← All jurisdictions

Company formation:

Welcome to the Bahamas, a business-friendly destination known for its attractive business environment.


from 1250 €

Offshore company incorporation in the Bahamas

The Bahamas, located in the heart of the Caribbean, offers unique opportunities for entrepreneurs looking to establish a presence in the region. With its stable political climate, strong economy, and strategic geographical location, the Bahamas is an ideal choice for those seeking to expand their business horizons.

Country Bahamas
Language English (85%)
Bahamian Creole (7.1%)
Spanish (4%)
Haitian Creole (2.9%)
Other (1%)
Time in Bahamas GMT-5.
Population Approximately 393,000 (source: World Bank, 2023).
Currency Bahamian Dollar (BSD).
Tax regime 12%.
VAT Not provided.
Overage salary $38,000 per year (source: Bahamas Department of Statistics, 2023).
Types of incorporations International Business Company (IBC)
Limited Liability Company (LLC)
Segregated Account Company (SAC)
Exempted Limited Partnership (ELP)
Non Profit Company

Why opening a company in Bahamas?

Opening a company in Bahamas is a strategic decision for entrepreneurs seeking a stable and tax-efficient environment. The Bahamas government offers attractive fiscal options that are particularly well-suited for international businesses. With a business-friendly atmosphere and proximity to North America, the Bahamas is a prime choice for entrepreneurs.

Advantages of Opening a Company in the Bahamas

Opening a company in the Bahamas offers several compelling advantages for entrepreneurs:

Advantages Details
Tax Benefits The Bahamas is known for its favorable tax regime. Companies in the Bahamas are not subject to corporate income tax, capital gains tax, or inheritance tax. This tax-friendly environment allows businesses to retain more of their earnings, fostering growth and profitability.
Political Stability The Bahamas has a long history of political stability and a democratic system of government. This stable environment provides a secure foundation for business operations and investments.
Strategic Location Strategically situated in the Atlantic Ocean, the Bahamas serves as a bridge between North and South America. Its proximity to major international markets makes it an ideal hub for trade and commerce.
English-Speaking Workforce English is the official language of the Bahamas, facilitating business communication and transactions with international partners. The skilled English-speaking workforce is well-equipped to support various industries.
Natural Beauty The Bahamas is renowned for its breathtaking natural beauty, including pristine beaches and crystal-clear waters. This appealing environment can enhance the quality of life for entrepreneurs and their employees.
Financial Services Sector The Bahamas has a robust financial services sector, with a strong presence of banks and offshore financial institutions. This sector offers a range of services, including wealth management and asset protection.

Disadvantages of Opening a Company in the Bahamas

While the Bahamas offers numerous advantages, it’s essential to consider the potential disadvantages as well:

Disadvantages Details
Regulatory Compliance Companies operating in the Bahamas must adhere to specific regulatory requirements. While the compliance framework is designed to maintain transparency and integrity, it may involve administrative burdens and costs.
Limited Local Market The Bahamas has a relatively small local market. Businesses primarily focused on local consumers may face limited growth opportunities. Expanding into international markets may be necessary for substantial revenue.
Competition Due to its favorable business environment, the Bahamas attracts entrepreneurs and investors from around the world. This competition can be intense in certain industries, requiring businesses to differentiate themselves effectively.
High Operating Costs While there are tax advantages, the cost of living and operating a business in the Bahamas can be relatively high. Entrepreneurs should carefully budget for expenses, including office space, utilities, and labor.
Import Dependency The Bahamas relies heavily on imports for goods and services. Businesses may face challenges related to import logistics and costs. Planning for efficient supply chains is crucial.
Work Permit Requirements For foreign employees, obtaining work permits in the Bahamas can be a bureaucratic process. Employers must navigate the immigration system to ensure compliance.

Most Popular Sectors to Set Up a Company in Bahamas

The most popular sectors for company formation in the Bahamas include tourism, finance, real estate, and maritime services. These sectors benefit from the country’s strategic location, favorable tax policies, and natural resources.

Fiscal System in Bahamas

The fiscal system in the Bahamas is designed to attract international businesses and investors. It offers several advantages, including low taxes and tax incentives.


The tax system in the Bahamas is straightforward and business-friendly. Corporate income tax is low, and there is no capital gains tax or inheritance tax. This tax regime is particularly advantageous for international businesses looking to minimize their tax liability.

VAT in Bahamas

VAT is not provided in Bahamas, which simplifies financial transactions for businesses operating in the country.

