Seychelles Company Registration in 2024: A Detailed Guide

If you decide to register a company in Seychelles in 2024 (or in any other zero-tax jurisdiction, for that matter), you are sure to encounter numerous myths and misconceptions. Some people are sure that it is no longer profitable for businesses to work in this niche. Others think that de-offshorization has made offshore countries and territories useless. You may also hear stories about business people setting up overnight foreign companies only for aggressive tax optimization.

Does that mean offshores are no longer needed? Of course not. Company registration in Seychelles (offshore company formation: how to handle the procedure in the best way in 2024) is a profitable, promising, and interesting commercial project that gives foreign businesses real advantages. 

Two key factors continue to make Seychelles a popular jurisdiction. First, the enduring appeal of tax advantages. Second, the high level of confidentiality, which remains very attractive. While complete anonymity is no longer possible in 2024, you can still operate discreetly.

Let’s take a look at other advantages of an offshore company in Seychelles:

• A possibility to dispose of your profits without any restrictions
• No authorized capital requirements to meet
• No limitations for foreigners
• No taxes on the profits generated outside Seychelles
• A simple procedure for offshore company registration
• Well-thought-out corporate legislation
• A possibility to choose a suitable organizational and legal form (you can have more than just a classic IBC).

Laws that regulate legal entity registration in Seychelles:

• The Companies Act 1972 (you can see the current version here)
• The International Business Companies Act 2016 (click here to see the updated version).

Registration of a New Company in Seychelles

The procedure is regulated by the corporate regulations adopted locally, and it can be conditionally called simple. However, independent business incorporation in Seychelles may be a risky affair, especially for those with no experience. 

It should also be noted that you will need an agent for registration, which means that you still cannot do without third-party services. Therefore, we recommend getting in touch with our experts to discuss all the procedural matters with them.

Here are the basic steps you will need to take:

1. Choosing a name for your offshore company. First and foremost, it should be unique. Also, make sure it does not infringe the existing copyright laws and ends in a suffix (Limited or Incorporated) that directly specifies the organizational and legal form of your legal entity.
2. Name reservation. This step allows you to preserve the selected registration combination while you take all the required organizational and legal actions.
3. Director appointment. You will need at least one director. There are no citizenship, residency, or permanent residence requirements, and it is not even necessary to own company shares.
4. Shareholder appointment. You must appoint at least one shareholder, who can be an individual or a legal entity.
5. Registered agent appointment. This is a mandatory step! The agent is not just a formality, but a crucial part of the process. They are responsible for complying with corporate law requirements, maintaining the company’s records, and acting as a liaison between the company and the authorities. After the Seychelles company registration process is complete, the agent will continue to play a key role in the ongoing operations of the company.
6. Collection and submission of a package of documents. The minimum package includes an application form, a notarized ID (passport) copy, and a document that confirms the actual residence address (for example, a utility bill). Your documents should be submitted in English. If the originals are in another language, you will need to have them translated and certified by a notary.
7. Obtaining a registration certificate. In the majority of cases, you will have no trouble whatsoever with offshore company incorporation in Seychelles. Once all the necessary documents are submitted and the application is processed, you will receive a standard registration certificate. This certificate serves as official proof of your company’s existence and registration in Seychelles. The local officials will also automatically make a record in the register of directors and shareholders, further confirming your company’s legal status.

Additional Information on Launching and Conducting Business Operations in Seychelles

Company registration is a standard procedure. However, many details related to launching a new business contain hidden risks you should be aware of. Mistakes or wrong evaluations of the situation may result in serious problems that will appear in the future and negatively influence the business. This is why we strongly recommend discussing all the questions (even those that may seem simple) with our experts.

