The Bahamas extends in a 1,225 km arc from 78 km east of Palm Beach,
Florida, to just north of Haiti. The Bahamas consists of an archipelago
of nearly 700 islands and 2,000 cays.
» Population
The population of the Bahamas is approximately 300,000.
» Political Structure
In July 1973, the Bahamas become an independent nation and a Member of the Commonwealth of Nations. The Government is based on the British Constitutional pattern with a Prime Minister, Cabinet of Ministers, an appointed Senate and a House of Assembly elected by the people to control and administer the day to day affairs of the Bahamas. The Head of State is HM Queen Elizabeth II and she is represented by a Governor General. The law of the Bahamas is based on English Common Law and the Court System is also modelled after that of the United Kingdom having Magistrates Courts and a Supreme Court.
» Infrastructure
and Economy
The Bahamas has excellent communications. There are direct flights from Europe as well as many US cities. Miami is only 30 minutes away and New York is less than three hours away.
» Language
The official and spoken language is English.
» Currency
Bahamas Dollar is on a par with the US Dollar.
» Exchange Control
Residents are subject to Exchange Control, but International Business
Companies are exempted.
» Type of Law
Statute Law and Common Law based on English Common Law.
» Procedure to
Incorporate
Registered Agent prepares the Memorandum of Association, which after being signed by the two subscribers is delivered to the Registry. The Articles of Association can either be filed at the same time as the Memorandum of Association or within 30 days from the date of incorporation.
» Restrictions
on Trading
IBCs can conduct business with Bahamians and may also own Bahamian real estate, but local exchange controls and stamp duty will apply in these cases. Unless
government permission is granted, cannot undertake the business
of banking, insurance, assurance, reinsurance, fund management,
collective investment schemes, trust management, trusteeship, the
rendering of investment advice or any other activity that would
suggest an association with the banking or insurance industries.
Cannot sell its own shares or solicit funds from the Public.
» Powers of Company
An International Business Company has all the powers of a natural
person.
» Language of
Legislation and Corporate Documents
The legislation and corporate documentation are in English.
» Registered
Office Required
Yes, must be maintained in the Bahamas at the address of a licensed management company or law firm together with a Registered Agent.
» Shelf Companies
Available
Yes.
» Time to Incorporate
Two days, but a further five working days is required by the Registrar
for the production and release of the Certificate of Incorporation
and certified copy of the Memorandum and Articles of Association.
» Name Restrictions
Any name that has already been incorporated, or a name that is so
similar as to cause confusion. Names such as royal or imperial.
Any name which, in the opinion of the Registrar, is considered undesirable,
obscene or offensive, or any name, which suggests the patronage
of the Bahamas Government.
» Language of
Name
The name can be in any language using the Latin alphabet. The Registrar
may require an English translation to ensure that the proposed name
is not on the list of restricted names.
» Names Requiring
Consent or Licence
Bank, building society, savings, loans, insurance, assurance, reinsurance,
fund management, investment fund, trust, trustees, Chamber of Commerce,
university, municipal or their foreign language equivalents or any
name in English or a foreign language that may suggest association
with the banking or insurance industries.
» Suffixes to
Denote Limited Liability
Limited, Corporation, Incorporated, Société Anonyme,
Sociedad Anónima, Gesellschaft mit beschränkter Haftung
or the relevant abbreviations.
» Disclosure
of Beneficial Ownership to Government Authorities
Details are disclosed to the Registered Agent but are not publicly available.
» Authorised
and Issued Share Capital
The normal authorised share capital is US$50,000; divided in to
50,000 shares of US$1, this being the maximum capital for the minimum
duty payable at the time of incorporation and the maximum authorised
share capital for the minimum licence fee payable annually. The
share capital may be expressed in any currency. The minimum issued
capital is either two shares of no par value or two shares of par
value.
» Classes of
Shares Permitted
Registered shares, shares of no par value, preference shares, redeemable
shares and shares with or without voting rights.
» Taxation
The Bahamas is a pure tax haven and has no direct taxation in the
form of income tax, capital gains tax, gift tax or inheritance tax.
» Double Taxation
Agreements
The Bahamas is not a party to any double tax treaties.
» Licence Fees
Companies with an authorised share capital, with a par value, up
to US$50,000 pay the sum of US$350 per year.
Companies with an authorised share capital with a par value greater than US$50,001 pay the sum of
US$1,000 per year.
» Financial Statement
Required
Whilst there is no requirement to file audited accounts with
the authorities, a company is required to keep financial records,
which reflect the financial position of a company
» Directors
The minimum number of directors is one. Directors may be natural
persons or bodies corporate. They may be of any nationality and
need not be resident in the Bahamas.
» Company Secretary
The International Companies Act 2000 makes no specific reference to a company secretary, but one is normally appointed to facilitate signing obligations.
» Shareholders
Minimum number of shareholders: two subscribers, but the
shares can be transferred to a single person
Whilst every effort has been made to ensure that the details contained herein are correct and up-to-date, it does not constitute legal or other professional advice. OCRA Worldwide does not accept any responsibility, legal or otherwise, for any errors or omission.
