Ecommerce Group LTD

Office 638, #10 Market Street,

Camana Bay, Grand Cayman,

KY1-9006, Cayman Islands

Cayman Islands Company Formations

 

Set-up a Company on the Cayman Islands for USD 2900 all-inclusive

 

Setting up a company in the Cayman Islands

Setting up a business in the Cayman Islands has never been easier. Cayman Company Formations can setup your company within 5 days or you can use our express service and be setup within 48 hrs. Due to the ease and speed to setup a company in Grand Cayman, it is not surprising that many leading corporations choose to operate from the Island.

The Cayman Islands is an autonomous British Overseas Territory of that consists of the three islands of Grand Cayman, Cayman Brac and Little Cayman. Its population is approximately 60,000 and its capital is George Town.

There are more than 100,000 companies registered in the Cayman Islands. One of the reasons why the Cayman Islands is a leading offshore jurisdiction is the flexibility of the Cayman Islands companies law. Most of these companies are offshore exempted companies which do business worldwide but not in the Cayman Islands, the country of incorporation.

The Cayman Islands does not impose any tax burden on income, capital, sales or capital gains. There are no withholding taxes or inheritance taxes in the Cayman Islands. This makes it an ideal location to establish an offshore company for the purposes of mitigating tax exposure. A company formed within the Cayman Islands tax haven can also be used as a flexible tool for sound estate planning.

Currency exchange controls in the Cayman Islands are non-existent. That means that as a foreigner, once you establish an offshore company within the Cayman Islands tax haven, you are free to conduct your operations and transfer money internationally, inbound and outbound, in any amount and currency that best suits your needs. You do not have to worry about government interference, regulations or limitations regarding currency transfers.

The main legislation regulating the formation and operation of companies in the Cayman Islands is the Companies Law. English common law and equitable principles and precedents are also followed in the Cayman Islands where applicable.

The most common reasons for a Cayman Islands company formation are:

Birds-eye view of people chatting at a business meeting Birds-eye view of people chatting at a business meeting

TAXATION

As tax efficient vehicle for international trade. As a tax neutral jurisdiction, the Cayman Islands has no personal, corporate or estate taxes.

HOLDING VEHICLE

They are also used to hold property and investments or as part of a more complex financial structure. Offshore companies can be used for anything from shipping operations or stock dealing, to the ownership and licensing of patents or even aircraft financing. Companies can be formed with no minimum capitalisation requirements.

PRIVACY

Another major reason why corporations or individuals establish offshore firms in the Cayman Islands is to achieve anonymity or to protect their privacy. The Registrar of Companies can only release the name and type of company, its date of registration, the address of the registered office and the company’s status. Disclosing any other information is prohibited unless requested by a law enforcement agency.

POLITICILLY STABLE

Cayman has a well-established legal regime, it is a politically stable British Overseas Territory

FAST INCORPORATION

Companies can be registered within 48 hours if our express package is chosen, provided all the right information and documents are provided. The standard registration time is about 5 days.

SIMPLE PAPERWORK

Setting up an offshore company in the Cayman Islands is a simple procedure and it is not all that different from the way one would set up a company in North America, Europe, or any other. Anyone wanting to incorporate an offshore company must in the first instance meet all the local anti-money laundering legislation and the prevention of terrorism laws which are increasingly strict. Under the strict regime of Know Your Client (KYC), all new clients must prove who they are, where they live and the reason for the establishment of the company.

ONLY 1 DIRECTOR AND SHAREHOLDER REQUIRED

In the Cayman Islands only 1 Director and Shareholder is required.

NO REQUIREMENTS FOR ANNUAL MEETINGS OR AUDITS

In the Cayman Islands there are no requirements for annual meetings or audits.

What type of a company should I setup?

In the Cayman Islands your business will be usually setup as a Exempt Company. It is also possible to register as an Ordinary Resident Company or as Cayman Limited Liability Company (LLC) and foreign companies can register a branch in the Cayman Islands in order for the foreign company to operate locally.

Most of our clients choose for a Cayman Exempt Company since it is more flexible and has less restrictions and requirements then the other company formation structures in the Cayman Islands. Those clients seeking to start a business in the Cayman Islands locally, will need to setup a Ordinary Resident Company.

Exempt Company

An exempt company is the most common used Cayman company and is ideal for those wishing to conduct business outside the Cayman Islands. Cayman Exempted Companies are frequently used to structure transactions in an efficient and cost effective way because of the Cayman Islands tax neutral and proportionate regulatory environment. There are no restrictions on the nationality of the directors or shareholders of an exempted company and an exempted company is not required to hold an annual shareholders meeting. The name of an Exempted Company does not need to include the words "Limited" or "LTD".

OPTIONAL: Tax Exemption Certificate - 20 year Tax Free
An exempted company may obtain an Tax Exemption Certificate from the Cayman Islands Government, that if direct taxation were ever to be introduced in the Cayman Islands, the company would be exempt for a period of 20 years. This Tax Exemption Certificate is sort of like an insurance, that whatever happens, you will be garanteed the 20 year tax free status. This optional certificate is provided at a one-time fee of 2500 USD, which includes all government fees, legal fees and courier fees.

Exempt Company - advantages:

  • 100% Foreign Owners: Foreigners can own all the shares.
  • Limited Liability: Only the unpaid amount for all the shares is a shareholder’s liability.
  • Privacy: The names of the shareholders and directors are not available to the public. Bearer shares are permitted.
  • No Taxation: The Cayman Islands do not levy any type of taxes on the company and shareholders. However, United States residents must declare all global income to the IRS just like residents of other countries taxing global income.
  • One Shareholder/Director: Only one shareholder and one director is required who can be the same person.
  • No Required Meetings: There are no requirements to hold shareholders or directors meetings.
  • No Audits: There are no required accounting standards and no required audits.