Here are some other nuances to pay attention to:

• Shareholder capital. The standard minimum amount usually required for an IBC is USD 100, and you can use any other currency as well.
• Types of shares you can issue. There are practically no limitations, but bearer shares are not allowed (like in almost all offshore jurisdictions).
• Company secretary. If we approach the matter formally, this position is not mandatory. However, it is desirable to have a full-time secretary to comply with all the corporate rules and regulations.
• Beneficiaries. You cannot have absolute anonymity in the present-day world anymore – even in the offshores. The information about real owners is transmitted to the registered agent, who will deal with all legal issues related to launching your business. However, this data is confidential under applicable laws (see more information on the issue of offshore company owners here).
• You can appoint one person who will be a director and a shareholder at the same time.
• Company office. You are required to have a local office in Seychelles, but you are not required to use it to manage business or keep corporate documentation.
• Reporting, financial, and tax obligations. Seychelles is a classic tax-free jurisdiction adjusted for de-offshorization trends. You are not required to submit or publish tax and/or financial reports in open sources, but you should still maintain records properly and keep them for 7 years.
• Tax status. Formally, you cannot call Seychelles an offshore jurisdiction. This is due to the global trend of ‘de-offshorization ‘, which aims to increase transparency and reduce tax evasion. As a result, a company that conducts business here has to pay a corporate profit tax at a flat rate of 25%. Therefore, you can say that Seychelles is a tax-free territory only if the company receives income outside the islands. It is important to understand which actions lead to the appearance of tax obligations and avoid them if the owner wants to preserve the company’s offshore status.
• Business re-domiciliation to another jurisdiction. This possibility should be available under relevant laws (if you need more information on re-domiciliation, it is available here).
• Nominee service. It is officially permitted, and this is a perfect instrument that will make it possible for you to obtain the highest confidentiality level possible in 2024.

Organizational and Legal Form of a Seychelles Company

IBC (International Business Company) is a standard for offshore business, with SLC (Seychelles Special License Company) being an alternative option. This format combines the features typical of offshore and onshore business, but the compliance requirements will be higher. Classical LLCs, partnerships, and trusts are used much more rarely.

Let’s compare different organizational and legal forms:

Bank Account for an Offshore Company in Seychelles

Any company will need an account with a financial or credit institution to conduct business efficiently. There are no restrictions when it comes to choosing the right bank: you can open an account in Seychelles, in another tax-free or low-tax jurisdiction, or Asia, Europe, or Central America. However, offshore business owners should take into account some nuances.

Here are the things you should be aware of before you start opening an account for your offshore company in Seychelles:

• Not all banks are prepared to work with non-resident companies
• You may encounter problems when you open an account for an offshore legal entity
• It will be much more difficult to open an account if you own a company engaged in high-risk business
• Background check is a mandatory procedure
• If you opt for Seychelles, you will be able to open an account remotely. However, the majority of other jurisdictions (especially mid-shore and onshore ones) will require a personal visit to complete the procedure.

Here are the minimum requirements for a bank (neobank, payment system) you will choose to open an account for an offshore company in Seychelles:

• Multicurrency accounts
• Internet banking
• Low rates
• The bank is ready to work with a particular currency
• Loyalty to non-residents.

Steps to Take After Company Registration in Seychelles

There are some additional steps you will need to take in addition to opening a corporate account to ensure that you can conduct business legally and efficiently. They are not mandatory as they are case-specific. Typical examples include obtaining licenses and registration as a VAT payer or as a taxpayer in general.

Basic costs:

• IBC’s net registration in Seychelles with full apostille – 2899 USD
• renewal of the offshore IBC – USD 1,999 per year.

Amount of fine (based on duration of delay):

• up to 6 months – USD 599
• from 6 to 18 months – USD 1299
• more than 18 months – USD 1699 
• if fines are charged and not paid within 2 years, the offshore IBC in Seychelles will be struck off the register.

For many years, we have successfully registered new businesses in Seychelles. We are ready to handle complicated cases and can propose an all-inclusive service package to you. If you have any questions, you are welcome to discuss them at an individual session.