Controlled Foreign Company (CFC) Rules

The Bahamas does not have Controlled Foreign Company (CFC) rules, making it even more attractive for international businesses.


Local Director

Companies in the Bahamas are not required to appoint a local director.

Local Secretary

Companies in the Bahamas are not required to appoint a local secretary.

Annual Return

Companies in the Bahamas are required to file an annual return with the Registrar of Companies. The annual return provides updated information about the company’s directors, shareholders, and registered office.

Audited Accounts

Companies in the Bahamas are generally not required to have their accounts audited. However, some financial institutions may request audited financial statements for certain transactions.

Company Types in Bahamas

The Bahamas offers a variety of company types to suit different business needs. Each type has its own advantages and requirements:

International Business Company (IBC)

Type Designations Minimum Share Capital Taxes
International Business Company (IBC) Ltd, Limited, Corp, Corporation, Inc, Incorporated, S.A., Société Anonyme, Sociedad Anónima None None (for the first 20 years)

Embarking on a business voyage within the serene and economically vibrant shores of the Bahamas, entrepreneurs often select the International Business Company (IBC) as their vessel of choice. The IBC, characterized by its flexibility and robust protective legislation, ensures that businesses can navigate the global financial seas with security and strategic agility.

Often revered for its investor-friendly climate, the Bahamas offers an International Business Company (IBC) formation, that is inherently flexible, designed to facilitate and foster international business and investment. The IBC, notably, is an appealing vehicle for international entrepreneurs and investors owing to its advantageous regulatory framework and a stable economic environment.

The IBC in the Bahamas provides a stellar amalgamation of confidentiality and asset protection, which is manifested through its distinctive features. There is no requirement to disclose the directors or owners of the company publicly, enabling a veil of confidentiality that is attractive to many international investors. Moreover, the regulatory environment is structured in a manner that nurtures business development, offering benefits such as the absence of a minimum share capital requirement and exemption from local taxes for the initial two decades of operation.

Furthermore, the IBC in the Bahamas avails itself as an entity that is not merely reduced to financial maneuverings but also extends its utility to varied purposes, such as property holdings, estate planning, and asset management, thereby aligning itself with a multiplicity of strategic intentions. Considering global trading or investment holding, the IBC stands as an archetype of financial and operational efficacy.

It is imperative to note that while the Bahamas has sculpted a financial landscape that is both inviting and secure for international business through its IBC framework, judicious navigation through its legislative waters and strategic leveraging of its myriad benefits is crucial. Thus, ensuring compliance and strategically tailoring the IBC to align with specific business objectives will ascertain that ventures will prosper amidst the serene and economically potent environs of the Bahamas.

Limited Liability Company (LLC)

Type Designations Minimum Share Capital Taxes
LLC LLC, Limited Liability Company No minimum required No corporate tax

The allure of the Limited Liability Company (LLC) in the Bahamas emanates predominantly from its flexible, yet robust, corporate structure, bridging the realms of traditional corporations and partnerships. A cardinal attribute of an LLC resides in the separation of personal assets of the owners, or members, from the financial obligations of the business, thereby shielding personal wealth from corporate liabilities and debts.

This vehicle typically appeals to investors and business proprietors who seek the ease of operation and management. Unlike corporations, an LLC in the Bahamas does not necessitate a board of directors or formal meetings, proffering more straightforward governance and administrative procedures. The amiable regulatory environment of the Bahamas, coupled with an absence of corporate tax and minimum share capital requirement, further enhances its attractiveness to international businesses and investors.

Moreover, an LLC facilitates a multiplicity of members, and its profit distribution is not rigidly anchored to the capital contributions of its members. Rather, it can be delineated in an operating agreement, providing substantial flexibility in terms of managing the financial dynamics within the company. Thus, the Bahamas LLC affords a potent mixture of liability protection, operational ease, and financial fluidity.

Segregated Account Company (SAC)

Type Designations Minimum Share Capital Taxes
SAC SAC, Segregated Account Company Variable No corporate tax

The concept of a Segregated Account Company (SAC) in the Bahamas unveils a distinctive corporate entity, capacitated to segregate its assets and liabilities among different accounts, while maintaining a singular legal identity. This compartmentalization ensures that the assets and liabilities of each segregated account are legally separated from those of the other accounts, conferring a notable shield against cross-cell liability.

An SAC can serve manifold purposes, such as facilitating asset protection, managing various investment portfolios, or conducting diverse business operations independently under one umbrella. It is crucial to note that while each account operates independently, the overarching governance of the SAC remains unified, ensuring centralized management and consolidated control over all segregated accounts.

