The Ease of Doing Business List issued by the World Bank ranks countries by taking eleven parameters into account. These parameters help in determining which country has the most conducive business environment and the least red tape barriers. A higher rank on this list leads to a high confidence level in that particular country and generates more investment in that country.
Mauritius holds 20th position on the Ease of Doing Business List making it an attractive destination for company incorporation. Mauritius took a huge jump from 49th position in 2016 to 20th in 2019 which shows that the Mauritian government is taking all measures to improve the regulatory environment that enables smooth functioning of business operations with well-structured property rights. This way the country is welcoming all entrepreneurs and businessmen to set up their business operations in Mauritius and reap the benefits of setting up a company in Mauritius.
Parameters Defining Why You Should Set Up a Company in Mauritius
According to the ease of doing business list the total score of Mauritius out of 100 is 79.58. Here are some pretty strong and persuasive facts as well as numbers that will make you want to set up a company in Mauritius in case you already don`t have one.
- Starting a business- On this parameter, the score of Mauritius is 94.34 out of 100 and the rank is 21 out of 190 countries. This is huge for a small sub-Saharan African island nation.
It only takes a week to complete the registration process and get a certificate of company incorporation from the authorities, which must be a huge relief for you. You don`t have to jump many barriers to get registration done. If you decide to do the process online, then it takes only half of this time for company registration in Mauritius.
- Availing a construction permit- Mauritius holds 15th position on this parameter with a score of 82.51 out of 100.
Mauritius holds the highest score possible for most of the indices taken into consideration for this parameter such as quality of building regulation, quality control before construction, quality control after construction, liability and insurance regime, and professional certifications.
- Obtaining electricity connection- With a score of 86.24 out of 100, Mauritius holds 34th position out of 190 economies which is decent enough. Even if you feel that the rank is low, look at the score and even if you are not as convinced as you should be then rest assured on the index of the reliability of electricity supply, Mauritius has a score of 6 out of 8.
- Registration of property- Mauritius holds 35th rank with a score of 78.74 out of 100.
Registration of property in Mauritius only takes about two weeks. If the rank and the number of days doesn`t excite you much then you should know that Mauritius scores the highest possible score on indices such as reliability of infrastructure, transparency of information, and equal access to property rights.
- Getting credit- On this parameter, Mauritius holds 60th position out of 190 economies with a score of 65 out of 100.
Mauritius is the best Sub-Saharan African country in terms of strength of legal rights, depth of credit information available to the public and credit registry coverage.
- Protection of minority investors- Mauritius holds 15th position with a score of 75 out of 100.
So, all those looking for establishing business entity other than a sole proprietorship, do not worry as the law is on your side because the statutes of Mauritius make sure that there is corporate transparency and directors are held liable for their actions.
- Payment of tax- On this parameter, with a score of 93.50, Mauritius holds 6th rank out of 190 economies.
In Mauritius, most companies only have to pay 10.3% tax on the profit generated and most of the other taxes are levied at just 3.7%.
- Trading across borders- Mauritius has a score of 81 out of 100 on this parameter. Whatever may be the score (which is quite good), you must admit that Mauritius is one of the best places in terms of trade given its strategic location. So, all those who are looking for a business in export/import get started with business registration in Mauritius now.
- Enforcing contracts between parties- Contacts are made too often while conducting business and you must want that wherever you start a business there should be explicit and strong laws in place which make sure that contracts are not breached by any party without consequences.
Even on this parameter, Mauritius does not let anyone down as it holds 27th position out of 190 economies with a score of 70.37 out of 100.
Doing Business Reforms
Mauritius is reforming its regulatory environment every year to increase the level of investment in the country. Here are the parameters on the ease of doing business list which were reformed just last year-
- Starting a business- By eliminating the requirement to provide a marriage certificate by a married woman to apply for national identification and by linking database of social security with business registry, the government of Mauritius has made starting a business easier.
- Registration of property- By improving the transparency of the land administration system, registration of property in Mauritius has become easier.
- Protection of minority investors- By improving corporate transparency statues and clarifying ownership structure, the government has strengthened the protection of minority investors.
- Paying taxes- Payment of taxes has become easier with the introduction of online submission of invoice and revised corporate income tax returns.
The experts at Business Setup Worldwide will be more than happy to help you out in your business ventures in the exotic land of Mauritius, all you have to do is click contact us and tell us what is it that you want help with. The team at Business Setup Worldwide will be able to help you out with more than just company incorporation in Mauritius.
What are the main businesses in Mauritius?
The main businesses in Mauritius are textiles, tourism, financial and business services, information, and communication technology, seafood processing, real estate development, energy, and education/training.
Why do companies set up in Mauritius?
Companies are set up in Mauritius because of the government's multiple tax benefits and exemptions.
How many days does it take to open a business in Mauritius?
Starting a business in Mauritius takes around 7-10 working days.
What is the cost of starting a business in Mauritius?
The cost of starting a business in Mauritius costs from $3,490.