Bahamas Company Registration

Here’s what you need to know.

Bahamas Company Registration presents an opportunity for individuals and businesses seeking a favorable business environment in a renowned offshore jurisdiction. Starting a business in the Bahamas is a desirable option for international investors because of the country’s zero-rated taxation regime.

Types of Business Entities in the Bahamas

Domestic Company

Domestic Companies are businesses established in accordance with the Companies Act of 1992. These businesses may be public firms or private entities restricted by shares or a guarantee. There must be a minimum of two shareholders, two directors, and a registered office in the Bahamas in order to incorporate as a domestic business. The organization must have annual general meetings and publish the names and addresses of its executives and directors.

Private Companies Limited By Shares

This organization permits the continued issuance of shares. The personal liabilities of Members and Managers to the Company are limited. In the event of the company’s dissolution, neither the directors nor the management will be held legally responsible for the debts and obligations of the business.

The company is fundamentally a distinct legal entity from its directors and members. The applicant must specify the kind of business entity, the maximum number of shares, the company’s authorized capital, the classes of shares, and particular information about its rights, restrictions, and requirements on the company’s memorandum of association in order to register a company limited by shares.

Private Companies Limited By Guarantee

For its members, this corporate structure also offers some kind of security. The organizational structure separates the individuals’ personal liabilities from those of the corporation. The directors or managers will not be held personally accountable for the debts and obligations of the firm upon its dissolution, similar to private companies limited by shares.

The greatest amount for which a member may be held responsible is the whole of their investment or a previously agreed-upon sum. Members’ responsibility is, therefore, limited to the sum specified in the company’s memorandum.

Private Company Limited By Shares And By Guarantee

The registration process for this structure, which is a hybrid of the two business entities, is not too difficult. In the firm’s memorandum of association, they must specify the legal structure of the business entity, the maximum number of shares, the authorized capital of the company, the amount each member wishes to contribute, the classes of shares, and specifics about its rights, restrictions, and requirements. 

Exempted Limited Partnership

General partners and limited partners make up an exempted limited partnership. In the event of a company’s dissolution, general partners may be held personally liable for the obligations and debts incurred by the organization, but limited partners will not be. A limited partner, however, is not permitted to participate in company operations.

To receive notices and communications, all exempt limited partnership businesses must have a registered office in The Bahamas. By law, Exempted Limited Partnership Companies are not allowed to conduct any business with The Bahamas’s general public unless it is essential for the expansion of their offshore operations.

International Business Company (IBC)

Due to its rigorous standards, IBC is the structure that foreign investors like the most. They are mainly used for doing business abroad. One shareholder and one director are needed in order to register as an IBC. Annual General Meetings are not necessary, and there are no requirements to file any annual reports or an annual statement, unlike Domestic Companies. IBCs must, however, keep a file of its current officers and directors.

Public Companies

A public company’s shares are usually freely traded on the stock exchange, but a private company’s shares cannot be freely traded.

International Business Company

It takes 24 to 48 hours to incorporate an IBC.

  • Our minimum incorporation fee is $700 (exclusive of disbursements).

  • Our minimum incorporation fee is $1000 (exclusive of disbursements) for companies under the Provisions of the Companies Act.

  • An IBC must have at least one (1) Director.

  • The names of the shareholder(s) of an IBC do not appear on a public register.

  • The register of directors and officers must be filed at the Companies Registry.

  • Yes, an IBC must have a registered office and registered agent in The Bahamas.

  • The annual fee to maintain an IBC is $850 (authorised capital $50,000 or below) or $1,500 (authorised capital more than $50,000).

  • The annual fee to maintain a Company under the provisions of the Companies Act is $950 (if Company more than 60% Bahamian owned) or $1,600 (if Company less than 60% Bahamian owned).

  • A simple liquidation can be accomplished in a matter of approximately four (4) weeks.