The tax-neutral environment of the Bahamas, paired with the unique asset protection capabilities of an SAC, renders it an advantageous choice for international business operations, asset management, and sophisticated financial structuring, fulfilling the diverse needs of global investors, financial institutions, and corporations, all while maintaining a consolidated managerial approach.

Exempted Limited Partnership (ELP)

Type Designations Minimum Share Capital Taxes
ELP ELP, Exempted Limited Partnership No minimum required No corporate tax

The Exempted Limited Partnership (ELP), rooted in the elegant legal landscape of the Bahamas, holds its own as a bespoke vehicle for international investment and business ventures. Distinguished by its dualistic nature, an ELP incorporates characteristics of both partnerships and corporations, harmonizing the benefits of limited liability and pass-through taxation.

Constructed with at least one general partner and one limited partner, the ELP extends the protective veil of limited liability to its limited partners, safeguarding personal assets from the financial encumbrances of the business. Meanwhile, general partners shoulder the responsibility of management and bear unlimited liability, offering a balanced structural framework wherein managerial control and asset protection coalesce seamlessly.

As a jurisdiction devoid of corporate tax, the Bahamas grants ELPs a financially efficacious climate wherein capital can burgeon unimpeded by fiscal impositions. In combination with its protective legal structure and operational flexibility, an ELP in the Bahamas becomes an exquisite conduit for global investments, venture capital, and diverse business initiatives, amplifying its appeal to a wide spectrum of international financiers and entrepreneurs.

Non Profit Company

Type Designations Minimum Share Capital Taxes
Non Profit Company Ltd. No minimum requirement Exempt

Non Profit Companies in the Bahamas have been designed to operate for the public benefit, rendering services that seek no return of profit for their operators. Such entities are often engaged in philanthropic, educational, scientific, or religious initiatives, aiming for a broad societal impact. Despite their not-for-profit nature, they navigate through a comprehensive regulatory environment, safeguarding the interests of the served communities and ensuring organizational transparency and accountability.

Typically, Non Profit Companies are exempt from most forms of taxation. However, while they do not pay taxes on income, they are bound to comply with specific reporting requirements and legal formalities to maintain their status and operate within the Bahamian jurisdiction. Maintaining a clear financial outline and adhering strictly to the compliance norms is crucial for sustaining the non-profit designation and availing the associated benefits.


Type Designations Minimum Share Capital Taxes
Foundation USD 10,000 Exempt

The Bahamas offers a dynamic and flexible environment for the establishment and operation of Foundations, which serve as a sophisticated vehicle for wealth management and estate planning. Unlike its European counterparts, a Bahamian Foundation serves as a hybrid entity, blending the features of a trust and a company, thus providing enhanced protection and control over assets.

Foundations are often utilized by high-net-worth individuals and families to consolidate and protect assets, ensure succession planning, and achieve philanthropic objectives, while maintaining a level of control over the foundation’s assets and activities. The distinct legal personality and robust legislative framework surrounding foundations in the Bahamas provide a secure and confidential platform for wealth preservation.

Why rely on Ukincorporation.co.uk?

Ukincorporation.co.uk is a GR Morgan Formations company for the entrepreneur who wishes to take his business abroad or develop a new business.

For over 10 years in the market, the GR Morgan Formations team offers its expertise in terms of international taxation. In addition to setting up companies in the UK and other jurisdictions, it offers a range of services, from a virtual office in London to administration and accounting services, to opening a bank account.

Common Questions

How to Register a Company in the Bahamas?

Setting up a company in the Bahamas involves several steps. First, you’ll need to choose the type of company that suits your business needs, such as a Limited Liability Company (LLC) or an International Business Company (IBC). Then, you’ll need to register your business with the Companies Registry. This process typically includes providing necessary documents, such as articles of incorporation, and paying the required fees. Additionally, you may need to obtain specific licenses or permits depending on your business activities.

What Are the Requirements for Company Registration in the Bahamas?

To register a company in the Bahamas, you’ll need to meet several requirements. You must have a registered office address in the Bahamas, and your company should have a minimum of two directors and one shareholder. Directors can be individuals or corporations. It’s essential to appoint a company secretary, and while a local secretary is not mandatory, it’s advisable for administrative purposes. Additionally, your company must maintain proper accounting records and submit annual financial statements.

Are There Any Tax Incentives for Businesses in the Bahamas?

