Business Set Up
Business
Set Up
Global Business License
GBL Companies are governed by the Companies Act 2001 and are regulated by the Financial Services Commission (“FSC”) of Mauritius. GBL Companies are tax resident in Mauritius and may benefit from a Partial Tax Exemption of 80% bringing down the effective tax rate to 3%. They have access to various Double Taxation Avoidance Agreements and Investment Promotion and Protection Agreements signed between Mauritius and other jurisdictions.
Authorized Company
An Authorized Company (“AC”) is governed by the Companies Act 2001 and regulated by the Financial Services Commission (“FSC”) of Mauritius. An AC is a tax-exempt entity which is essentially utilised for international investment holding, property holding, international trade and management and consultancy. Authorized Companies are not resident for tax purposes and do not have access to Mauritius' tax treaty network.
Domestic Company
A domestic company is incorporated under the laws of Mauritius by the Registrar of Companies and governed by the Companies Act 2001, amongst other legislations. The use of a domestic company is often considered as the best way to conduct business with Mauritian residents and is among the preferred route to investing in Mauritius but can also be used for other purposes. Also, all entities set-up as domestic companies will be able to benefit from the 3% tax rate on foreign income if they apply for a GBL license.
Limited Liability Partnership
The Limited Liability Partnership Act 2016 (the “Act”) has introduced limited liability partnerships (“LLPs”) in the laws of Mauritius. LLP integrates the basic features of both companies and partnerships. It is a suitable business vehicle that allows limited liability protection provided by the company structure and at the same time, it allows the partners to engage in management activity. The initiation of the LLP business structure in Mauritius promotes the country’s economic level and brings it in line with international best corporate practices.
Protected Cell Company
A Protected Cell Company (‘PCC’) is a single legal structure that can segregate its assets between different cells within the PCC. It is because of this segregation that the assets of each cell are deemed to be completely distinct from each other and as thus creditors of a particular cell have recourse only to that cell. Therefore, each cell has its own responsibilities in terms of its assets and liabilities and they are separate from the other cells within the PCC.
Mauritius Trust
Trusts in Mauritius are governed by the Trusts Act 2001. A trust is created when an individual or a legal entity (Settlor) gratuitously transfers the legal ownership of assets (Trust Property) to another person or persons (Trustees) to hold for the benefit of other person(s) termed as the Beneficiaries or for a specific purpose. The Trustee administers the assets and may distribute them to the Beneficiaries in accordance with the terms of the trust deed and the proper law of the trust.
Foundation
A Foundation is a vehicle designed to bring flexibility in the existing Mauritius corporate sphere and may be used to carry on or undertake any business or activity in or outside Mauritius, entering into any transactions and holding assets or for private wealth management and estate planning by high net worth individuals. Foundation in Mauritius are governed by the Foundation Act 2012. A Foundation may be set up to achieve both charitable and non-charitable objects and can be either to benefit a person or class of persons or to carry out a specified purpose. It acts through its council, which is the body in charge for the administration of the Foundation’s assets and the attainment of its objects.
Global Business License
GBL Companies are governed by the Companies Act 2001 and are regulated by the Financial Services Commission (“FSC”) of Mauritius. GBL Companies are tax resident in Mauritius and may benefit from a Partial Tax Exemption of 80% bringing down the effective tax rate to 3%. They have access to various Double Taxation Avoidance Agreements and Investment Promotion and Protection Agreements signed between Mauritius and other jurisdictions.
Authorized Company
An Authorized Company (“AC”) is governed by the Companies Act 2001 and regulated by the Financial Services Commission (“FSC”) of Mauritius. An AC is a tax-exempt entity which is essentially utilised for international investment holding, property holding, international trade and management and consultancy. Authorized Companies are not resident for tax purposes and do not have access to Mauritius' tax treaty network.
Domestic Company
A domestic company is incorporated under the laws of Mauritius by the Registrar of Companies and governed by the Companies Act 2001, amongst other legislations. The use of a domestic company is often considered as the best way to conduct business with Mauritian residents and is among the preferred route to investing in Mauritius but can also be used for other purposes. Also, all entities set-up as domestic companies will be able to benefit from the 3% tax rate on foreign income if they apply for a GBL license.
Limited Liability Partnership
The Limited Liability Partnership Act 2016 (the “Act”) has introduced limited liability partnerships (“LLPs”) in the laws of Mauritius. LLP integrates the basic features of both companies and partnerships. It is a suitable business vehicle that allows limited liability protection provided by the company structure and at the same time, it allows the partners to engage in management activity. The initiation of the LLP business structure in Mauritius promotes the country’s economic level and brings it in line with international best corporate practices.
Protected Cell Company
A Protected Cell Company (‘PCC’) is a single legal structure that can segregate its assets between different cells within the PCC. It is because of this segregation that the assets of each cell are deemed to be completely distinct from each other and as thus creditors of a particular cell have recourse only to that cell. Therefore, each cell has its own responsibilities in terms of its assets and liabilities and they are separate from the other cells within the PCC.
Mauritius Trust
Trusts in Mauritius are governed by the Trusts Act 2001. A trust is created when an individual or a legal entity (Settlor) gratuitously transfers the legal ownership of assets (Trust Property) to another person or persons (Trustees) to hold for the benefit of other person(s) termed as the Beneficiaries or for a specific purpose. The Trustee administers the assets and may distribute them to the Beneficiaries in accordance with the terms of the trust deed and the proper law of the trust.
Foundation
A Foundation is a vehicle designed to bring flexibility in the existing Mauritius corporate sphere and may be used to carry on or undertake any business or activity in or outside Mauritius, entering into any transactions and holding assets or for private wealth management and estate planning by high net worth individuals. Foundation in Mauritius are governed by the Foundation Act 2012. A Foundation may be set up to achieve both charitable and non-charitable objects and can be either to benefit a person or class of persons or to carry out a specified purpose. It acts through its council, which is the body in charge for the administration of the Foundation’s assets and the attainment of its objects.