News: Registration of company in Barbados

Registration of a company in Barbados

Barbados is a country located in the Lesser Antilles of the West Indies, it is bordered by the Windward Islands and the Caribbean Sea, Saint Lucia, Saint Vincent and Grenadines, Martinique and north east of Trinidad and Tobago.

The capital of Barbados is Bridgetown (it is also the largest city in Barbados), the population of Barbados is over 280, 000 people with English and Bajan creole as its official languages. Barbados is ranked as one of the leading tourist destinations as it is considered part of the Caribbean islands. The official currency of Barbados is the Barbadian dollar (BBD).

The government of Barbados is that of unitary parliamentary constitutional monarchy. Barbados is a member of the Commonwealth of nations, world trade Organization, Caribbean Community (CARICOM), Organization of American States (OAS) and Caribbean Court of Justice (CCJ). The legislative framework regulating the activities of the company is the Companies Act 1982.

Benefits of Company Formation in Barbados

1. Political and economic stable jurisdiction;
2. Government policies favouring foreign investments;
3. Favourable tax regime (10 year tax holiday);
4. Details of shareholders and beneficiaries are not available to the public;
5. No minimum capital requirements;
6. No foreign currency control (Permit required);
7. Double taxation treaties signed with over 40 countries.

Business in Barbados: Taxes

• Corporate tax rate - 25%;
• Corporate tax rate for IBC - 1%-2.5%
• Personal income tax rate - 16%-33.5%
• VAT rate - 17.5%
• Duty-free options (including import duty exemptions)
• Double taxation treaties and tax information exchange agreements signed with over 40 countries and 5 countries respectively.
• Ten year tax holiday for newly incorporated companies.

Business in Barbados: Types of Companies

• Limited Liability Company
• International Business Company
• Mutual Insurance Company

To register a company in Barbados, it is necessary that the company's activities meet the following requirements:

• The company is registered in Barbados;
• The assets of the company accrued before the liquidation of a business, which will be used in favour of shareholders and charge holders (if they are residents of the Caribbean Community Countries) must not exceed 10%;
• Residents of the Caribbean Community Countries can have interests and dividend payments not exceeding 10%;
• Companies conducting relevant activities such as financial services, insurance, fund management, shipping, intellectual property holdings and equity holding companies and many more are required to meet an economic substance test which includes conducting its core-income generating activities within Barbados, having control and management from Barbados, and an adequate number of employees, expenditure and assets in Barbados according to their business activities;
• The Company name.

Bookkeeping in Barbados

Annual financial return - Yes.

Annual audit - No.

Annual tax return requirements - No.

An audit is only required if the profit gained by the company exceeds US$500,000.

Company Formation Requirements

1. Certificate of Incorporation;
2. Memorandum and Articles of Association;
3. Minimum of one shareholder;
4. Minimum of one director. No residence requirements;
5. No minimum capital share requirement;
6. Notarized copy of your passports;
7. Directors’ acceptance letter;
8. Company secretary appointment;
9. Legal registered office address;
10. Minutes of first meetings;
11. Share certificates;
12. Shareholders’ and Directors’ register.

How to Register a Company in Barbados: The Registration Process

Step 1. Law and Trust works with the client to get the company’s name and activity approval from the Companies Registry;

Step 2. Law and Trust works with the client to secure the Memorandum of Association (MOA);

Step 3. Law and Trust collects, prepares and files the necessary incorporation documents on behalf of the client to the relevant authorities for approval;

Step 4. Law and Trust works with the client to open a corporate bank account in Barbados;

Step 5. Law and Trust deliver the certificate of incorporation personally to the client or via courier service.

Barbados Company Formation FAQs

How long does it take to register a company in Barbados?

It takes from six weeks to complete the company registration process in Barbados.

Do I need a local address to register a company in Barbados?

Yes, it is required to have to a registered local address in Barbados to complete the necessary company registration and formation process.

Do I need a local registered agent to register a company in Barbados?

Yes, a local registered agent is needed to complete the company registration process in this jurisdiction.

How can I register a company name in Barbados?

The registration of a company name begins with the filing of the appropriate documents, Law&Trust helps with preparation and compilation of the necessary documents ensuring it meets the requirements set out by the Companies Registry with regards to the approval of a company name.

Why Incorporate with Law&Trust International?

Benefits of company registration, formation, and incorporation services with Law&Trust International in Barbados include:

Full range of related services: Provision of a full range of legal, corporate, government, and business intelligence related services in Barbados. A detailed overview of our services includes full legal support of the company registration procedure, obtaining a legal address, interaction with the official government authorities of the jurisdiction, state fees, legal address of the company for a year, production and registration of company stamps and advising the client as part of the registration process. Opening a bank account and the cost of these services are discussed during the consultation.

Professionals and expertise of Law: Worldwide registration and legal maintenance of companies, accounting services, and audit, tax planning and optimization, trademark and patent registration. Law and Trust provide clients with the best company incorporation services.

Domestic service: Law&Trust ensure our services cover every region, area or state in Barbados. Be rest assured that no matter where the new company intends to incorporate in Barbados, we’ve got the location covered.

Free initial advice: Free consultation from the lawyers of Law&Trust International regarding strategies or the provision of services for analyzing and developing a legal position on an issue the client raises in Barbados.

Confidentiality: Law&Trust makes use of modern technological features to keep the records and details of every client safe.

Efficiency and productivity: Strategically providing up to date personalized services to help your business succeed.

Ready for Company Incorporation?

If you are interested in registering and incorporating a company in Barbados, contact Law & Trust International by simply sending an email or call now to take your business to the next level!