FAQ's

FREQUENTLY ASKED QUESTIONS

 

What are the applicable laws and regulations enacted by the Government of The Bahamas that apply specifically to Bahamas companies (IBCs)?

-          The International Business Companies Acts, 1989 & 2000

-          The International Business Companies (Amendment) Act 2004

-          International Business Companies (amendment) Act 2008

 

What is the legal form of an IBC?

It is a legal entity in its own right. It is able to contract with third parties; it can also sue and be sued in its own name

 

How long does it take to incorporate an International Business Company (IBC)?

It takes 24 to 48 hours to incorporate an IBC

 

How much does it cost to incorporate an IBC?

Our minimum incorporation fee is $500 (exclusive of disbursements).

 

How much does it cost to maintain an IBC?

Our registered office / agent fee is $750 per annum

 

Does an IBC pay taxes in The Bahamas?

IBCs do not pay any taxes in The Bahamas. Instead, each company must pay registration and annual fees to the Government.

 

What are the annual fees payable to the Government Registrar?

The Government fee for an IBC is $350 per annum.

 

What happens for non-payment of the Government fees?

The company will be struck off and automatically dissolved.

 

How many directors must an IBC have?

An IBC must have at least one (1) Director.

 

Are the names of the shareholders of an IBC on a public register?

The names of the shareholder(s) of an IBC do not appear on a public register.

 

Who can be on the board of directors?

A natural person or another company may serve on the board of directors. Directors do not need to be resident in the Bahamas.

 

Who can be a shareholder?

Shareholders may be a natural person or another legal entity.

 

Is a registered agent mandatory?

Each company must have a registered agent which must be licensed to provide this service in The Bahamas.

 

Are the names of the shareholders available on public record?

No, but in order to preserve the privacy of the ultimate owner a nominee shareholder may be used.

 

What is the minimum share capital an IBC must have when it is registered?

There is no minimum requirement for the share capital.

 

Before registration, how long can a company name be reserved for?

Reservation of a name is valid for 90 days.  Renewal of name reservation is permitted indefinitely.

 

Are the company’s memorandum and articles of association filed at the Government registry?

Upon incorporation the company must file the memorandum and articles of association.

 

Which company details are made public and available at the Registry?

-          Name of the Company

-          Memorandum & Articles of Association

-          Name of the Registered Agent and an address in The Bahamas for the service of documents

-          Name(s) and address(s) of the Directors and Officers

-          Address of the Registered Office

-          Statutory correspondence with the Registrar of Companies

 

What are the requirements for accounting records?

Full and proper books and records must be maintained by the company.

 

Does a company require a seal?

No, although it is normal for a Bahamian company to have a seal.

 

Can a company be transferred to another jurisdiction?

Providing the other jurisdiction supports the migrating of companies, an IBC can be removed from the Bahamian registry and transferred to the new jurisdiction.

 

Do statutory procedures exist for the liquidation of an IBC?

Yes.

 

How long does it take to liquidate an IBC?

A simple liquidation can be accomplished in a matter of approximately four (4) weeks.


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