Cayman Islands Company Registration

There are several options to utilize the advantages of offshore business lawfully. One of the most prominent options is registering a Cayman Islands Exempted Company (CIEC), a British overseas territory located in the Caribbean Sea.

Companies frequently choose to incorporate in the Cayman Islands due to the favorable regulatory environment and the flexibility and confidentiality it provides to global entrepreneurs. An exempt company in the Cayman Islands offers efficient tools for cross-border commercial operations, complying with all legal regulations.

You can contact us to get support at any time. You also have a choice in consultation. Either a paid, one-hour session with an expert in company formation, which will dig deep into how we can help with your specific goals (300 euros, reduced from 500 for a short time), or a complimentary fifteen-minute meeting to get some questions answered or an overview of the service.

The Cayman Islands: Principal Benefits

As soon as you have registered a Cayman Islands Exempted Company, your commercial project will get a foothold. Potential possibilities given by the jurisdiction make it possible to develop any business and minimize expenses efficiently.

Advantages of a Cayman Islands Exempted Company registration:

• Flexible administrative rules: The corporate legislation of the Cayman Islands (the basic document is the 2022 Companies Act) is business-friendly. You will not be required to comply with any residency requirements for directors and shareholders at registration. An exempted company can store its corporate papers in any country for up to five years, and there is no requirement for an annual audit.
• Simplified procedure for Cayman company registration: There is no need for regulatory approval, and state duties and fees are minimal. The Cayman Islands company registration procedure typically takes several days. However, it can sometimes be prolonged due to extended document processing by the registrar or difficulties with Know Your Customer (KYC) verification.
• Business-friendly financial regulations: A Cayman Islands Exempted Company is not limited in any way if it wants to buy out its securities. Regarding shares, flexible rules also apply.
• Confidentiality: The Cayman Islands rely on stringent laws related to offshore business anonymity. An exempted company registered here is under no obligation to submit the information on officials to publicly accessible registers. However, the Cayman Islands government complies with international transparency standards like CRS and OECD requirements. Beneficial owners have to be registered in a closed register that is only accessible to local authorities.
• High quality of life: The Cayman Islands have a reputation as a world tourist center. As soon as the exempted company registration procedure is over, you can enjoy this beautiful Caribbean spot. Prices for products and basic consumer goods are relatively low, which makes everyday life in the Cayman Islands comfortable and convenient.

Key features of the business environment in the Cayman Islands:

• A well-developed banking sector (the Cayman Islands is a British overseas territory).
• A favorable fiscal environment (there are no gift, property, or inheritance taxes, and you pay nothing if you transfer shares); the Cayman Islands Exempted Company shareholders pay no dividend tax, either.
• A well-developed legal framework.
• Complex legal assistance (it is available for Cayman Islands company registration and commercial activities).
• An extensive list of additional and related business services.
• Simple merger and acquisition mechanisms.
• International regulators consider the jurisdiction fully compliant.

You can obtain any additional information you need at an individual session with our experts, who can guide you through the process, help you understand if this is the best jurisdiction for you, and tell you what is needed to get the process started.

Cayman Islands Company Formation

You cannot independently set up an exempted company, so we recommend getting in touch with our experts to discuss the peculiarities and cooperation conditions.

Step-by-step guide for registering a Cayman Islands Exempted Company:

1. Choosing a business type: We recommend forming a Cayman Islands Exempted Company, although other options are available, such as a classic LLC. We can help you understand the best option for your needs.
2. Choosing a name for the legal entity: You will have to comply with standard requirements – that is, an exempted company must have a unique name, preserve the existing copyright, and a suffix that shows the company’s organizational form.
3. Finding a reliable registered agent: A Cayman Islands company cannot be opened personally. You will need to appoint your representative (a registered agent) who will look through the documents and submit them to the regulator for registration.
4. Preparation of documents: This is a challenging stage, as you must consider the requirements set by the registrar and international regulators. However, the Cayman Islands’ good reputation in the business world considerably simplifies the registration of a legal entity during the preparation stage.
5. State duty payment: You will have to pay a modest amount, and no difficulties usually arise at this stage.
6. Evaluation of regulatory requirements: An exempt company established in the Cayman Islands should comply with KYC/AML requirements. However, our experts will tell you all about it.
7. Opening a bank account: An exempt company that engages in business can open a bank account with a reliable financial institution. Our experts will help you open a corporate bank account with a respectable offshore institution after the successful registration of a legal entity in the Cayman Islands.

