Frequently Asked Questions About Cayman Islands Incorporation

1. What are the advantages of incorporating an exempted company in the Cayman Islands?

An exempted company in the Cayman Islands offers several key benefits, such as no corporate taxation, as long as the company operates outside the Cayman Islands. You can also apply for a tax exemption certificate to secure tax-free status for up to 20 years. Additionally, the shareholder registry is private and not accessible to the public. Exempted companies also benefit from simple maintenance, with no obligation to file annual accounts with the government.

2. How do I name an exempted company in the Cayman Islands?

The name of your Cayman Islands exempted company must avoid restricted terms like “royal,” “imperial,” “bank,” and others unless you obtain approval from the Registrar. Additionally, the name must be unique and not match any other registered company. Exempted companies also have the flexibility of not needing to include “Limited” or “Ltd.” in their name.

For full guidelines, visit the Cayman Islands General Registry

3. What are the requirements to set up an exempted company in the Cayman Islands?

To incorporate an exempted company, the following are required:

• At least one director(no residency requirement)
• At least one shareholder
• A registered officein the Cayman Islands
• No business conducted with Cayman residents

It’s highly recommended to work with a professional service provider for smooth incorporation.

Read more about Cayman Islands Exempted Companies

4. How much is the government fee for setting up a Cayman exempted company?

The government fee for registering a Cayman exempted company varies based on the authorized share capital. For example, companies with an authorized share capital up to KYD 42,000 must pay KYD 600 (approx. USD 732). Fees may change, and your registered agent may charge additional costs.

Stay updated on fees at the Cayman Islands General Registry

5. How long does it take to incorporate a company in the Cayman Islands?

It typically takes 7-10 working days for the incorporation process, from the submission of all required documents, to receiving hard copies of corporate records. If you need faster service, express incorporation is available within 48 hours.

Explore the process at Cayman Enterprise City

6. What is the tax regime for a Cayman exempted company?

Cayman exempted companies are exempt from income, capital gains, and withholding taxes. Additionally, shareholders do not face estate or inheritance taxes on shares or dividends.

Find more details on tax policies at Cayman Islands Department of International Tax Cooperation

7. What are the government maintenance fees for a Cayman exempted company?

Government maintenance fees typically include:

• An annual feebased on the company’s authorized share capital
• Fees for registered agents

For accurate fee structures, visit the Cayman Islands Government

8. Does a Cayman exempted company need to hold an annual general meeting (AGM)?

No, exempted companies are not required to hold an annual general meeting (AGM) unless specified in their Articles of Association or if the Board of Directors decides via resolution.

Learn more about corporate governance rules at Cayman Islands Registrar of Companies

9. Do I have to disclose details of directors or shareholders?

Yes, exempted companies are required to maintain a register of directors and shareholders, and file this information annually with the Registrar. While this data is not made public, it is accessible to regulatory authorities.

See full disclosure regulations at the Cayman Islands Ministry of Financial Services

10. What business activities require a license in the Cayman Islands?

Certain industries, such as banking, insurance, money services, trust management, investment funds, and securities dealing, require licensing from the Cayman Islands Monetary Authority (CIMA).