Follow this simple guide to setting up an International Business Company (IBC) in Antigua.
Why Set Up an IBC in Antigua and Barbuda?
An IBC in Antigua and Barbuda operates mainly to conduct international business, offering several advantages:
– Tax Efficiency: IBCs enjoy exemptions from corporate tax on foreign-sourced income.
– Privacy Protections: Shareholder and director information are kept confidential.
– Simple Setup: You only need one shareholder and one director, with no residency requirement.
These benefits make Antigua and Barbuda a prime location for global entrepreneurs seeking a strategic business base.
IBC Structure in Antigua and Barbuda
Setting up an IBC here requires an understanding of the basic structural components: shareholders, directors, and the registered office.
Shareholders
–Minimum Requirement: Only one shareholder is needed, making ownership simple.
– 100% Foreign Ownership Allowed: IBCs can be fully foreign-owned, a huge plus for global investors.
– Classes of Shares: Antigua and Barbuda allow multiple share classes, including bearer shares, which can help with flexible ownership arrangements.
Directors
– Minimum of One Director: Only one director is required, and this individual doesn’t need to be a resident.
– Flexible Management: Directors can conduct meetings anywhere, even virtually.
– Confidentiality: Director information isn’t publicly disclosed, helping protect privacy.
Registered Office and Agent
– Registered Office: Each IBC needs a registered office address in Antigua and Barbuda.
– Registered Agent: A registered agent, licensed in Antigua and Barbuda, handles official paperwork and communicates with the government on behalf of the IBC.
Legal Requirements for an IBC in Antigua and Barbuda
Antigua and Barbuda’s “International Business Corporations Act” provides a legal framework designed to attract international investment while maintaining compliance standards.
– Confidentiality Protections: Both shareholders and directors benefit from strict confidentiality measures.
– Anti-Money Laundering (AML) Compliance: IBCs must follow AML policies to maintain transparency and integrity.
– Restricted Activities: IBCs can’t conduct business within Antigua and Barbuda’s domestic economy or own local real estate.
Required Documents for IBC Formation
Forming an IBC in Antigua and Barbuda requires several essential documents:
- Articles of Incorporation: Outlines the IBC’s name, purpose, share structure, and office location.
- Memorandum and Articles of Association: Details the IBC’s operational structure and governance.
- Identification and Proof of Address: Required for both shareholders and directors for AML compliance.
- Director and Shareholder Information: Confidentially submitted to the authorities for record-keeping.
Step-by-Step Guide to Setting Up an IBC in Antigua and Barbuda
This step-by-step guide simplifies the process of forming an IBC, ensuring you meet all requirements while maximizing efficiency.
Step 1: Conduct Initial Research
– Understand local requirements, regulations, and market potential for an IBC structure.
– Consulting with a legal advisor familiar with Antigua and Barbuda’s business laws is recommended.
Step 2: Choose a Unique Business Name
– Select a name that adheres to local naming rules and isn’t already in use.
– Check that the name isn’t trademarked or registered by another entity.
Step 3: Draft and Submit the Articles of Incorporation
– Prepare the Articles of Incorporation, detailing your IBC’s key information, including its name, share structure, and purpose.
– Submit the document to the Antigua and Barbuda Financial Services Regulatory Commission.
Step 4: Appoint Directors and Shareholders
– Identify your directors and shareholders. Only one of each is required, which can simplify setup.
– Remember, shareholders and directors can be the same person, providing flexibility.
Step 5: Select a Registered Office and Agent
– Establish a registered office in Antigua and Barbuda and appoint a registered agent to handle official documents and government correspondence.
Step 6: Prepare and File Required Documents
– Submit necessary documents such as the Memorandum of Association, Articles of Association, and proof of identity for shareholders and directors.
– These documents ensure the company complies with local regulations and AML requirements.
Step 7: Pay Registration Fees
– A one-time registration fee is due upon filing the formation documents. Fees may vary depending on the IBC’s structure and share capital.
Step 8: Await Approval and Obtain a Certificate of Incorporation
– Once the Financial Services Regulatory Commission approves the application, your IBC will receive a Certificate of Incorporation.
Step 9: Open a Bank Account
– Open a business bank account to manage funds, process payments, and maintain compliance with financial regulations.
Step 10: Establish Financial Records and Bookkeeping
– Set up financial systems to manage bookkeeping and accounting. Though annual financial returns aren’t required, maintaining clear records is important for compliance.
Step 11: Develop Operational and Marketing Strategies
– Prepare an operational plan and marketing strategy to grow your IBC internationally, especially if you’ll be actively conducting business.
Step 12: Maintain Compliance and Pay Annual Renewal Fees
– To keep the IBC active, pay annual renewal fees and ensure ongoing compliance with Antigua and Barbuda’s regulations.
Advantages of Forming an IBC in Antigua and Barbuda
– Tax Benefits: IBCs are exempt from taxes on foreign-sourced income, making it an ideal structure for asset management and international trading.
– Confidentiality: With stringent privacy protections, shareholders and directors enjoy a high level of confidentiality.
– Flexibility: Only one shareholder and one director are needed, and there’s no residency requirement, so the IBC can be managed from anywhere.
– Ease of Incorporation: The formation process is straightforward, with minimal administrative burdens and a fast approval timeline.
Setting up an International Business Company in Antigua and Barbuda provides an attractive blend of tax efficiency, confidentiality, and operational flexibility for international investors. With just one director and one shareholder required, plus full foreign ownership allowed, forming an IBC here is simple and strategic.
Whether you’re aiming to streamline global business operations, manage assets, or tap into tax benefits, following this guide will ensure you meet all legal and structural requirements, establishing a robust foundation for growth.
