Business entities in Gibraltar in 2024
Healy Consultants will assist our Clients with Gibraltar business setup after determining the optimum corporate structure for our Client. There are several ways of doing business in Gibraltar, the most common being the setting up of an offshore company. Please find more information on different business entities available below:
The Gibraltar non-resident company (offshore company)
- The Gibraltar non-resident company is a limited liability company that requires only one shareholder and one director. The required minimum capital is £1;
- This business entity is incorporated in Gibraltar with the Companies House Gibraltar but owned and managed by non-residents of Gibraltar whose meetings are also held outside of the territory of Gibraltar;
- The non-resident company is not recognized as a taxpayer and enjoys tax-free status . Therefore, this is a simple and inexpensive offshore establishment available to Clients looking to incorporate a company in Europe;
- In order to retain its non-resident status for tax purposes, the non-resident company may not trade within or remit income into Gibraltar.
The Gibraltar limited liability company (LLC)
- A Gibraltar LLC requires only 1 director and 1 shareholder of any nationality. The minimum paid-up capital required is £100;
- If the company is making more than £500,000 sales per year, it Is then mandatory to appoint an auditor resident in Gibraltar who is registered with the Financial Services Commission . The company must submit annual audited financial statements.
The Gibraltar public limited company (PLC)
- Clients interested in Gibraltar company setup can alternatively, also register a PLC. A Gibraltar PLC is required to appoint a minimum of two directors and seven shareholders of any nationality. The minimum paid-up capital required is £20,500 and a company secretary must also be appointed;
- It is not mandatory for a Gibraltar PLC to appoint a resident director. However, similar to the LLC, the Gibraltar PLC must also appoint a statutory auditor residing in Gibraltar, to be responsible for filing audited financial statements annually.
The Gibraltar branch of a foreign company (International business branch)
- Foreign companies can also setup a branch office in Gibraltar;
- The branch is required to appoint at least one corporate agent who should be resident in Gibraltar authorized to accept service of any notice on behalf of the company;
- The branch is treated as a separate legal entity and is subject to the standard corporate tax of 12.5% on income sourced within the territory of Gibraltar. However, there is no branch remittance tax.
Table of comparison between Gibraltar entities
| LLC | PLC | Non-Resident | Branch office | |
|---|---|---|---|---|
| Also known as | LLC | PLC | Offshore company | International business branch |
| How long to set the company up? | 1 week | 2 weeks | 2 weeks | 2 weeks |
| How long to open company bank account? | 3 weeks | 3 weeks | 3 weeks | 3 weeks |
| Legal liability? | Limited | Limited | Limited | Unlimited |
| Wholly foreign owned? | Yes | Yes | Yes | Yes |
| Minimum paid - up share capital? | £100 | £20,500 | £1 | £1 |
| File annual tax return? | Yes | Yes | Yes | Yes |
| Tax registration certificate required? | Yes | Yes | Yes | Yes |
| Recommended corporate bank account? | EFG Bank | Credit Suisse | Lloyds TSB | RBS |
| Does our Client need to travel? | No | No | No | No |
| Resident director required? | No | No | No | No |
| Resident shareholder required? | No | No | No | No |
| Minimum directors allowed? | 1 | 2 | 1 | 1 |
| Minimum shareholders? | 1 | 7 | 1 | 1 |
| Tax identification code needed? | Yes | Yes | No | Yes |
| Company secretary required? | Yes | Yes | Yes | No |
| Corporate agent required? | No | No | No | Yes |
| Corporate shareholders allowed? | Yes | Yes | Yes | Yes |
| Corporate director(s) allowed? | Yes | Yes | Yes | No |
| Statutory audit required? | No | Yes | No | No |
| Gibraltar corporate tax rate? | 12.5% | 12.5% | 0% | 12.5% |
| Annual financial statements required? | Yes | Yes | Yes | No |
| Regulated by? | Companies House of Gibraltar | Companies House of Gibraltar | Companies House of Gibraltar | Companies House of Gibraltar |
| Allowed to issue sales invoices? | Yes | Yes | No | Yes |
| Allowed to sign contracts? | Yes | Yes | No | Yes |
| Allowed to import and export goods? | Yes | Yes | No | Yes |
| Can rent an office space in Gibraltar? | Yes | Yes | Yes | Yes |
| Can buy Gibraltar property? | Yes | Yes | No | Yes |
| Total Gibraltar business setup costs in yr. 1? | £22,700 | £12,500 | £10,500 | £12,300 |
| Subsequent annual costs (incl. accounting and tax fee)? | £5,400 | £4,600 | £4,600 | £5,900 |
| Sample engagement invoice? | View invoice PDF | View invoice PDF | View invoice PDF | View invoice PDF |
