The establishment of an International Business Company in The Bahamas allows the client to operate many aspects of a business with ease and confidentiality, with the additional benefit of tax planning. These companies can help manage and maximize income, thus providing fiscal advantages as well.

Such a company is often part of a trust structure which can be used for tax planning or where the ownership of an asset cannot be registered directly in a trustee's name. The IBC can also function as a quasi-Trust in the holding of assets anonymously, while still providing a certain degree of control over the assets by the settlor/owner.

With MSI, an IBC can:

  • Provide shelter and anonymity for assets and investment portfolios.
  • Enjoy maximum growth in the absence of tax on income or capital gains.
  • Transfer valuable ownership rights, including copyrights and royalties on patents, thus reducing some rates of withholding tax.
  • Accumulate increased profits over time which can be reinvested or used as working capital.
  • Provide operational freedom by not requiring the need for the company to specify the nature or purpose of its business in its incorporation documents.
  • Be incorporated within 24 hours.
  • Eliminate onerous regulatory requirements such as filing annual returns or financial statements, and holding annual general meetings of shareholders or directors.
  • Take advantage of full exemption from taxation in The Bahamas.
  • Engage in any lawful business in any country and carry out transactions in any currency.
  • Hold its books, records and minutes in any place or country at the director's discretion.
  • Hold meetings of shareholders and/or directors in any country, by proxy, or by electronic means.
Through MSI, the IBC can be constructed to meet the client's particular business needs by functioning as an international trading company, a self-contained quasi - trust, a holding company for other entities, assets or real estate, or to facilitate tax - efficient sale/lease - back arrangements.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances