Here Are the Top Reasons for Starting a Business in the Cayman Islands
The Cayman Islands are one of the top destinations for corporations wishing to set up their ventures offshore. There are particular reasons why starting a business in the Cayman Islands sounds appealing. If you ever had any dreams of starting a business abroad, then the islands might as well be on the top of your list. The islands are a British Overseas Territory with an estimated population of about 60,000. Their location is in the Western Caribbean, west of Jamaica, and south of Cuba and Florida.
Being a British Overseas Territory, they create a legal system based on the British legal system. The official language of the islands is English. With the strong links it enjoys with the United Kingdom, the islands are very stable politically, safe and well protected. When rated with other regions in the Caribbean, the Cayman Islands enjoys one of the highest standards of living, with an estimated GNP per capita of $49,000. It is also worth observing that the Cayman Islands have an excellent infrastructure, featuring excellent communication facilities. They also have well planned and operated transportation system. So, what are some of the reasons why one may be interested in starting a business in the Cayman Islands?
The Tax Benefits
One of the primary reasons why businesses and corporations are interested in starting offshore companies in places like the Cayman Islands is the tax benefits. Some of these places have very low tax regimes. It implies that business will take home the maximum possible profits. A distinctive feature of the Cayman Islands is that it has zero taxation. It is one of the greatest appeals for foreign investors. There is no corporate or personal income tax. So businesses will not compel to pay taxes on their profits or gains as they enjoy proceeds from their investments. There are also no property taxes in the Cayman Islands, and this is further icing on the cake for those interested in establishing a business in British Overseas Territory.
Setting up companies offshore is always seen as the right way of having all kinds of global assets. The United Kingdom, and the Cayman Islands, by extension, have robust laws surrounding the formation and protection of assets owned by a company in their jurisdiction. You will be excited to know that the Cayman Islands encourages research and development, and any other type of work that may lead to asset generation. They know very well how fast the world is evolving. So they have put in place laws and regulations to ensure that investors’ assets, including intellectual property, are well protected. The fact that the country enjoys a stable political environment is another reason why investors don’t have to worry about the safety and security of their assets. Thus increasing the appeal of starting a business.
There is Less Red Tape for Starting a Business
Starting a business as a foreigner is never easy in most of the countries around the world. The processes involved are usually designed to ensure that the weak-hearted don’t make it through. As a result, very few companies ever manage to expand abroad. However, this is not the case when it comes to starting a business in the Cayman Islands. The local government has deliberately made it easy for foreigners to come in and begin operations in the shortest time possible. They have not just lessened the requirements, but also grant concessions and other benefits for those willing to start companies in the area. For example, the Cayman Islands does not compel foreign companies to hold annual meetings or restrict the number of directors or shareholders. It is these simple requirements that make the Cayman Islands an ideal place to start a business.
No Minimum Capital Requirement
Foreign governments will always demand that a business show proof of a minimum capital before they establish a business. This a requirement that is not present in the Cayman Islands and a very high incentive for any person willing to start a business in the territory. You are free to start your business, whatever amount of capital you have. Provided that you are sure that the money will be sufficient to fund your operations to profitability.
The Lifestyle and the People
The other reason why starting a business in the Cayman Islands is such an appealing idea is the lifestyle and the people. To begin with, we all know what kind of paradise the Caribbean is, and you can rest assured that the lifestyle that awaits you will be a pleasant one. From the perfect weathers, clean beaches and tropical gardens, you might as well think that you are on vacation, yet you are working.
Again, the Cayman Islands have a highly educated workforce, and this means that you will always find the right staff for your business. English is also the official language, so you don’t have to worry about any language barriers.