Belize is a beautiful country in Central America, known for its picturesque landscapes. But do you know the business benefits of Belize?
Well, to start with, Belize is becoming a popular destination for offshore company registration.
Foreign investors seeking this destination must look out for the following aspects:
- Favourable tax regulations
- A streamlined registration process.
But before diving headfirst, it’s essential to navigate the current understanding of Belize.
Check out this article to learn about the crucial considerations of offshore company registration in Belize.
Benefits of Offshore Company Registration in Belize
There are multiple reasons behind Belize’s popularity as an offshore company registration. Have a look at it:
1. Tax Exemption
Belize LLC has tax relief. You don’t have to pay any corporate tax for a Belize LLC. On the other hand, an IBC is taxed between 1.5% to 19% depending on your income. Therefore, people tend to start an LLC in Belize.
2. Financial Privacy
It’s easy to engage with banking activities for your company without facing any consequences. This is due to the country having few treaties with other governments.
Belize doesn’t provide any restrictions on currency movements for your financial transactions. There is no currency exchange control which can limit currency movements.
3. Easy Incorporation Process
- You have to submit minimal documents for company formation.
- The legislation is easing up the Belize company incorporation
- An offshore company registration in Belize takes 2-3 working days at a low cost.
4. Flexible Corporate Structure
- A Belizean offshore company offers you flexibility.
- It accommodates a one-man business operation and a multiple-shareholder system.
- Business operations are less complex in comparison with other jurisdictions.
- You get numerous options for company structures. The options include an International Business Company (IBC), a Limited Liability Company (LLC) etc.
5. Stable Economy
- According to the World Bank report, Belize surpassed its pre-pandemic level in 2022. The gross domestic product (GDP) is $2.5 billion, and the per capita GDP is $6,049.
- Belize is enjoying trade agreements through economic union. Its proximity to the United States and Mexico is benefitting the country with an export-oriented market.
- Besides these statistics, Belize is developing business-supportive regulations for attracting foreign investors.
6. Political Stability
Belize is a politically and currency-stable country actively seeking foreign direct investment (FDI). Political violence is uncommon. This gives the investors the confidence to start their businesses in Belize.
7. Strategic Location
Location plays a vital role in any business. Belize is well-connected with Central and North America by sea and air transportation. The operational efficiency encompasses the business environment in Belize for an offshore company.
Key Features of Offshore Company Formation in Belize
- The government fees must be paid annually.
- A high level of confidentiality is to be maintained.
- There are no mandatory audit requirements for a Belize offshore company.
- You can keep your financial records anywhere in the world if you are keeping one.
- Requirements for having a physical office in the country depend on the company structures. For example, an IBC must have a registered office, whereas that’s not the case for an LLC.
Different Legal Entities for Offshore Company Registration in Belize
There are numerous business structures for registering a Belize offshore company. But what difference does each structure make?
Let’s find out here:
1. Limited Liability Company (LLC)
LLC is one of the most popular business structures in Belize. An LLC has attractive features for international use. Check the features of a Belize LLC hereby:
| Meetings | No |
| Exchange Control | No |
| Minimum Members | 1 |
| Minimum Manager | 1 |
| Limited Liability | Yes |
| Meeting Location | Anywhere |
| Company Secretary | No |
| Public Filings | No |
| Taxation on Profit | No |
| Audited Accounts | No |
2. International Business Company (IBC)
Belize IBC is a private company established with international compliance for doing global business. A Belize IBC is used for asset protection, bank account opening, and international commercial transactions.
Let’s have a look at the features of a Belize IBC:
| Board of Ownership | Yes |
| Shareholder Ownership | Yes |
| Paid-up Capital | No |
| Annual General Meeting | No |
| Resident Director | No |
| Accounting Records | Yes |
| Minimum Shareholder | 1 |
| Minimum Director | 1 |
| Corporate Directorship | Yes |
3. Foundation
A Belize foundation is an amalgamation of a trust and a company. The founder can be an individual or a corporate body. Check the features of a Belize Foundation:
| Taxation on Profit | No |
| Exchange Control | No |
| A Business License | Yes |
| Council Member | Yes |
| Beneficiaries | Yes |
| Shareholders | No |
4. Trust
A trust refers to an owner of assets (Settlor) who transfers the assets to an independent other party (Trustee). The Trustee is legally bound to maintain and manage assets for the benefit of other persons (Beneficiaries). Check out some of the features of a Belize Trust here:
| Taxation | No |
| Stamp Duty | No |
| Exchange Control | No |
Requirements for an Offshore Company Registration in Belize
Here are some general requirements for a Belize offshore company formation:
- A registered office is required for a Belize IBC.
- The director of the IBC can be a corporate entity.
- You have to provide evidence of economic substance within Belize.
- You have to submit an audit report if the income surpasses $6,000,000.
- A minimum of 1 director and shareholder are required. They can be of any nationality.
- Minimum requirements for company books and records are needed. However, it’s not mandatory to keep the accounting records in Belize.
You will need to obtain a permit for the following business activities:
- Trust business
- Banking business
- Collective investment schemes
- Insurance or reinsurance business
- Business of managing or administering funds
- A business providing registered agents/offices for companies.
The Process of Offshore Company Registration in Belize
Once you decide to start an offshore company in Belize, you have to proceed with the company formation process. Check out the steps hereby:
1. Appoint a Registered Agent:
Registered agents are certified professionals who know the company incorporation process inside out. They are well-versed in the process of offshore company registration in Belize. Contact one of the registered agents and proceed with the further steps.
2. Select a Business Structure:
Belize provides various business entities for you to choose from. Select one structure suitable for your business. Each structure has its own pros and cons.
3. Finalize a Trade Name:
The next move is to choose a trade or a business name that becomes the company’s face. Selecting a business name is a time-consuming task, but it needs to be done carefully. It is to be noted that the name chosen should not sound offensive and must be in English.
4. Submit the Documents:
Once the name selection process is completed, the company documents are to be drafted accordingly. Register the company and obtain the Incorporation Certificate for your Belize offshore company.
5. Apply for the Business License:
The complete set of documents is to be submitted to the business advisor, who, in turn, will take it to the respective authorities to get permission. If the records are valid and according to the rules, approval will be issued. If it is not, you need to clarify with your business advisor to rectify the essentials and submit them again.
6. Open a Belize Offshore Bank Account:
The final move is to open a bank account in Belize. The bank will be responsible for your financial transactions.
Required Documents for Belize Company Registration
You have to submit the following documents for an offshore company registration in Belize:
- A duly certified passport or national ID copy
- A completed and signed Company Order form
- Proof of address (a recent utility bill or bank statement)
- Legal documents such as Memorandum of Association and Articles of Association.
The Cost of Belize Company Incorporation
Belize company formation cost starts from $1410.
Note: The cost will vary depending on the company structure and other company requirements.
Your Service Provider | BSW
Starting an offshore company in Belize is a beneficial move for foreign investors. Choose a reputable and experienced business consultancy to ease the company formation process.
Our Belize Offshore Company Formation Services
Our Belize company formation package includes different services. We will provide you with tailored company formation services. Check out the following services we are offering for offshore company registration in Belize:
- Bank account opening
- Required business license
- Remote company registration
- Annual accounting and tax services
- Registered office and agent services
Business Setup Worldwide is one such consultancy that has both. We have been dealing with Belize company registration for over 7 years. We take immense pride in saying that our business consultants carry out the whole process with utmost efficiency. So don’t delay; contact us to get started today.
