Gibraltar probably makes as much money from company registration on its territory as it does from tourism. Tourists are attracted to this destination due to the fact that there they can find wonderful views of African shore. Gibraltar is the only place where you can see Africa while remaining in Europe. Business people, in their turn, use Gibraltar to protect and possibly enlarge their wealth as Gibraltar tax policies are very lenient and allow paying minimal taxes. In addition to that, nominal services are available in this jurisdiction, no limitations on trading abroad are in place there, and numerous other advantages to make use of are also there.
Who would be interested in establishing a company in Gibraltar?
It is beneficial to register a limited liability business company in this jurisdiction. The corporate documents have to clearly show that the company proprietors are not residents of Gibraltar.
It is possible to register the following types of offshore corporations in this country:
- Limited Partnership;
- Joint-stock company with limited liability;
- Joint-stock company with unlimited liability.
Your Gibraltarian corporation can issue different types of shares such as “A” shares, shares with par value, privileged shares, or redeemable shares. If you do not do any business on the territory of Gibraltar, you do not have to pay any taxes to the local budget. If the opposite is the case, the profit tax is only 10% there. A 5% tax incentive awaits start-ups in the IT sphere. When filing the annual report, you will have to pay 200 British pounds to the company Registry plus 30 pounds in state duties.
Non-resident companies in Gibraltar are prohibited from working in the insurance industry, banking sector, and providing other financial services. Establishing a betting company there would be a very good idea though as Gibraltar is a major habitat of gambling business.
Private firms in Gibraltar
If you register a private company in Gibraltar, minimum two members have to be on its governing board. The company will have to submit regular financial reports. The minimum required amount of the charter capital is 2,000 local pounds. The company name must necessarily include the word “Limited”.
Public companies in Gibraltar
The joint-stock company charter capital shall constitute not less than 20,000 local pounds in Gibraltar. The country’s legislation puts limitations on the share amounts and their transfer to third parties.
Your company will have to pay zero tax in Gibraltar if the following conditions are satisfied:
- The company owners and directors reside outside of Gibraltar;
- Nominee shareholders and directors can be Gibraltarian residents though;
- No commercial activities are conducted on the territory of Gibraltar.
The advantages of establishing a company in Gibraltar in 2019:
- No tax or state inspections;
- No capital gains, nor gift, nor profit tax;
- A possibility to open a bank account in the jurisdiction of your choice;
- A high level of confidentiality;
- Perfect international reputation of the jurisdiction;
- Reliable communication channels;
- A swift and inexpensive company registration procedure;
- Availability of nominee services.
Aspects to take into consideration when establishing a company in Gibraltar
If you are planning to establish a company in Gibraltar and open a corporate account for it, it will have to be a limited liability company that has minimum one and maximum fifty shareholders. The shareholders can be private individuals or legal entities. You can reach the desired level of anonymity by use of nominee services. Otherwise, the shareholder’ personal information is going to be publicly accessible. A shareholder can also hold a director’s position in the company. The minimum number of directors allowed is one.
A few more nuances you have to know about:
- No bearer shares can be issued;
- A licensed lawyer shall prepare the Memorandum and Articles of Association for the future company;
- Your company will have to submit financial reports annually;
- The company shall have a secretary and the secretary shall be a Gibraltarian resident;
- The company shall have an office and a postal address in Gibraltar.
In accordance to the decree “On Corporations” from 1984, an offshore company registered in Gibraltar is allowed to do business anywhere in the world.
Opening a company in Gibraltar in 2019: main steps
- The name of the prospective company has to be checked with the Company Registry first. It cannot coincide with the name of an existing company. It cannot be consonant with the name of an existing company either and besides, it cannot indicate that the company provides banking or other financial services.
- Then all the necessary documents need to be collected.
- After that, all the state and registration duties need to be paid.
- Finally, the new company information has to be submitted to the Company Registry of Gobraltar.
It should be noted that companies registered in Gibraltar do not have to keep accounts. There is no currency control in the country either.
The list of documents necessary for company registration in Gibraltar:
- Completed application for company formation and a completed questionnaire where the origin of investment funds is indicated;
- Notarized passport copies of the company directors, shareholders, and other beneficiaries as well as proofs of addresses for each of them;
- Real estate purchase or rent agreement;
- Certificates of origin for the investment capital;
- Additional identification documents such as a driving license, for example;
- Proofs of solvency such as credit card reports or bank statements.
You will also have to submit a detailed business plan that describes the prospective company’s business activities. The plan has to include information about the expected company turnover and incomes.
If you apply to our specialists for company registration in Gibraltar, the whole process is not going to take more than five business days since the date you submit all the required documents and cover the costs of our services. We will gladly answer your questions concerning company registration in Gibraltar if you write to us to firstname.lastname@example.org. We will be happy to help you protect your assets.