Yes, the Bahamas offers various tax incentives to attract businesses. Some of the incentives include no corporate income tax, no capital gains tax, and no inheritance tax. Additionally, the Bahamas has signed several double taxation treaties with other countries to avoid double taxation on income. These incentives make the Bahamas an appealing destination for international businesses looking to minimize their tax burden.

How Long Does It Take to Incorporate a Company in the Bahamas?

The time it takes to incorporate a company in the Bahamas can vary. Typically, the process can take anywhere from two to four weeks, depending on various factors such as the type of company, the completeness of your documentation, and the efficiency of the regulatory authorities. It’s advisable to work with experienced professionals who can navigate the process efficiently.

What Is the Cost of Setting Up a Business in the Bahamas?

The cost of setting up a business in the Bahamas depends on several factors, including the type of company, legal and administrative fees, and any additional permits or licenses required for your specific industry. While the initial setup costs may vary, it’s essential to budget for ongoing expenses, such as annual registration fees and compliance costs.

Can a Foreigner Own a Business in the Bahamas?

Yes, foreigners can own and operate businesses in the Bahamas. The Bahamas encourages foreign investment, and there are no restrictions on foreign ownership of Bahamian companies. However, certain business activities may require approval from relevant government authorities, so it’s advisable to consult with legal experts for specific requirements.

Are There Any Restrictions on Foreign Ownership of Bahamian Companies?

Generally, there are no restrictions on foreign ownership of Bahamian companies. However, specific industries, such as banking and insurance, may have additional licensing requirements and restrictions on foreign ownership. It’s crucial to research and understand the regulations that apply to your business sector.

What Is the Corporate Tax Rate in the Bahamas?

The Bahamas does not have a corporate income tax rate, making it an attractive destination for businesses. This tax advantage means that companies can retain more of their earnings, contributing to profitability and growth.

Do I Need a Local Address to Register a Company in the Bahamas?

Yes, you’ll need a registered office address in the Bahamas to register a company. This address will serve as the official location for receiving legal notices and correspondence. While a local address is required, you can also use the services of a registered agent to fulfill this requirement.

Are There Any Annual Reporting Requirements for Bahamian Companies?

Yes, Bahamian companies are required to file an annual return with the Registrar of Companies. This report includes updated information about the company’s directors, shareholders, and registered office. It’s essential to meet these reporting obligations to maintain compliance with Bahamian corporate law.

What Types of Business Structures Are Available in the Bahamas?

The Bahamas offers a range of business structures, including Limited Liability Companies (LLCs), International Business Companies (IBCs), Partnerships, Public Companies (PLCs), Private Companies (Ltd), Foundation Companies (FCs), General Partnerships (GPs), Limited Partnerships (LPs), and Segregated Account Companies (SACs). Each structure has its advantages and requirements, allowing businesses to choose the one that best suits their needs.

How to Open a Bank Account for a Bahamian Company?

To open a bank account for a Bahamian company, you’ll typically need to provide documentation such as your company’s certificate of incorporation, business licenses, and proof of identity for authorized signatories. Banking requirements may vary between financial institutions, so it’s advisable to contact your chosen bank to understand their specific requirements.

Is It Necessary to Have a Bahamian Director for Company Registration?

No, it’s not necessary to have a Bahamian director for company registration in the Bahamas. You can appoint directors who are residents of any country, providing flexibility for international businesses. However, you must meet other registration requirements and maintain compliance with Bahamian corporate law.

What Are the Benefits of Doing Business in the Bahamas?

Doing business in the Bahamas offers numerous benefits, including a tax-friendly environment, political stability, a strategic location, an English-speaking workforce, and a beautiful natural environment. The Bahamas’ proximity to North America and its robust financial services sector make it an attractive destination for entrepreneurs and investors.

Are There Any Special Permits or Licenses Required for Certain Industries?

Yes, certain industries in the Bahamas may require special permits or licenses. For example, financial services providers, healthcare facilities, and businesses involved in environmental activities may have specific licensing and regulatory requirements. It’s essential to research and understand the licensing obligations related to your industry.

How Can I Dissolve a Company in the Bahamas?

Dissolving a company in the Bahamas involves specific legal processes, including settling outstanding debts, notifying creditors, and filing dissolution documents with the Companies Registry. The company’s directors and shareholders must approve the dissolution. It’s advisable to seek legal guidance to ensure a smooth dissolution process.

Solutions and prices

Ask for consulting

Request a consultation today.

You will be contacted by our team as soon as possible.

    I consent to the processing of my personal data in accordance with Legislative Decree 196/2003. *