Package of Documents for Registering a Cayman Islands Exempted Company

If you want to launch a new commercial project in the Cayman Islands, you should treat the preparatory stage seriously. The requirements may be expanded depending on the particular case.

The basic package of documents for individuals who wish to register a legal entity (to be submitted by each partner, director, or shareholder):

• National ID (passport).
• A document that confirms the address of residence (for instance, a utility bill or a bank statement), which should specify the owner’s full name, date of issue, and the issuing authority.
• A certificate that confirms a clean police record issued by the relevant authority.

The basic package of documents for legal entities required to register a business in the Cayman Islands (refers to each director or partner if they are legal entities):

• An official certificate of registration in the Cayman Islands
• A Certificate of Incumbency or a Certificate of Good Standing
• Articles of Association
• A package of personal documents and a confirmed address of residence for all officials (directors, beneficiaries, or shareholders) if they own 10% or more shares in the Cayman Islands commercial structure
• Registers of directors and participants (shareholders)
• An official decision to register a new business in the Cayman Islands.

Additional information to be prepared:

• The amount of authorized capital (a standard value for registration is 50,000 shares)
• Reference letters (for officials and legal entities that own 10% of shares or more)
• Filled out KYC forms
• A detailed overview of the goals and objectives of the Cayman Islands Exempted Company
• The organizational scheme with identities of ultimate beneficiaries specified.

Additional requirements and conditions:

• All documents accepted by the Cayman Islands registrar must be in English; otherwise, they will need to be translated and then notarized.
• A notarizing person can be a chartered accountant, a bank (financial institution) employee, a public official, or a notary.

Peculiarities of the Cayman Islands Company Formation

It is always recommended to conduct research before launching a new business, and a company in an offshore jurisdiction is no exception. Don’t be misled by the fact that the procedure of incorporation in the tax-free zone is somewhat easier. However, we can handle a lot of this for you to save you time and resources.

Requirements for companies in the Cayman Islands:

• Authorized fund: There are no official requirements; however, if the declared amount exceeds USD 50,000, the expenses on new business registration and its annual maintenance will increase.
• Director: You will need at least one director who can be a resident of any country, an individual, or a legal entity. Nominee service is allowed (however, such a Cayman Islands company may face difficulties opening a corporate account with a bank).
• Shareholder: You will need at least one shareholder, an individual or a legal entity. You are under no obligation to conduct a meeting of shareholders in the Cayman Islands only.
• Secretary: This is an optional position. However, it will be a useful option if you register a new legal entity in the Cayman Islands.
• Reporting: You don’t need to submit the results of any checks (for example, an audit) annually. However, you still need to keep records of financial operations. The only official requirement is a minimal annual report.
• Public information and privacy: The public registers of the Cayman Islands provide access to limited information only, such as a company name and a registered agent. The registers of shareholders and beneficiaries are closed. 
• A registered office: A registered office in the Cayman Islands is necessary.
• Economic substance: This requirement is only set for separate kinds of activity. However, an exempt company in the Cayman Islands is required to submit information on compliance with substance status annually (having a local registered office, etc.).

Conclusions

As soon as you register a Cayman Islands Exempted Company, you will become the owner of a powerful tool for efficient international business. A legal entity is not limited in choosing any business field outside the jurisdiction (however, it is required to obtain a relevant license to carry out business operations in the Islands), while annual extension expenses are minimal. We successfully register new businesses in the Cayman Islands and support customers at all organizational stages.

Please contact our experts to get started or arrange a consultation, free or paid. We are here to assist you at every step, and beyond with ongoing support.