The Seychelles offer a wide variety of financial services, including offshore banking, investments and insurance. The inexpensive International Business Company (IBC) is the most popular corporate entity and can be used for many purposes with few limitations. The International Business Company IBC is the most widely used vehicle for offshore operations in The Seychelles. The governing legislation is the International Business Companies Act 1994.
Your company name can be in any language as long as the relevant translation is approved first. Your name will need to end with Ltd, Corp, Inc, GmbH or similar. Certain words are prohibited such as names suggesting the patronage of any Government or country. The name approval process takes less than thirty minutes, and a name may be reserved for 10 days.
Directors may be of any nationality and may reside anywhere. Only one director is required and the names of directors do not appear in public records. There is no requirement to appoint a local resident director and the director can be a person or a Corporation.
Shareholders may be of any nationality and may reside anywhere. Only one shareholder is required and this can be the same person as the director. No upper limit to the number of shareholders and nominee shareholders are allowed. Finally the shareholder can be a person or a corporation.
There is no minimum share capital required and the capital may be expressed in any currency. Your IBC may issue as few or as many shares as it deems desirable. The recommend share capital by the Seychelles International Business Authority is US $5,000
You must have a registered agent and registered office in the Seychelles.
Features of a Seychelles International Business Company
- Your company name may be in any language.
- Your company name will need to end with Ltd, Corp, Inc, GmbH or similar.
- Accounts records need not be filed with the registrar.
- No minimum share capital requirement.
- The Memorandum and Articles of Association are the only documents held on the public record.
- An IBC also has the major benefit of being highly confidential.
- The Seychelles IBC is 100% tax-exempt, making it the ideal vehicle for trading purposes or for holding and managing private assets.
- An IBC is not liable to declare neither income or account information, or submit a return for taxes.
- Ownership of property in the Seychelles is not permitted although an office may be leased.
- The Seychelles IBC is also a confidential structure, no filing requirements with the authorities
- The Seychelles IBC is Tax Exempt Structure
- Seychelles IBCs are permitted to open their own offshore bank accounts
- No annual public disclosure of directors or shareholders is required
- No requirement for an Annual General Meeting to be held in the Seychelles. The directors may hold meetings in any country
- The Registers of Directors and Copies of Registers of Shareholders must be kept at Registered Address of the company or at any other address in Seychelles
An IBC may hold shares and other securities in a domestic company in the Seychelles. It may also buy bonds or other securities issued by the Government of the Seychelles. An IBC may also own or manage a vessel or aircraft registered in the Seychelles under the Merchant Shipping Act, 1992.
The Registrar only maintains copies of the Memorandum and Articles of Association as well as copies of the certificate of incorporation and of good standing, changes of name, details of Registered Office and the Registered Agent. The Registers of Directors and Copies of Registers of Shareholders must be kept at Registered Address of the company or at any other address in Seychelles. The Registrar only needs to know the address where such records are kept.
The company shall keep accounting records:
- That are sufficient to show and correctly explain the IBC transactions
- Enable the financial position of the company to be determined with reasonable accuracy at any time
- To enable for accounts of the company to be prepared Details of the address where the accounting records are kept is filed with the Registered Agent.
IBC status is granted subject to certain conditions:
- No business may be transacted with residents of the Seychelles.
- Ownership interest in real property in the Seychelles is not permitted, however a property may be leased for office use only.
- Banking or trust business may be carried on only if an appropriate license is issued.
- A licence is required to carry out insurance or re-insurance business.
IBCs are permitted to carry out various activities within the Seychelles without compromising their offshore status under the Act. These include:
- Professional contacts with lawyers and accountants.
- Preparation and maintenance of books and records.
- The holding of directors' or shareholders' meetings.
- Ownership of shares in other Seychelles companies.
- Ownership of Government or Central Bank securities.
- Ownership of a vessel registered in Seychelles.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.