The offshore jurisdiction of the Cayman Islands is an English-language dependent territory of the United Kingdom, located between Cuba and Central America. It has 2 international airports (George Town, Cayman Marriage). Thanks to this infrastructure, business is booming here.
There is no taxation here. The economy of this jurisdiction is highly dependent on a tourism, financial services are important for registering the offshore on the Cayman Islands.
Registering a Cayman offshore: countries, the foreign investment
It is a world offshore banking center, about 226 bank branches, deposits in the amount of approximately 1,433 trillion dollars are here. A Caymanian dollar is fixed against the US dollar at KYD1,00 to 1,20 US dollars.
In 2001 this jurisdiction were praised by the FATF for their considerable efforts to implement forty recommendations governing money laundering. Since 2002, compulsory licensing for financial companies was introduced.
Cayman’s economy
Having decided to establish an offshore on the Cayman Islands, pay attention to the economy. It has important economic platforms like a tourism (70% of GDP), financial services.
The government worked 25 years to develop Cayman in a higher financial jurisdiction. A banking, the insurance, a trust management are key sectors for setting up a Cayman commercial firm.
The offshore business environment
Business, communications infrastructures are of high standard. The Cayman offshore zone meets all the requirements of the Financial Action Task. Licensing of international business in the Caymans is carried out in accordance with a legal legislation, a tax policy. Obtaining trade permits in the Cayman Islands is possible through the Department of Immigration's Trade and Business Licensing Board.
Only residents/enterprises or firms, controlled by them, are eligible to obtain a license in the Cayman. Non-residents issue licenses in accordance with the Law on Local Companies.
Types of offshore companies
Since 2011, commercial organizations have the right to hold treasury shares, improve existing reserves, including mergers / consolidations.
Deciding to start an entrepreneurial activity in the Cayman Islands, please note, that there are 4 types of enterprises:
- ORC;
- ONRC;
- the Exempt Company (EC);
- ELDC.
It is possible to register a Cayman commercial organization in 1 day. You can also buy a ready-made Cayman company. For this you need at least 1 shareholder (a residency is not important). The minimum capital, an audit are optional. It is also necessary to register an office in Cayman.
Establishment of a resident company in the Caymans:
- To open a Cayman ordinary resident company, local business is required.
- Only registered shareholders are allowed. The annual meeting, the safety of the register of participants - these are mandatory conditions.
- The company name must end with Ltd or Limited.
- It is necessary to submit the list of shareholders to the Register annually in January.
- A registration fee is paid at the registration.
The registration of the Cayman Exempted firms:
- It is not allowed to use Ltd, Limited;
- They has the right to issue bearer shares;
- A conference of headmasters is a prerequisite;
- Lists of sharers are optional;
- They can obtain exemption from tax duties.
Annual payments:
- 600 KYD for capital less than 42 thousand dinars;
- 900 KYD from 42 001 to 820 thousand dinars;
- 1884 KYD from 820 thousand dinars to 1,64 million;
- 2468 KYD over 1,64 million dinars;
The establishment of a non-resident firm:
Such organizations should not engage in any activity in this jurisdiction. Basically, this form refers offshores. A min capital is 42,000 dinars.
The registration of a Cayman EC with a limited duration
- the activities of such an organization are possible for a period of 30 years;
- there is a list of special conditions, in connection with which activities of the company can end earlier, than the originally specified time;
- a minimum number of participants is 2;
- the Charter may stipulate, that shares cannot be transferred without the consent of all shareholders;
- a management can be carried out by sharers or transferred to the board of directors for decision.
- the name should include “Limited Duration Company”, “LDC”.
To register a foreign company in Cayman
A process of registering such a company will take 1 month. It will be required:
- a notarized copy of registration documents;
- a certificate of the company state;
- a certified copy of the Charter, Memorandum of Association;
- names, addresses of directors;
- details of a resident agent in this jurisdiction;
Pay 3150 dinars per year
Opening Cayman Exempted Limited Partnership
This type of enterprise can be re-registered by submitting an application to the Registrar. The information about investors and their investments is not for general viewing. Such an enterprise should not have any public relations in Cayman. To register a partnership in the Cayman, you must submit an application to the Registrar with the information about all partners.
To open trusts in the Caymans:
- such organizations can be issued as companies or limited partnerships;
- it is necessary to go through the registration process in the Register of Trusts;
- not taxed.
Offshore banks:
- a compulsory licensing;
- there are 15 banks with a class A license, allows local and offshore activities;
- it is possible to register a foreign bank, then obtain a Cayman license.
A Cayman stability along with a strict banking secrecy, a complex investment environment is very attractive to most wealthy people.
Offshore banks are controlled by the CIMA. CIMA has distributed the audit program to Cayman's onshore branches. The jurisdiction signed a Memorandum of Understanding on Supervision of Cross-Border Banking with Brazil in 1999, and also expressed a desire to sign similar agreements with all countries, that are interested in the Cayman banking sector.
E-COMMERCE
Open e-commerce in the Cayman Islands is a matter of time. The geographical location of the island, good telecommunications, a well-developed business infrastructure insist on the inevitability of such a decision.
Cayman offshore jurisdiction: a geography and the population
There are 3 islands in the Cayman - Grand Cayman, Cayman Braque and Small Cayman.
Grand Cayman is the largest of three islands and measures 35 km in length and 12 km at its widest point. Islands are surrounded by coral reefs, which create ideal conditions for divers and anglers. Cayman Braque is one of the most picturesque islands with great bluffs. The island is only 20 km long and a little over a mile wide.
There are international airports in Grand Cayman and Cayman Brac, in the region of nine major airlines serving the United States and European cities. Direct flight Miami - Cayman (daily) takes just over an hour. Most of the population lives on Grand Cayman, about 1,200 people on Cayman Braque and only about 120 people on Small Cayman. The capital, George Town, is located in Grand Cayman. Only more than a third of the population come from one hundred and thirteen different countries. English is an official language with a spread, that reflects Welsh, Scottish and English descent. Jamaican is also spoken by a large portion of the population, who immigrated from Jamaica.
With your intention to open a business in the Cayman, you have the opportunity to do it now by contacting us for assistance!
