What are the steps of company formation in Mauritius and what would be the cost of business setup here? Even many of you often ask that out of so many countries why Mauritius? Mauritius is an east African island nation that offers great business scopes for investors all around the world. This aspect alone cannot be a strong reason why investors hive in here. A major credit goes to its geographical and environmental features as well
Mauritius consists of 1.265 million people. The country lies in the womb of Indian Ocean, right at the eastern bottom of African continent. The land is blessed with mind boggling mountains, rain forests, reefs, waterfalls and lagoons. All these fantastic features made this island one of the top holiday destination on earth.
Apart from tourist’s perspective, the country is a hotspot for business investors too. You can setup almost any legal business in Mauritius; however, there are several steps of company formation in Mauritius that you must abide to begin a business here.
In this article we will evaluate the company registration process in Mauritius in a step by step manner and will give you a general cost idea that will help you to set your budget before you plunge into the investments.
You will also get to know various advantages of setting up a business in this land. In short, if you have a wish to set your dream company in Mauritius, it is a must read article, because it can give you insight information regarding business formation in this island nation.
Common company entities in Mauritius
Before you read about company setup steps, you must have first hand idea about types of companies run in Mauritius. There are several company entities Mauritius authority allows foreigners to invest in. Following are some of the common Mauritian business entities:
- Limited Liability Partnership (LLP)
- Limited Liability company (LLC)
- Global business company (GBC)
- International branch office
Cost and time evaluation of company setup in Mauritius
Before you hop into business setup process, you first need to keep in mind of your financial status. It is always wise to allocate proper budget for a business before start your corporate campaign. In Mauritius when you are about to setup a company you have to be aware of the budget that comes in two ways.
If you choose to start a GBC1 company type the setup price is different than GBC2 company type. In this segment you can have a rough price idea for each types of business in Mauritius.
- For incorporating a GBC1 type business an investor should keep in between the budget range of US$6000 to US$ 7000.
- In case of GBC2 Company, the price for company incorporation service is comparatively lower. You can wrap up the whole setup service charge within US$3000 only.
For reasonable priced business setup service offers in Mauritius, keep in touch with reliable and recommended business consulting agencies specialized in Mauritian company incorporations.
When enquired how much time needed to wrap up the whole company formation in Mauritius, the answer would be maximum of 2 to 3 weeks for both GBC1 and GBC2 Type Company.
Company registration process in Mauritius
It must be noted that, Mauritius companies are categorized into 2 major types; which is GBC1 and GBC2. GBC one includes company that deals with domestic transactions and business activities only, whereas, GBC2 accompanies all the international businesses. Given below are the incorporation processes which are common for both GBC1 and GBC2 category in Mauritius.
- Allocating a unique trade name for the company and reserve it by registering it with the Registrar of Companies (ROC).
- Submit the business incorporation application form. This form must be properly drafted before submission.
- Complete the payment procedure
- The documents submitted will be properly verified and if things go up to the mark, the applicant will get the certificate of incorporation from the registrar from ROC.
- The registrar will also issue a BRC which has a unique number for the proposed company.
- One Incorporation certificate and BRC is issued, ROC will enlist the company to the Mauritian Central Business Registration Database.
- Once that enlistment announced, all the relevant authoritarian ministries and departments gets notified about the new company.
- Pay business license fees. These fees need to be paid within 15 days of company Incorporation. This fee has to be paid twice every year in recommended schedules.
- Lastly, the company has to be registered with the social security office of Mauritius. Here the company’s monthly and yearly return statements need to be submitted at regularly basis as per government regulations of the country.
Or, you can try the online process where the steps are much more convenient and brief. The steps are:
- At the beginning the applicant has to make online registration with the MNS to obtain the username and password.
- Next, register the company by filling up a designated application form. Once done, submit the form online along with other recommended documents.
- Following the step above, the applicant has to move forward with the payment option. This transaction can be carried out either online via credit card or by electronic transaction to the banks in Mauritius
- The last step of Limited liability company formation in Mauritius includes obtaining of the E-certificate and the BRC or Business Registration Card. The incorporation certificate is issued with the same day of application and the BRC is also delivered with a very brief period of time.
- It must be noted that in case of LLP Company in Mauritius, there are very narrow fields of activities once decided to go under incorporation. This type of company formation is open only for consulting services and legal advisory company formation in Mauritius.
Documents needed for company registration are:
- Form 1: Company incorporation application form
- Form 7: keep consent of all the directors of the company
- From 9: Preserves the consent of all the shareholders of the upcoming company
- Sometime Form 8 which asks for consent of every secretary of the proposed business.
- Detail up to date credentials of all the directors and if necessary shareholders. In special case a copy of the constitution of the company certified by a legal practitioner in Mauritius.
Why company formation in Mauritius?
Below we have listed out few obvious advantages of setting up a company in Mauritius:
- The country follows open trade policy
- Government policies are flexible and business friendly towards foreign investors.
- The country comes with free zone ports that allow duty free and tax free services
- Banks are super friendly towards foreign expats.
- Legal and tax processes are less complicated and favorable
- Strategic geographical location of this nation makes the country hotspot for various business investments.
- Company setup process is impressively easy and cost efficient.
There are several justifications towards the reason why Mauritius should be your next business destination. You got numbers of advantages you can enjoy when initiating your company in Mauritius, however there are few drawbacks you need to take care too.
Nevertheless, those are pretty minor issues which are common in most other nations as well. In summary, through company formation in Mauritius you can open up the window for a prosperous commercial career in future as well as can enjoy the incredible beauty this island nation to the fullest.