Simplifying Company Registration in Bermuda With 3E Accounting

Bermuda, a British Overseas Territory in the North Atlantic Ocean, offers a stable business environment for local and foreign entities. And to help you reap all the benefits of this economy, this article provides a comprehensive guide to company registration in Bermuda.

 

Reserving Your Company Name and Liaising with Authorities

The initial step in Bermuda company registration is reserving your desired company name through the Registrar of Companies. 3E Accounting can help you come up with a company name and help facilitate communication with the Bermuda Monetary Authority and other relevant authorities to ensure a smooth start to the registration process.

 

Structuring the Company and Preparing Registration Forms

To comply with the Companies Act 1981, our team assists in structuring your company according to your requirements. We guide you in drafting the Articles of Association or Statutes, which establish the framework for your company’s operations.

 

Filing Documents and Obtaining the Certificate of Incorporation

Our dedicated professionals handle the preparation and filing of all required documents with the Bermuda Monetary Authority, including applications for incorporation, share capital details, registered office address, intended business activities, and shareholder information. Upon approval, you will receive the Certificate of Incorporation, confirming your company’s legal existence.

 

Directors, Shareholders, and Resident Representatives

Bermuda companies typically require at least one resident director, who need not be a Bermuda resident. 3E Accounting can help you find and hire a director or a nominee director. If necessary, we can assist in appointing a resident company secretary or representative. By the way, the latter is also compulsory.

 

Registered Office

Companies in Bermuda must have a registered office within the country. The registered office should be a physical location and not just a PO Box. It’s where all your official business messages will be sent.

 

Types of Companies in Bermuda

Bermuda offers various types of companies to suit different business needs:

• Company Limited by Shares: Suitable for conducting business activities within Bermuda.
• Company Limited by Guarantee: Offers liability protection.
• Unlimited Liability Company: Provides flexibility in business operations.
• Limited Duration Company: Ideal for specific project-based ventures.

 

The Bermuda Exempt Company

The most preferred company type in Bermuda is the Bermuda Exempt Company. It is allowed to engage in any activity provided by law, with some exceptions such as banking, trust, insurance, and reinsurance services that require licensing.

Prohibited activities include commercial dealings with Bermuda residents, owning real estate within the jurisdiction, and activities contrary to national interests.

 

Business in Bermuda: Taxation and Benefits

Bermuda boasts a favorable taxation regime with a corporate tax rate of 0%. There is no personal income tax or VAT. Additionally, Bermuda has signed double taxation treaties with 41 countries, providing international tax benefits.

 

Economic Substance Requirements in Bermuda

The Economic Substance Act 2018 and the Economic Substance Regulations 2018 are in effect in Bermuda. These regulations apply to registered entities conducting relevant activities, including banking, insurance, fund management, and more. Compliance with economic substance requirements is essential for businesses in Bermuda.

 

Documents Required for Bermuda Company Registration

• Passport of the company’s shareholder, notarized and translated into English.
• Utility bill in the name of the company’s shareholder, notarized and translated into English.
• Set of statutory documents of the parent company, notarized and translated into English.
• Business plan.
• Signed Declaration of beneficiaries.
• Power of attorney for company registration.

 

Minimum Investment Requirements in Bermuda

In Bermuda, the standard currency is the U.S. Dollar, and there is no specific minimum amount of issued capital required. Bearer shares are not issued, and authorized capital typically hovers around $12,000. Shares have a nominal value of USD 1, and the issuance of shares without par value is not permitted.

 

Ready for Company Registration in Bermuda?

Choosing 3E Accounting for your Bermuda company registration provides several advantages, including a full range of related services, professionals with expertise, domestic service coverage, free initial advice, confidentiality, efficiency, and productivity.

If you are interested in registering and incorporating a company in Bermuda, contact 3E Accounting to take your business to the next level.