Cayman LLC

Where the proposed activities of a company are to be carried out mainly outside of the Cayman Islands – offshore – the registrants can apply for registration as a Limited Liability Company (“LLC”) under the Limited Liability Companies Law. Like companies under the Companies Law, this type of company has separate legal identity therefore the members of the company cannot be held personally liable for the company’s debts or liabilities.

Unlike Companies under the Companies Law, an LLC has no share capital but members acquire LLC interest. The management of an LLC rests with its members and/or managers. The formation of an LLC is similar to the process of forming a Cayman Islands exempted limited partnership. The filing of a signed registration statement containing certain prescribed information and payment of the registration fee is required in order to register an LLC with the Registrar of Limited Liability Companies. When a change occurs in any matter specified in an LLC’s Registration Statement, the LLC must file a certificate of amendment to the Registration Statement.

The LLC Law makes provision for an existing Cayman Islands exempted company to merge with, consolidate with or convert to an LLC and permits non-Cayman Islands entities to re-register and continue into the Cayman Islands as a LLC.

In January of each year, the company must file with the Registrar a return certifying that during the previous calendar year it has complied with the provisions of the LLC Law and pay to the Registrar a prescribed annual fee.

Ordinary Resident Company

An ordinary resident company is usually formed for the purposes of carrying on local business. In addition to the Companies Law, it is subject to the terms of the Local Companies (Control) Law 1995 which requires licensing, and the annual submission of a list of shareholders. Only registered, and not bearer, shares are allowed. An annual general meeting must be held, and a register of members must be kept at the registered office, open to public inspection. The name of the company must end in Ltd or Limited. The list of shareholders of the company must be filed with the Registrar of Companies in January each year; the Immigration Board should also receive a similar list showing those shares beneficially owned by Caymanians.

Cost to setup a Cayman Company


Our incorporation package includes:
First year government filing fees
Certificate of Incorporation
Memorandum and Articles of Association
Subscriber Minutes
Share Transfer Instrument
Director(s) Consent(s) to Act
Minutes of the first meeting of the Director(s)
Share Certificates (if requested)
Register of Shareholders
Register of Directors
Register of Mortgages and Charges
Register of Beneficial Ownership
Registered agent services, (first year)
Registered office, (first year)
OPTIONAL: 24 - 48 Hour Express Service
*OPTIONAL: Tax Exempt Cert - 20 year Tax Free
**OPTIONAL: Bank Account Opening Assistance
OPTIONAL: Company Seal

Exempt Company
$ 2950 USD

$900 USD
$2500 USD
$1250 USD
$150 USD

Cayman LLC
$ 3250 USD

$900 USD
$2500 USD
$1250 USD
$150 USD

Resident Company
$ 1950 USD

N/A
N/A
$1250 USD
$150 USD

*An exempted company may obtain an Tax Exemption Certificate from the Cayman Islands Government, that if direct taxation were ever to be introduced in the Cayman Islands, the company would be exempt for a period of 20 years. This Tax Exemption Certificate is sort of like an insurance, that whatever happens, you will be guaranteed the 20 year tax free status. This optional certificate is provided at a one-time fee of 2500 USD, which includes all government fees, legal fees and courier fees.

** Bank Account Opening Assistance: introductions with the chosen bank, preparing the necessary board resolutions approving the opening of any account and providing copies of statutory corporate documents to the Bank.

Annual Fees - Cayman Company

Our renewal package includes:
Registered office & registered agent fee
Preparation and filing of annual return
Maintaining minute book and statutory records
Annual Government fee

Exempt Company
$ 2550 USD

Cayman LLC
$ 2750 USD

Resident Company
$ 1550 USD

What paperwork do we need?

In order to fulfill our legal requirements, we shall need the following KYC / compliance documentation prior to incorporating a company:

  • Completed Corporate Application/Questionnaire (download here)
  • For each proposed Director/Shareholder (Ultimate Beneficial Owner (‘UBO’) (download here)
  • Notarised / Certified copy of Passport
  • Notarised / Certified copy of Driver’s Licence
  • Notarised / Certified Utility Bill evidencing current residential address (no more than 3 months’ old)
  • Professional Reference Letter addressed to HSM Corporate Services Ltd. (original)
  • Personal Reference Letter addressed to HSM Corporate Services Ltd. (original)
  • Bank Reference Letter addressed to HSM Corporate Services Ltd. (original)
  • Resume /CV / Bio

Our Offices

Our offices are located in leading financial centres.
DELAWARE OFFICE
DELAWARE OFFICE
8 The Green
Suite #7121
Dover, DE 19901
USA
CAYMAN ISLANDS OFFICE
CAYMAN ISLANDS OFFICE
Office 638,
10 Market Street, Camana Bay
Grand Cayman, KY1-9006
Cayman Islands
UAE OFFICE
UAE OFFICE
Office 8, Building P7,
SAIF Zone,
PO Box 7751
Sharjah, U.A.E.

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« Thank you for a fast incorporation in the Cayman Islands, within 5 days we are all established. »

Jeff Mason

Cayman Company Formations is a division of Ecommerce Group LTD.. The information provided on our website is for informational purposes only. It should not be considered legal or financial advice. You should consult with an attorney or other professional to determine what may be best for your individual needs. Cayman Company Formations does not make any guarantee or other promise as to any results that may be obtained from using our content. No one should make any investment decision without first consulting his or her own financial advisor and conducting his or her own research and due diligence. To the maximum extent permitted by law, Cayman Company formations disclaims any and all liability in the event any information, commentary, analysis, opinions, advice and/or recommendations prove to be inaccurate, incomplete or unreliable, or result in any investment or other losses.
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Part of Ecommerce Group LTD.