An exempted company is not subject to any kind of corporate taxation given that the company conducts its business mainly outside of Cayman Islands. In addition, the company can request a tax exemption certificate to ensure its tax-free status for a period of up to 20 years.

Register of company shareholders is not open to the general public. Moreover, company maintenance procedures are simple and straightforward. The company doesn't need to file its annual account to the government.

The name of an exempted company should not contain restricted words i.e. “royal”, “imperial”, “empire”, “municipal”, “chartered”, “co-operative”, “insurance”, “bank”, “assurance”, “gaming”, “lottery”... except with the prior consent of the Registrar. The name must also not be identical to the existing companies already registered. An exempt company does not need to include the word “Limited” or “Ltd” after its name.

To set up an Exempt Company in the Cayman Islands, you must meet the following requirements:

-a minimum of one director (no residency requirement);

-a minimum of one shareholder;

-a registered office in Cayman Islands; and

-no business with Cayman residents.

It is recommended that you seek the assistance of a professional services firm in company formation to ensure that all requirements are met and the process goes smoothly.

The government fees for setting up a Cayman Exempted Company depend on the authorized share capital of the company.

For example, a company with an authorized share capital of up to KYD 42,000 must pay KYD 600 (US$732) to register.

The fee is subject to change, and additional fees may be levied depending on the services rendered by your registered agent. Make sure you have the most up-to-date information on government fees and other costs associated with starting a business.

Hard copies of corporate documents are ready in around 7-10 working days from the full inception of all required documents. Express company formation in 48hrs for Cayman Islands company is also available if requested.