Mauritius is becoming a booming hub for investors who want to start their own business setups. Many international investors are turning to this African Island because of the business-friendly environment it provides. Other than providing convenience for setting up your company, the process for company registration in Mauritius is quite hassle-free. As a result, many international companies are expanding their businesses here because it’s one of the most open economies in the African region.
Here are some of the reasons why Mauritius is attracting a lot of investors and companies.
Appealing & Convenient Tax System:
The government of Mauritius is doing its best to create an investor-friendly tax system. They are striving to create an environment that is suitable for the growth of both local “& international companies. The following are the tax benefits that investors and business owners enjoy in Mauritius.
- 80% tax credits to offshore companies.
- No inheritance taxes. The system is so tax-efficient that the monetary benefits of inheritors increase.
- If VAT is taken on equipment then custom duties are exempted.
- Double Tax Avoidance Agreement with 34 countries.
Easy Company Registration Process:
The company registration process in Mauritius is quite easy. You can just complete it in the following three steps:
- Firstly, you will have to visit the website of the Economic Development board to gather information regarding the registration process. This website is quite user-friendly so you will be able to find all your required information.
- After gathering the required information, the next step is to choose a law firm that will file and complete documents on your behalf. Engaging a reputable and trustworthy law firm is crucial as they will be liable for providing you with a financial strategy and investment plan.
- Once you have all the required documents, you will have to open the economic development board website again to complete your registration process. Start by clicking on the company registration link. After that, click on the link to register and login to your CBRIS. Lastly, after completing the form keep your BRN number safe.
Free Market Economy:
Mauritius enjoys a free market economy which means there is no limitation over exchange control. It makes it easier to transfer dividends, capitals, and profits out from Mauritius to other countries. As a result, you can easily transfer the profits that you make in Mauritius to the country where your headquarter is present. Because of this free market economy, many companies are relocating their branches here.
Suitable Time Zone:
Mauritius lies in the east of Madagascar. Because of its strategic location in the Indian Ocean, it enjoys a convenient time zone that is suitable for doing business in both Europe, Asia, and the American continent. You can easily do business in Europe, Asia, and America during the same day.
Protection for Foreign Business Owners:
Mauritius is one of those few countries in the world that provide investor protection. Being a signatory of numerous treaties and multilateral trade agreements, the country ensures the protection of the investors.
Political and Social Stability:
Ever since its independence in 1968, the country of Mauritius is experiencing political stability and a good market-driven economy. Because of the stable political environment, this island is progressing rapidly.
Free Ports:
Mauritian Freeport organization was set up in 1992 and since then it is providing a custom-free zone for reexported goods. The government of Mauritius wants to promote its country as a regional warehouse. It aims to help in providing marketing, distribution, and logistics services for Eastern & Southern Africa in the Indian ocean.
Offshore Asset Protection:
Mauritius has more than 37 tax treaties and more treaties are under negotiation. Moreover, Mauritius also enjoys the OECD white list jurisdictions as it is a tax-efficient country. Other than this, it also reaps the benefits from the vast network of double taxation treaties that will grant protection of your wealth in case of political or economic instability. Because of this reason, many international investors tend to maintain a bank account in Mauritius to enjoy endless wealth protection.
Apart from this, entities having double taxation trust holders can transfer their wealth to their successors in a tax-efficient way.
These are some of the reasons why Mauritius is emerging as a new business hub in the African peninsula.
