However, the procedures for registering a company on-site may appear more or less complex at first glance. Here is a guide that will assist you in navigating the process effectively.
Understanding the Various Business Entities in Seychelles
Before embarking on Seychelles company formation, it is crucial to familiarize yourself with the available legal forms. The International Business Company (IBC) stands out as the most suitable option for those aiming to conduct economic activities outside the country.
This business structure does not require any initial capital, enabling the launch of a business with minimal investment. IBCs are independent entities, with their assets distinct from those of the shareholders. Moreover, they can be formed with a single shareholder who can also assume the role of a director. This legal status is exclusively reserved for non-resident companies.
For those looking to operate both locally and internationally, a Limited Liability Company (LLC) is a viable choice. Similar to an IBC, no initial capital is required. However, a minimum of two shareholders is necessary to establish this type of business. To be the sole shareholder of a business and operate within the Seychelles territory, opting for a Sole Trader company is a good option. It’s important to note that with this legal form, the entrepreneur may have their assets seized to settle the company’s debts.
Steps to Register a Company in Seychelles
The process of registering a business in Seychelles can be completed entirely remotely in less than 24 hours. Ideally, it is recommended to enlist the services of professionals specialized in this sector. Once in contact with a trusted service provider, the next step is to provide the necessary information and documents for the pre-registration of the company.
You will need to specify the desired legal form and the name of the company. Additionally, you must indicate who the shareholders will be, their shares and their roles within the company. Regarding the documents, you will have to submit the company’s articles of incorporation, identification documents, and proof of residence for each shareholder.
Once these initial formalities are complete, the service provider will handle the necessary procedures to register the company in Seychelles. Subsequently, you will receive the legal documents physically by mail at an address of your choice. Other formalities, such as opening a bank account or registering with the Seychelles Revenue Commission, will be carried out after the registration of your business.
Common Mistakes to Avoid
It’s important to note that income generated outside Seychelles is exempt from profit taxes. However, while this rule applies to IBCs, it does not extend to resident companies. Therefore, being aware of this factor is crucial when choosing the legal form.
Another pitfall to avoid is establishing your company in Seychelles with the intention of launching an e-commerce business. Similar to several African countries, common payment methods such as Stripe or Paypal are not accessible from Seychelles. Operating without these solutions could pose a significant handicap to your business.
Lastly, exercise caution when choosing a name. It must be unique, not reference local government institutions, and should not contain extremist allusions or insults towards any social group. Ensure compliance with these guidelines to prevent potential issues with the registration and operation of your business in Seychelles.
Various options are available when it comes to registering a company in Seychelles. You can choose between an IBC, an LLC, or a Sole Trader based on your projects and business goals. All registration formalities can be conducted remotely, provided you find a reliable service provider on-site. Despite the relative simplicity of these procedures, it is crucial to gather as much information as possible to avoid common pitfalls in the process.