Overview – Cayman Islands
The Cayman Islands is one of the leading financial center comprised of three islands in the Caribbean Sea located south of Cuba and it is also one of the British Overseas Territory. The Cayman Islands Companies Act is based on English common law and the most popular type of company is the exempted company.
The island is well known for its financial services sector, which is one of the main industries in the Cayman Islands with substantial commitment by the local government. It is one of the offshore centers approved by the Hong Kong Stock Exchange for public listing in Hong Kong. There are over 584 licensed banks and trust companies located in the islands as well as high quality accounting and law firms presented.
Benefits of setting up a company in Cayman Islands: -
- Absence of foreign exchange controls
- Can be used as a listing entity in Hong Kong Stock Exchange
- Company can adopt Chinese names
- Ease of identifying legal support professionals
- High privacy protection with minimal disclosure requirement
- No tax reporting and payable in Cayman Islands
- Not required to prepare annual audited financial statements
|Legal System||English Common Law|
|Standard Registered Capital||USD 50,000|
|Minimum Number of Shareholders||1|
|Minimum Number of Directors||1|
|Local Company Secretary Required||Optional|
|Local Registered Agent Required||Yes|
|Local Registered Address Required||Yes|
|Disclosure of Beneficial Owners on Public Records||No|
|Disclosure of Shareholders on Public Records||No|
|Disclosure of Directors on Public Records||No|
|Filing of Register of Director to local government||Yes (but not open to public)|
|Annual General Meeting||No|
|Filing of Annual Return to government||Yes|
|Preparation of Audited Financial Statement||No|
- A company may be registered with an English name and Chinese name if required.
Share Capital and Shareholder Requirement
- The standard authorized share capital is 50,000 USD and company can decide the par value per share (e.g. USD 1 per share).
- Must have at least one shareholder who may either be a natural person aged over 18 years old or a corporate body.
- There are no nationality restrictions for shareholder(s).
- Must have at least one director who may either be a natural person aged over 18 years old or a corporate body. There are no residency restrictions for director(s).
- A person who is an undischarged bankrupt must not act as director.
- There are no nationality restrictions for director(s).
- Appointment of Company Secretary is optional in Cayman Islands.
Cayman Islands Company Formation Procedure
Step 1: Select company name
- Propose an English and Chinese name if required
Step 2: Provide shareholder and director information
- Original / Certified copy of ID or passport of each Shareholder and Director
- Original / Certified copy of latest residential address proof of each Shareholder and Director
- Please specify the number of shares applied by each shareholder(s)
- Please specify the paid-up share capital for each shareholder(s)
Step 3: Submit application via any one of the following methods
- Email to [email protected]
- Tailor made company registration with English name only – 10 working days
- Tailor made company registration with English & Chinese name – 15 working days
Our representative will contact you within one working day after we received the above information.
Annual Maintenance – Cayman Islands Company
To ensure that the Cayman Islands Company is in good standing, it must carry out below basic annual renewal work: -
1. Renewal of Annua License Renewal Fee
Each Cayman Islands company must arrange payment for its Annual License Renewal Fee based on below schedule: -
|Company anniversary date between||License renewal due date|
|January to December||November 15th|
Consequences of Non-Compliance
If company failed to settle its annual license renewal fee on time, late penalties will apply with higher renewal fee and the company will be struck off by the local Registrar. A struck off company still bear its obligations, clients are highly recommended to arrange proper dissolution of the company should they decided not to retain the company.