Cayman Islands Exempt Company Legislation
The principal corporate legislation is The Company Law of the Cayman Islands. This legislation is based on the English Companies Act (1948) and can be found in the Cayman Islands Companies Law of 1960 (amended).
The type of Company used for international business and investment is an Exempt Company.
Corporate Structure of a Cayman Islands EC
Only one director required - can be an individual or corporate
Only one shareholder required - can be an individual or corporate
A director can be a shareholder and vice versa
No requirement for Cayman Islands residency for shareholder(s) and director(s)
A secretary is required - can be an individual or corporate
Confidentiality and Privacy
The Cayman Islands incorporation documents do not carry the name or identity of the shareholder(s)
The names of directors and officers are submitted to the Registrar of Companies but are not available to the public Shareholder(s) and director(s) nominee services are allowed to ensure confidentiality of beneficiaries
There are no taxes in the Cayman Islands on income, capital gains, profits, dividends, investments or capital transfers. The company receives a twenty year guarantee against taxation from the Cayman Islands Government, which may be extended to thirty years on application.
Financial Statements and Company Records
There is no requirement to file accounts with the registrar. However, an annual return must be filed. The return takes the form of a simple declaration.
Doing business using a Cayman Islands Exempt Company
A Cayman Islands Exempt Company can carry out any legal business and/or investment activity worldwide, they may not offer bank, insurance or trust services without prior authorization from the Cayman islands Monetary Authority.
Generally Cayman Islands Exempt Company´s cannot do business with Cayman Island residents or corporations.