The Marshall Islands is a well-known tax haven that still attracts entrepreneurs from all over the world. As the world is shaken by various political, economic, and social events, people are looking for different baskets for their eggs, and starting a business in a safe offshore jurisdiction could be one of them. And even if you are new to the offshore business, we will provide qualified services to you and set up a company for you without much hassle.
Your Plan B arrangements may include more than just a company: you may need an offshore account, a trust in a reliable jurisdiction, second passports for all family members, real estate abroad, and so on. And our experts will help you with all of these aspects! If you have no experience, please read our full article before you decide that registering an offshore in the Marshall Islands is exactly what you need – and contact us if you have any questions.
Why the Marshall Islands?
This small island nation in the Pacific has been attracting entrepreneurs wishing to benefit from favorable offshore company establishment conditions since the 1990s. Business people also come here to take advantage of excellent offshore financial products provided by local banks.
Under the local regulations, International Business Corporations (IBCs) formed by non-residents do not have to pay any local taxes. The process of opening corporate bank accounts for such companies is quick and easy, and the range of banking services will satisfy any taste. The business laws of the jurisdiction have been elaborated to make it easy to use for any kind of business you want to engage in, and this is the reason why the destination is so popular.
Are there any differences that make the Marshall Islands stand out from other tax havens? Well, there are two peculiarities that can make it especially appealing to you: non-residents can register public companies here and raise funds to carry out trading activities.
The mild climate, the absence of obligations to exchange tax information, and enhanced privacy arrangements, added to the features mentioned above, have made the Marshall Islands an attractive choice for individuals and legal entities intending to incorporate a company in a stable offshore jurisdiction.
Company in the Marshall Islands: Benefits
The Marshall Islands is not the best jurisdiction that will suit everyone! By the way, if you asked us to name such a jurisdiction, we would be at a loss as the best country is the one that suits your purposes. Nevertheless, here is the list of advantages you can get from a Marshall Islands company, and you can look through them to see whether they match the priorities you set for your business:
- IBCs are exempt from any taxes
- You will need no more than one director to set up a company
- Company laws are modernized all the time to become more business-friendly
- Company officials are not entered into any public registers, which ensures a high level of confidentiality
- The official language is English, which is very convenient
- You are not required to comply with any reporting requirements
- No information on taxes is exchanged with any other countries
- You will not need to have your documents audited
- There is no currency control
- The economic and political environment is stable, which is a great asset in today’s world
- The jurisdiction is a well-reputed offshore market
Does it look like the jurisdiction of your dream or nearly so? If you have any questions or doubts, you can follow the above link and share them with our specialists. We offer a free consultation where we help budding entrepreneurs choose a jurisdiction that will be perfectly suited for their needs, and it may be just what you need.
Company in the Marshall Islands: Restrictions
The restrictions imposed on Marshall Islands companies are aimed at protecting the local economy and do not usually influence the decision to set up a business here. And still, you have to know them to make sure you comply with all the regulations:
- Marshall Islands companies cannot establish any trading relations with local entities
- They cannot hire local residents to manage their activities
- MI companies are prohibited to buy local real estate
- Finally, offshore Marshall Islands companies cannot act as registered agents for local companies
If you want to establish a Limited Liability Company (LLC) in the Marshall Islands, you will have to meet the following economic substance requirements:
- Your company should have enough qualified staff
- Your company is required to have a physical address (in the form of a rented office)
- Finally, your LLC should incur certain expenses within the country
These are mandatory requirements, and failure to comply with them may inflict a fine of up to $10,000 imposed on directors or shareholders. If the company fails to comply after the fine, it may even be wound up. You have to maintain your substance and regularly submit relevant reports via your registered agent.
Planning an IPO?
The Marshall Islands is a really good jurisdiction for this purpose!
The country has transparent laws and a good reputation in the international market, which will make your company look more trustworthy in the eyes of potential investors. Up to the present day, there are more than 40 companies registered in the Marshall Islands that have successfully completed an IPO and are now publicly traded at major stock exchanges (such as New York, London, and Singapore Stock Exchanges).
The best legal form for this is the International Business Corporation (IBC).
How Long Does it Take?
Our customers often ask us about the terms, and the Marshall Islands has an undeniable advantage here over other tax havens: the company registration process is really quick! It is officially declared that you may get a fully operational company in a matter of 24 hours. However, it may take longer in practice as you will have to collect the documents, translate them, send them, and finally have them verified. The realistic term is 1 to 2 weeks, and we will help you have a Marshall Islands company without much hassle.
Use the link above to contact our team of seasoned offshore experts!