Starting a Business
Businesses in the Cayman Islands are usually established by an individual, a company, or a partnership:
All companies must be registered with the Registrar of Companies. Companies can be formed with one shareholder and with no minimum capitalisation requirements (except for Exempted Limited Duration Companies).
Client privacy is protected by the fact that the Registrar can only release the name and type of company, its date of registration, the address of the registered office and the company's status. Disclosing any other information is prohibited except where assistance to law enforcement agencies is required.
Businesses that intend to operate in the jurisdiction are typically incorporated as a 'Resident Company'. Resident Companies are companies carrying on business in the Cayman Islands, which must report annually to the Registrar and which can hold land. As an alternative, companies that are incorporated outside of the Cayman Islands that wish to carry on business locally can register as a 'Foreign Company'
To incorporate a company, you must first check with the Registrar of Companies to see if the desired business name is available. If it is, you then need to:
- Prepare a memorandum of understanding, articles of association and a cover letter outlining your business proposal
- Submit at least two copies with the filing fee made payable to the Cayman Islands government
Applications for incorporating a business can be made to the Registrar of Companies and must be delivered in person to the Ground Floor, Government Administration Building, Elgin Avenue, George Town. (Tel: (345) 946 7922). We recommend that you enlist the services of a local law or management firm to submit the documents on your behalf.
Limited partnerships, which can be formed by two or more people or companies, are governed by the Partnership Law (2002 Revision), which requires them to be registered with the Registrar of Limited Partnerships.