Tucked within the islands of Mauritius is a resilient and vibrant economy where businesses in tourism, information technology, finance, and manufacturing thrive. Its economic diversification is also supplemented by a favourable business environment and political stability, all creating a country that’s ideal for entrepreneurs.
Especially for high-net-worth individuals, the answer to the question ‘is Mauritius a good place to start a business?’ is a resounding yes. Setting up there stands to offer a world of benefits that can easily cater to their needs – from liability benefits to many other business advantages.
Liability Benefits of Incorporating in Mauritius
One of the standout reasons that entrepreneurs opt for Mauritius is its comprehensive legal framework, designed to safeguard the interests of business owners. The benefits of registering a company in Mauritius include:
Limited Liability Protection: Shareholders of a Mauritian company are protected from personal liability, as their financial exposure is limited to the shares that they own. The different types of liability structures available in Mauritius make this possible. Some examples are the common business structures like the Limited Liability Company (LLC) or the Limited Liability Partnership (LLP). Adopting different types of business entities like these will prove to be advantageous for investors, since they’ll have an added layer of security that their personal assets will remain secure even if their company faces financial challenges.
Stable Legal Environment: Mauritius has a hybrid legal system that where certain principles are borrowed from both the French and the British. Its constitution and procedural laws are derived from English models, its civil, property, and contract laws are French-based, and its modern business laws have Anglo-Saxon influences. These influences have strengthened the country’s legal system by offering a strong corporate foundation based on already established laws. Additionally, it gives entrepreneurs who recognize the regulations a sense of familiarity.
Mauritius’ Benefits Beyond Liability
The advantages of setting up a company in Mauritius extend beyond just liability protection. Here are some key benefits that high-net-worth entrepreneurs should consider:
Tax Efficiency: The tax benefits in Mauritius are highly advantageous for entrepreneurs. A competitive corporate tax rate of 15% will be highly attractive to investors, alongside access to a wide network of double taxation avoidance agreements (DTAAs). By incorporating a company in Mauritius, business leaders can create significant cost savings and increased profitability.
Ease of Doing Business: The 2020 World Bank Ease of Doing Business Report ranked Mauritius as 13th out of 190 countries. Thanks to streamlined processes for company registration, compliance, and operations, entrepreneurs can put their focus on growth and success rather than administrative steps.
Wealth Management and Asset Protection: Mauritius is also recognized for offering services like trusts and foundations, which provide high-net-worth individuals with sophisticated asset protection and wealth management strategies.
A Strategic Move for Entrepreneurs
For entrepreneurs, especially those with high-value interests, expanding to Mauritius is a strategic move that grants access to liability protection, tax efficiencies, strong regulatory standards, and a growing economy. If the need is to leverage global growth opportunities, look no further than Mauritius’ business-friendly ecosystem.
