5 Steps to Proceed with Seychelles Company Formation with Bank Account

Ever wondered how to register company in Seychelles, the island located off the eastern coast of Africa? The jurisdiction of Seychelles is often associated and commonly known as popular tourism destinations, with its main economic activities revolving around tourism and fishing. With the nation’s efforts in aspiring to transit into a financial hub, the government of Seychelles passed the Seychelles Investment Act. The Seychelles Investment Act welcomes foreign investments but also protects local businesses with restrictions placed upon certain local dominated industries such as artisanal fishing, small boats charters, taxi services as well as scuba diving. With the country opening its borders and welcoming foreign investments and expertise to transform itself into a financial hub, foreing investors are increasingly choosing Seychelles as its destination for incorporation. Before you register company in Seychelles, follow Tetra Consultants as we share 5 steps to proceed with Seychelles company formation with bank account for your reference.

1) Choose a Suitable Business Entity 

The first step to proceed with Seychelles company formation with bank account is to know the common types of company entity that you can choose to incorporate as.

The International Business Company, or more commonly known as IBC, is one of the most widely used business vehicles for offshore operations in the jurisdiction of Seychelles. The IBC usually takes on the form of a private company that is limited by shares and this particular form of business entity is governed by the International Business Companies Act. To form an IBC in the country of Seychelles, only a minimum of 1 director and 1 shareholder is required, of which both need not be a resident of Seychelles and can be from any nationality. In addition, there is no minimum requirement of share capital and there are not requirements for meetings to be held in the jurisdiction of Seychelles, unlike other jurisdictions with economic substance limitations.

However, there are some times to take note if you choose to set up an IBC in Seychelles. IBCs are not allowed to transact business with residents of the Seychelles and have any ownerships in real estate property in the country. Property will only be allowed to be on lease for office use only. The jurisdiction of Seychelles is another popular choice for incorporation or offshoring businesses to set up an IBC due to the low tax requirements.  IBCs have to only pay for annual renewal fees at a set fee of USD$100 and subject to a 7.5% tax rate.

Alternatively, interested parties can also opt for forming a limited partnership in the country of Seychelles. A limited partnership consists of a minimum of 2 partners and at least one partner is a general partner. At the minimum, one of the general partners has to either be a resident individual or a business firm domiciled in the country.

2) Reserve Preferred Company Name:

The second step to proceed with Seychelles company formation with bank account is to reserve your preferred company name. To find out if your proposed company name is available, you can head over to the online portal of the Seychelles Financial Services Authority and utilise their company search e-services. Do keep in mind the name of an IBC must end with an approved suffix.

3) Document Preparation:

The third step to proceed with Seychelles company formation with bank account is to ensure that you have prepared the necessary documents for a smooth and prompt registration process. The main registration documents that you have to prepare are the memorandum and articles of association. Your reservation proof of the business name has to be presented as well. Passport and residential proof of the shareholders, directors have to be presented too. These documents will have to be proposed to the Seychelles Investment Bureau (SIB).

4) Opening a Bank Account: 

The fourth step to proceed with Seychelles company formation with bank account is to open a corporate bank account in the country. A corporate bank account in Seychelles can be opened if the following documents are provided:

1) Copies of the company’s documents (Articles of Association, Certificate of Incorporation)

2) Documents that provide details of the business activities of the company

3) Copies of identification documents of the owners, shareholders and information about managers of the company

4) A letter of recommendation signed by your accountant or issued by another bank

5) A board resolution for opening a corporate bank account in Seychelles.

5) Accounting and Tax Obligations

The fourth step to proceed with Seychelles company formation with bank account is to understand the accounting and tax obligations. In the jurisdiction of Seychelles, IBCs have to keep accounting records that reflect the accuracy of their transactions as well as documents that are clear for tax authorities verifications. Companies have to keep and preserve their transaction documents for a minimum of seven years and the storage of the records must be kept at the company’s registered office.

Conclusion:

Engage Tetra Consultants as we guide you on how to register a company in Seychelles through a smooth and hassle-free process. The team provides a comprehensive service package that includes planning and strategizing with our clients to select a suitable business entity, completing the registration and documentation processes, obtaining required licenses, opening a corporate bank account, and ensuring your compliance with the government regulations. 

Contact us to find out more about company registration in Seychelles and our dedicated and experienced team will revert within the next 24 hours.