A yacht business is a simple concept and made like any other business for profit. By making a yacht as a business and incorporate it for the benefit, directly or with the help of a third person, the person who owns the same will be able to offset the cost of the ownership and also be able to generate substantial tax from the same.
Everyone should plan the tax benefits carefully, and it should file the documents properly in order to make sure that the activity can withstand scrutiny. Every country providing yacht registration services has a particular set to laws and rules for the same; the person interested in the same should comply with the same regulations and documents to get the yacht registered.
Offshore Yacht Business in the Cayman Islands
Once a part of the British Empire as a colony, Cayman Island is now a British Overseas Territory. English is the popular language and also used in its judicial system. As it is a tax haven island and does not have any income taxes, it is best for the people planning to open an offshore business there. Another reason for the offshore company incorporation there is that the procedure to incorporate an offshore company there is easy. The Cayman is a popular choice of foreigners to open a bank account and offshore company because of its tax-free and privacy benefits.
The Companies Law of 1961 operates the Cayman Islands corporations. People in the business get attracted to Cayman Island because of several reasons such as-
- Tax haven
- Policies for privacy and security
- Developed and stable economy
The Cayman Islands is a maritime heritage. The Cayman Islands Shipping Registry (CISR) is part of the Red Ensign Group of Category One British registries comprising: Bermuda, Cayman Islands, Gibraltar and the UK. As a Category One British Registry (granted in 1991), the Cayman Islands can register boats and yachts of all sizes and classes, from small ships to supertankers. However, according to the policies, fishing vessels are not currently being registered except those owned locally and operating in Cayman waters.
The CISR is a part of the Maritime Authority of the Cayman Islands. It is considered to be one of the most sought after jurisdictions for registering yachts as it has almost half of the world's superyachts registered there.
Yacht Registration: Benefits And Procedure
Offshore business in the Cayman Islands is a beneficial idea for businessmen or investors. Some of the benefits are-
- Vessels flagged in the Cayman Islands come under the protection of the British Royal Navy as it flies the Red Ensign flag, as British ships. The Cayman-flagged vessels get full British Consular and Royal Naval assistance and protection worldwide.
- The CISR has a good reputation and is also a part of many international conventions. Therefore the vessels from the Cayman Islands enter harbours worldwide without the fear of excessive scrutiny from the Port State Control.
- The CISR has skilful and understanding employees who understand the needs of the owners and help them resolve the issues they are facing.
- Time of registration is another important factor, and CISR makes sure that the procedure is completed within 21 days if the documents are complete.
- The economy and government in the Cayman Islands are stable, which is an added benefit for the investors.
- The country is a tax-free income state.
As there are so many benefits of registering a yacht business in the Cayman Islands, let's have a look at the procedure to do the same.
- The procedure starts with selecting a name for the boat if a person wants to choose a specific name for the same then he has to submit a particular form for the same, which will have the name proposal and reservation along with the reservation fee mentioned.
- While registering a yacht, it is essential to file the appropriate forms for the same, and it will include all the necessary information about the owner or the representative making the registration along with the documents given below-
- Boat Certificate- it is the certificate of the builder of the yacht/vessel; with the bill of sale for the one who has purchased the same.
- The Certificate of Good Standing- the certificate is submitted by the company owning the boat.
- The Certificate of Survey- This is to be submitted along with the International Tonnage Certificate, and it depends upon the size and type of the boat (the number of passengers it can carry).
- Deletion Certificate- it is a certificate for boats previously registered somewhere else, the registration fee and the tonnage fee.
Seek Advice from Professionals
Registering a yacht in any country requires a lot of certification and permissions. It can be exhausting for a person who is new to the field. It is better to seek advice from the professionals as it has added benefits with it.
- Our advisors will provide you with all the information you want to know and will help you clear all the doubts.
- They will help you get all the certificates for registering your yacht.
- Being a professional, the authenticity of the work will be more, and it will be reliable.
- It will also save time and energy as all the work will be done for you.
Therefore hiring a professional will always be a better choice. Business Setup Worldwide is a group of professionals who devote themselves to help the clients set up their business anywhere in the world. That is why if you need help setting up a business, contact us.