International Business Companies in Dominica

The International Business Companies (IBC) Act seeks to develop Dominica as a tax- free domicile for international companies by offering a twenty (20) year exemption from all taxes and duties to aIl lBC's domiciled in Dominica. As a non-treaty domicile. Dominica offers to international companies ease of operation. confidentiality and anonymity.

The application process for an IBC is quick and easy and can be completed in twenty-four hours. Implementation of a project aimed at providing computer hardware, software and training for the staff at the registry to facilitate IBC registration has been completed. This will allow any company in any part of the world to get an IBC registered any time on any day via modem. This facility, along with the very attractive fee structure, places Dominica ahead of the competition in the business of registration of International Business Companies.

A company incorporated in Dominica will enjoy a wide range of benefits including the following, which give Dominica the competitive edge:

* In order to guarantee quick registration the government of Dominica is taking steps to appoint an additional registrar who will be assigned to company registration.

* Exemption from all local taxes, duties and other similar charges is granted for twenty (20) years.

* Total anonymity and confidentiality is provided by the availability of bearer shares and the non-requirement to file

organizational or accounting information with the Registrar of Companies. Share registers are required to be available for inspection only by registered shareholders or by Court Order.

* The Act places emphasis on offering ease of operation to international companies. There are no statutory requirements to hold annual general meetings. Time and venue for general meetings can be determined by members, and participation in meetings can be made by telephone or other electronic means.

* Shares can be issued for consideration other than money and without par value. * Members can reissue and reacquire their own shares.

* Single directors and corporate directors and shareholders are allowed. * The Exchange Control Ordinance does not apply to IBC's.

* Asset security is provided by the provisions for protection from seizure, expropriation or confiscation by foreign authorities,

and provisions for merger with companies in foreign jurisdictions or their companies in Dominica incorporated under this Act.

* The second Amendment to the Act allows for electronic registration, which will allow companies to register 24 hours a day, any day of the week.

An IBC cannot engage in business with residents of Dominica but can engage in all corporate activities subject to its Articles and Memorandum of Association. Included in the "can do's'. for an IBC domiciled in Dominica are the following:

* It can make or maintain deposits with a person carrying on business in Dominica.

It can maintain professional contact with lawyers. accountants. bookkeepers. trust and administration companies. investment or financial advisers or other similar persons carrying on business in Dominica.

It can prepare and maintain its books in Dominica.

It can hold meetings of its directors or members in Dominica

It can hold interests in real property or properties for use as an office from which to communicate with members. or where books and records of the company are prepared and maintained.

It can hold shares, debt obligations or other securities in a company incorporated under this Act or the Companies Act,