements.
Procedures of registering a company in the Cayman Islands:
Company name search -> Complete power of attorney and agreements, and pay 60% of the total fees -> Apply for registration with the Cayman Islands by RICHUNG -> Sign registration documents -> Receive and fax the registration certificate to the client -> Deliver the certificate to the client by express mail at the expense of the client -> Lodge the duly signed registration documents with the registry office -> The client collects and maintains all information and documents about the company incorporated in the Cayman Islands.
Information will be provided upon incorporation of a company:
Registration certificate;
Minutes;
Company share certificates;
Company chop and common seal;
Articles of association;
Register of shareholders, directors, and company secretary.
Requirements for the second year of registration:
Submission of an annual return is not required.
The company is not required to submit its annual financial report to the Cayman Islands Government General Registry.
Registration of a company in the Cayman Islands takes twenty to twenty-five working days which exclude the delivery time.
