News: Registration of company in Dominica

Company formation in Dominica

If you still confuse Dominica and the Dominican Republic, we hasten to clearly distinguish these two designations. The Commonwealth of Dominica has nothing to do with the Dominican Republic, which is former Spanish colony. The state of Dominica gained independence from the United Kingdom in November 1978 and is English-speaking country, in contrast to Spanish-speaking Dominican Republic.

Dominica is party to large number of international organizations, namely: the Commonwealth of Nations, the Organization of American States, and is member of the UN and the Caribbean Commonwealth.

Dominica is recognized as one of the most picturesque countries in the Caribbean. The climate is mild, especially during the period from December to March. The area occupied by Dominica is about 800 km2. And the population is approximately 65,000 people, 3,000 of whom are indigenous inhabitants of the Caribbean. The main feature of all the residents of Dominica which is well-known in the world is hospitality.

The state's currency (the East Caribbean dollar) is dependent on the US dollar. The basis of the country's economy is the export of agricultural products. Tourism is important and developing sector of the contemporary economy of Dominica. The economic development of the country as a whole is characterized by clear structured approach of the government, which has elaborated various special programs.

One of the most famous was the program, which provided for the procedure of obtaining citizenship by investors. At the same time, the registration of offshore company in Dominica is becoming increasingly popular. Business in Dominica is progressively attracting foreign investors as well as residents of the state.

Offshore company in Dominica: Main advantages

• Registration of offshore company in Dominica is extremely simple and quick procedure. Only one or two days are required for the registration chamber to consider the application;
• Lack of taxes for a certain period (usually up to 20 years);
• Low rates of company registration and its maintenance;
• $ 100 is enough to establish company in Dominica;
• Lack of requirements for being audited and submitting accounting statements;
• Confidentiality guaranteed by law;
• The use of nominal service is allowed.

Forms of doing business in Dominica

The legislation of Dominica provides for possibility of establishing enterprises in various forms. Nevertheless, the practical interest of potential investors from other countries is caused by the traditional offshore company in Dominica which is International Business Company (IBC).

Peculiarities of IBC in Dominica

• Offshore company is managed by one either natural or legal person;
• Issue of bearer shares is permitted. The owners of the company are entitled to decide which classes, types and fractions of shares are to be issued;
• There is no requirement to pay the minimum authorized capital;
• The authorized capital can be declared in any currency, even non-convertible one;
• Free choice of place for holding the shareholders’ meetings and the meetings of directors;
• Storage of minutes of the meetings of owners (directors and shareholders) of the company and financial documents is permitted anywhere in the world;
• The only form of reporting which shall be submitted to the relevant authorities is the address of storage of the document;
• Absolute anonymity for the owners of the company is ensured;
• The register of directors and shareholders is not maintained. Only the copy of the Charter and the Memorandum of Association with the copy of the registration certificate are stored in the registrar's file;
• One offshore company in Dominica may own another offshore company, or be its director;
• It is possible to have the office in the territory of Dominica, while managing the affairs of the company therefrom;
• The company can have bank account in any country, including Dominica, without being subject to currency control by the jurisdiction;
• 100% repatriation of capital is guaranteed, as well as repatriation of profits from the activities outside of Dominica;
• Companies can move from other jurisdictions, merge and consolidate with other companies;
• The amount of the registration fee is fixed (in case of increase in the amount of fee in the future, offshore in Dominica will pay the amount of the fee which was relevant in the year of registration of the company);
• The company shall have licensed registered agent;
• The address of the company should be maintained in the territory of Dominica.

As any company in the world, the offshore company in Dominica can be stricken off in case of delinquent payment (or lack thereof) of the fee for renewal of registration. At the same time, pay your attention to the specifics of contributing payment of the fee.

• The annual fee shall be paid no later than on the day of registration of the company, after the expiration of the calendar year. In case of failure to provide payment by December 31 of the year, when the company have consistently been charged with the amounts of two attached penalties for delaying payment of fees, the offshore company in Dominica is struck off the Register of Companies. And the official press publishes the corresponding information;
• In order to renew the offshore in Dominica, it is needed to eliminate the arrears in payment of fee and penalties. But, in most cases, the former name of the company can no longer be used. The reason for this is the fact that while the company is listed as being struck from the Register, another offshore company can be registered under the same name.

The income of offshore company in Dominica is not taxed.

Registering offshore company in Dominica is now easy and fast procedure.  Offshore registration in Dominica and establishment of business in Dominica will require minimal expenses and time with our help. Registration of companies, trusts, offshore companies in different countries of the world is one of the main directions of our work.