DOING BUSINESS FROM OUTSIDE OF MAURITIUS IN 2020
Effective 1 January 2019, the Mauritius government abolished the Category 2 Global Business License (GBC2) company, and introduced a new entity, called the Authorized Company (AC). Furthermore, Category 1 Global Business License (GBC1) companies are now simply known as the Global Business Company (GBC).
| Compare different Mauritius entities | Non-resident company | GBC | Investment fund | CIS fund | Limited Liability Partnership |
|---|---|---|---|---|---|
| Locally known as | Authorized company (AC) | Global Business Company (GBC) | Investment fund | Collective Investment Scheme | LLP |
| Best use of entity? | Global trading | Holding Company | Asset management | Portfolio Investments | Professional services |
| License required before invoicing global customers? | Yes (Authorized Company License) | Yes (GBC license) | Yes | Yes | No |
| How soon can you invoice Clients/sign sales contracts? | 1 month | 1 month | 6 months | 6 months | 1 month |
| How soon can your Firm hire staff? | 1 month | 1 month | 1 month | 1 month | 1 month |
| How soon can you sign a lease agreement? | 1 month | 1 month | 1 month | 1 month | Immediately |
| How long to secure corporate bank account numbers? | 2 months | 2 months | 3 months | 3 months | 2 months |
| How long to secure company registration/tax numbers? | 3 weeks | 3 weeks | 3 weeks | 3 weeks | 2 weeks |
| How long to secure license certificate? | 1 month | 1 month | 5 months | 5 months | Not required |
| Mauritius corporate tax rate on annual net profits? (foreign sourced income) | 0% | 3% | 3% | 3% | 0% |
| Mauritius corporate tax rate on annual net profits? (locally sourced income) | local trading not allowed | 15% | 15% | 15% | 0% |
| Limited liability entity? | Yes | Yes | Yes | Yes | Yes |
| Resident director/legal representative required? | No | Yes (at least 2) | Yes (at least 2) | Yes (at least 2) | Yes (at least 2) |
| Company secretary legally required? | Recommended | Yes | Yes | Yes | Yes |
| Minimum/recommended paid up share capital? | US$1 | US$1 | 5% of funds raised from investors | Depends on license applied for | US$1 |
| Our recommended corporate bank account location? | ABC Bank | MCB | Bank One Mauritius | Afrasia Bank | ABC Bank |
| VAT payable on sales to local customers? | NA | 15% | 15% | 15% | 15% |
| Accounting and tax considerations | Non-resident company | GBC | Investment fund | CIS fund | Limited Liability Partnership |
|---|---|---|---|---|---|
| Statutory corporate tax payable? (foreign sourced income) | 0% | 3% | 3% | 3% | 0% |
| Statutory corporate tax payable? (locally sourced income) | local trading not allowed | 15% | 15% | 15% | 0% |
| Legally tax exempt in Mauritius if no locally sourced income? | Yes | No | No | No | Yes |
| Must file an annual tax return? | Yes | Yes | Yes | Yes | No |
| Must file annual financial statements? | Yes (financial summary) | Yes | Yes | Yes | Yes (statement of income) |
| Must always appoint an auditor? | No | Yes | Yes | Yes | No |
| Can have access to Access to Mauritius DTAAs? | No | Yes | Yes | Yes | No |
| Withholding tax on dividends to foreign shareholders? | None | None | None | None | None |
| Entity registration considerations | Non-resident company | GBC | Investment fund | CIS fund | Limited Liability Partnership |
| Resident director/partner/manager/legal representative required? | No | Yes | Yes | Yes | Yes |
| Appointment of a local company secretary required? | No but Recommended | Yes | Yes | Yes | Yes |
| Minimum number of shareholders/partners? | 1 | 1 | 1 | 1 | 2 |
| Minimum number of directors/managers? | 1 | 2 | 2 | 2 | 1 |
| Minimum/recommended paid up share capital? | US$1 | US$1 | 5% of funds raised from investors | Varies across licenses | US$1 |
| Can secure a financial services license? | No | Yes | Yes (required) | Yes (required) | Yes |
| Must appoint a local custodian? | No | No | Can be required | Can be required | No |
| Shelf companies available? | No | No | No | No | No |
| Must sign an office lease agreement during incorporation? | No | No | No | No | No |
| Can easily convert to a PLC / limited company? | Yes | Yes | Yes | Yes | No |
| Public register of entities? | Yes | Yes | Yes | Yes | Yes |
| Can have preference shareholders/partners? | Yes | Yes | Yes | Yes | Yes |
| Can bid for Government contracts? | Yes | Yes | Yes | Depend on license | Yes |
| Recommended to secure Mauritius residence for business owner? | No | Yes | Yes | Yes | Yes |
| Government grants available? | No | Yes | Yes | Yes | Yes |
| Good entity for trademark registration? | Yes |
| Can secure an import and export license? | Yes |
| Monthly VAT reporting to the Government always required? | No |
| Sponsorship by a local citizen required? | No |
| Temporary physical office solutions available? | Yes |
| You need a local resident as bank signatory? | No |
| Can be wholly foreign owned? | Yes |
| The entity will likely be regulated by? | Financial Services Commission |
| Shareholders & directors documents to be attested/translated? | Yes |
| Each foreign director needs a personal income tax number? | No |
| Foreign non-resident director needs a residence visa? | No |
| Maximum number of staff allowed? | No maximum number |
| Expatriate to local staff ratio? | None |
| Other useful information | Mauritius Substance Requirements |
| What will be included in my customer sales invoice? | Click link |
| This country has signed free trade agreements? | Yes, 46 Double Taxation Agreements signed |
| This country is a member of WIPO/TRIPS? | Yes |
| This country is a member of the ICSID? | Yes |
| Average custom duties incurred? | 1.48% (2018 data) |
| Government foreign investment approval required? | No |
| Average monthly office rental? (US$ per sq. m) | US$20 (2017 data) |
| Minimum statutory monthly salary? | MUR9,000 (US$245) |
| US$ deposit interest rate? (1-year average) | 3% (2017 data) |
| Overseas remittance currency controls? | None |
| Group HQ tax incentives? | No |
| Security deposit to be kept with Government? | No |
| Can secure trade finance? | Yes |
| Maximum shareholding for foreigners? | 100% |
| Banking considerations | |
| Multi-currency bank accounts available? | Yes |
| Corporate visa debit cards available? | Yes |
| Quality of e-banking platform? | Good |
| Crowd funding available in this country? | Yes |
Mauritius business setup summary
Useful links for Mauritius
Disclaimer: Healy Consultants Group PLC neither has an office nor staff in Mauritius nor is it licenced as a management company under Section 77(1) of the Financial Services Act of 2007 or in any other way by the Financial Services Commission.
