This jurisdiction is relevant for those, who are looking for the most profitable ways to conduct international business. If you are interested in registering a company in Bermuda or opening a bank account in Bermuda - this material is for you.
Bermuda is located in the northwest Atlantic Ocean, off the coast of North America. Bermuda is one of the overseas non-self-governing territories of Great Britain. The government is responsible for regulating domestic affairs, a foreign policy is at the disposal of the British governor.
Bermuda includes more than 180 islands. About 20 are inhabited. The largest island is Main Island. The national currency is the Bermuda dollar (BMD), equivalent to the American dollar (USD).
Benefits of BermudaTo set up a company in Bermuda is a good solution, which is facilitated by the following advantages:
- A thriving economy (a tourism, a shipbuilding, pharmaceuticals, an agriculture);
- A stable political environment;
- Well-developed financial, insurance and tourism sectors;
- A strict confidentiality of information;
- Full exemption from taxation;
- No requirements for filing annual financial and audit reports;
- DTA agreements with more than 11 countries;
- The level of GDP is one of the highest in the world;
- A high interest in foreign investment.
The main types of Bermuda companiesIf you want to register a commercial firm in Bermuda, then you will be presented with the following list of legal forms:
- an Exempt Company (EC);
- a Tax Exempt Limited Liability Company (ELLC);
- a Limited Partnership (LP);
- an Exempt Partnership (EP);
- a Foreign Partnership (OP);
- a Branch (PC);
- a Trust;
- a Local Stock Limited Company.
The most popular are an exempt company (EC) and a limited partnership (LP).
Rules for establishing firms in Bermuda
If you intend to open a company in Bermuda, then be sure to pay attention to the following points:
- The European Union may carry out any business activity prescribed by law. A licence is required for the provision of financial, insurance, trust and reinsurance services.
- The EU does not have the right to trade in Bermuda.
- Companies are not allowed to purchase real estate on the islands. It is possible to rent, lease (on certain conditions), conclude a mortgage agreement.
- The company is not allowed to accept deposits.
List of business registration requirements
To open a company in Bermuda remotely is possible under the following conditions:
- The name of the company must be made exclusively in English, with the end of Limited or Ltd. It is forbidden to use the words, that directly or indirectly indicate a connection with state authorities;
- The number of directors is at least 2 (only individuals, one of them is a resident);
- The number of shareholders is at least 1, both a resident and a non-resident;
- A share capital is 12 thousand BMD or the equivalent in any other hard currency (USD, EUR, GBP, etc.);
- If you want to register a commercial enterprise in Bermuda, you need a legal address within the islands to which state correspondence will be received. The mailbox is not considered as an alternative to the legal address.
- Bearer shares are prohibited, but registered shares are issued and bearer bonds are issued.
- The meeting of shareholders should be held once a year. The location of the meeting is irrelevant.
- Meetings of directors may be held (if necessary) in any other jurisdiction.
Features of taxationA corporate tax is not applicable in Bermuda. Also, there are no taxes on income, dividends, capital gains and others.
How to set up a commercial company in Bermuda?If you decide to open a firm in Bermuda, then YB Case specialists will advise you in detail regarding this jurisdiction, will provide you with support in preparing all the necessary documents, with professional advice on how to open a corporate account in Bermuda.
Please, check with our specialists for possible solutions for your business.