The Maldives is a country in South Asia. It is located in the Arabian Sea. It is about 1,000 kilometres from the Asian continent and southwest of Sri Lanka and India. The Maldives consists of a territory spanning roughly 298 square kilometres. It is the smallest Asian country by land area and population.
The Maldives gained its independence in 1965. English is the second official language of Maldives
The political system of Maldives is described as a "unitary presidential constitutional republic." Tourism is the major economy here.
Benefits of an Offshore Company in the Maldives:
• 100% Foreign Shareholders: Foreigners can own all of the shares in the Offshore Company in the Maldives
• Limited Liability: A shareholder’s liability is restricted to his or her contribution to the share capital.
• Low Taxes: The business profits tax is only 5%, and there are no personal income taxes. U.S. taxpayers must report all income to their governments along with all other paying taxes on global income
• Low Minimum Capital: The minimum share capital is approx $130 USD.
• English: English is its second official language after nearly 170 years as a British Protectorate.
Corporate Details of an Offshore company in the Maldives:
Offshore company formation in the Maldives requires at least two shareholders of any nationality and living anywhere in the world. The maximum number of shareholders required for the offshore company formation is 50.
Offshore Company in the Maldives requires a minimum of two directors. It is proposed to appoint three directors to avoid tie votes on important matters. The three directors appointed will form the Board of Directors in order to manage the Company.
A company secretary must also be chosen to represent the Company to third parties and also to file all necessary documents that are required by the government.
Registered Agent and Office
A local registered agent must be appointed for forming an offshore company in the Maldives. The office can be used as the registered office address for the Company there.
The minimum authorized capital for the company formation is 2,000 MVR.
The Maldives has a corporate tax called the “business profit tax," which is at a rate of 15%. The Maldives does not have a personal income tax. It was set up by the Business Profit Tax Act of 2011. This rate of 5% only applies to the companies doing their business in the Maldives.
Annual tax returns are needed to be filed with the government’s tax authorities.
Offshore company formation in the Maldives requires acceptable international standards for preparing books and account records. There is no requirement of annual audits. Financial statements also do not need to be filed.
Annual General Meetings
An annual meeting of the shareholders is required for the company formation. The meeting may be held anywhere in the world.
The Shareholder’s names become part of the public records as they are filed with the Registrar
Time for Formation
It is calculated that it may take one week for the registration process and approval of the Company
Shelf companies are unavailable in the Maldives.
Steps of Opening Offshore Company in the Maldives
Step 1: Application form
The first step to set up an offshore company in the Maldives is to provide all the information about the Company. The experts here will help you in performing some of the necessary work as below
- Selecting a name for the Company
- Providing the details of the Company
Step 2: Upload your documents
The administration needs to choose the type of business entity and also provide the relevant documents after filling up the application. These documents include:
- Address Proof
- Passport copy
- Business Plan
Step 3: Register the Company
After having provided all the documents of the Company and the personal documents, you have to pay the required fees and get the approval of all the documents for the registration. After the registration, the account manager will be allocated for you. This account manager will take care of the following:
- Recapitulation of the order
- Registering your Business
- Submission to the Registrar
Step 4: Additional Services
A company may require other services such as:
- Offshore Bank Account in Hong Kong
- Accounting and Auditing Services
- IP Services in Hong Kong
- Business License
- Corporate Secretarial Services
- Nominee Director Services
Step 5: Company Kit Dispatch
The administration receives a company kit that consists of documents relevant to the Company. These documents include:
- Business Incorporation certificate
- Business License
- Memorandum and Articles of Association
Business Setup Worldwide is a platform to guide you through this. If you need any assistance in setting up an offshore company in the Maldives, then you can contact us! We’d be glad to assist you.