The Republic of Vanuatu is an island country situated in the South Pacific Ocean on a volcanic archipelago. It has a total land area of 4,706 miles, and a population of more than 292,773 people. The nearest nations to Vanuatu are Fiji, the Solomon Islands,
New Caledonia, New Guinea, Australia and New Zealand. Vanuatu uses an English Common Law framework. But, the Island nation’s constitution mandates that the Parliament may abolish any pre-independence British legislation. Vanuatu started to offer offshore financial products in 1971. And, it became known as an offshore financial destination after the implementation of the 1993 International Companies Act. Other than the International Companies Act, the following laws also regulate businesses in Vanuatu:
–The Companies Act
– The Banking, Insurance, Stamp Duties and Trust Companies Act
The International Companies Act deems directors personally accountable for making sure that the Vanuatu International Company (IC) meets its duties. The Financial
Services Commissioner executes these legislations while the Vanuatu Supreme Court arbitrates any clashes. If you want to get a Forex license or manage investments in Vanuatu, you’re legally required to make an application for a financial license. Benefits of Starting an Offshore Company in Vanuatu A Vanuatu company formation comes with the following benefits:
– A Vanuatu offshore company is exempt from corporation tax, income tax, turnover tax, inheritance tax, taxation on capital export, and taxation on stock exchange gains
– The island jurisdiction does not require corporations to reveal their beneficial owner, director(s) or shareholder(s)
– Corporations can issue bearer shares to guard shareholder privacy
– The official language in the island nation is English
– Fast incorporation process
– Flexible corporate management
– No need for a company secretary
Choosing a Company Name in Vanuatu
Picking a name is an essential step in the Vanuatu company formation process. The name you choose for your corporation should be unique, and not similar to any of the existing company names. Normally, you submit three name versions with the hope of getting one of them approved.
Registered Address International companies in Vanuatu should have a local registered agent, and office address provided by the licensed agent. The local address is critical for processing service requests and official notices.
Company Shareholders, Directors and Officers
The Island nation requires all corporations to have a minimum of one shareholder and one director. And, it is not a must for the shareholders or directors to be Vanuatu residents. Additionally, a company secretary is not necessary in this country.
The standard authorized capital is USD 10,000, and the minimum paid up is USD 1.
Offshore Vanuatu companies are exempt from local taxes for 20 years, and are only required to pay a minimum yearly fee of USD 300 for renewal.
It is not mandatory for corporations to disclose the identity of their beneficial owner, shareholder(s) or director(s) in public records.
Accounting and Auditing
International companies are required to prepare yearly lists, but filing them to any authority is not mandatory. Audits are not necessary.
Annual General Meetings Vanuatu does not require corporations to hold annual general meetings, and the meetings can be held at any location.
Incorporation Time Limit
Incorporation takes about two business days. Prompt completion depends on how long it takes for the company name to be accepted, and the accuracy of the applicant in completing registration forms.
Offshore company incorporation takes a shorter time with the help of shelf corporations.
Vanuatu company formation comes with numerous benefits. Offshore corporations in
this country are not required to pay a corporate tax, and they require just one
shareholder for incorporation. Moreover, they don’t need to reveal their owner,
shareholders or directors publicly and may provide bearer shares to offer extra privacy