Setting Up a Company in Mauritius: Requirements and Benefits

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Mauritius, a small island state in Southeast Africa, located 900 kilometres east of Madagascar, has established itself as a key financial and business center in the Indian Ocean. Known for its political stability, investor-friendly climate, and access to international markets, Mauritius attracts international businesses with its tax benefits and favourable working conditions for entrepreneurs. More than 15,000 international companies are registered in Mauritius. A free market and open economy as well as hard-working local people are the hallmarks of Mauritius. Moreover, in terms of the Human Development Index, this tiny state is well ahead of many European countries. All over the world, Mauritius is also known as an expensive luxury resort with picturesque tropical beaches.

Topography of Mauritius

Advantages of Registering a Company in Mauritius

Choosing Mauritius for your business can provide you with numerous advantages. Here are some key benefits:

  • Tax benefits:
    • The current corporation tax rate is only 15%.
    • Value Added Tax is 15%.
    • The capital gains and dividend taxes are 0%.
    • Mauritius has signed double taxation treaties with over 40 countries.
    • Offshore companies registered there are exempt from corporation tax, provided that all their commercial activities are carried out abroad.
    • Ship owners, manufacturers of medications and medical equipment and representatives of some other sectors of the national economy do not pay corporate income tax.
    • If a company does not carry out activities on the island, the tax is 0%.
  • Strong economy and favourable investment environment: As mentioned above, Mauritius has surpassed most of its neighbours in terms of economic development. There is no foreign exchange control. Budget contributions from financial institutions are growing every year, which is not surprising; the largest international banks have opened their offices in Mauritius, and the volume of foreign investment in the banking sector has exceeded 1 billion US dollars.
  • Close economic ties with other countries: Mauritius is a convenient trading platform because it is actively building economic cooperation with the UK, France, India, China and South Africa. There is a free-trade zone where more than 600 officially registered companies operate.
  • Confidentiality: In Mauritius, it is relatively easy to keep the details of directors and shareholders of offshore companies confidential. Besides, nominee service is available to entrepreneurs.
  • Simple Company Incorporation Procedure: Mauritius is interested in attracting as many trustworthy international entrepreneurs as possible, so it has made great efforts to simplify business processes. Registering a new company in Mauritius is relatively inexpensive, does not take much time and does not require the in-person presence of the entrepreneur in the country. The size of the authorised capital is not regulated and can be as little as USD 1. There are no strict rules regarding the directors and founders of offshore companies operating outside the country.

Profitable Business Sectors in Mauritius

The below-mentioned businesses are common in Mauritius due to the tax incentives offered by the authorities, as well as recent trends in the development of the local economy:

  • Investment funds
  • Financial and insurance services
  • Shipping companies
  • Digital industry
  • International trade
  • Pharmaceuticals, development and manufacturing of medical equipment

Some of the above-mentioned businesses are regulated by the state and require a special licence.

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Legal Forms for Company Registration in Mauritius

In Mauritius, there are several types of business entities that you can choose from. An entrepreneur has several options to choose from when it comes to the most suitable type of company for their business. The most common types of companies in Mauritius include the Global Business Company (GBC), Authorised Company, Domestic Company, and Limited Liability Partnership (LLP). We shortlisted the most common forms of incorporation:

  • Private and public companies
  • Partnerships
  • Foreign corporations
  • Global business category companies

Choosing the right type of business entity is crucial. It can impact your tax obligations, legal liabilities, and operational flexibility.

Global Business Company (GBC/GBL)

To set up an offshore business in Mauritius you can use Global Business Company, or Licence (previously called category 1 global business licence 1). This type implies that your company is a tax resident in Mauritius, subject to corporate income tax. A GBC can operate both within and outside the country. Such companies also have access to a financial services licence.

If you open a GBC in Mauritius, you can benefit from tax exemptions provided by the government: in some cases, the tax rate can decrease from 15% to 3% or even to 0%. In addition, a newly incorporated GBC can reduce its costs by taking advantage of the numerous double taxation treaties. The assets of such a company are not subject to capital gains tax.

Requirements for GBC

A GBC is regulated by the Companies Act and controlled through licences by the Financial Services Commission (FSC). To obtain a licence to do business as a GBC, an international entrepreneur must provide the authorities with a sound business plan and disclose the beneficiaries.

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A GBC should have the following:

  • At least one founder, a natural or a legal person of any tax affiliation
  • A director who is a tax resident of Mauritius
  • A legal address in Mauritius or Rodrigues Island. This address is usually provided by a law firm or management company employed as a secretary.

There are no significant restrictions on the amount of share capital of a GBC, but it must not be less than USD 1. Even if all commercial activities of such a company are carried out abroad, you still need to keep bookkeeping records, have your company undergo an annual audit, and prepare and submit financial statements.

The standard procedure for registration of a GBC, including the preparation of paperwork, obtaining a licence and applying for registration, takes no more than 4 weeks.

Authorised Company

An Authorised Company was introduced in the Finance Act 2018 to replace the previous category, Global Business Company Category 2. To set up an offshore business in Mauritius you can use Authorised company (it replaced the abolished category 2 global business company).

For a foreign-origin firm to be recognised as an authorised company, the following conditions must be met:

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  • The majority of shares, ownership and profit-sharing rights in such a company must be held by persons or entities that are not residents of Mauritius.
  • The business must be managed from another country, i.e. strategic decisions directly affecting the profits of the business should be taken abroad.
  • All commercial activities of such a business entity must remain outside Mauritius.

The overseas profits of an authorised company are not subject to corporation tax in Mauritius. On the other hand, such a company cannot take advantage of double taxation treaties. Besides, tax is not levied on capital and dividends.

Information about the beneficiaries and directors of authorised companies remains confidential.

Requirements for an Authorised Company

  • The director of the company can be a natural or legal person of any nationality and tax affiliation.
  • The same rule applies to shareholders: one shareholder, who is a natural or legal person and a resident of Mauritius or any other country, is sufficient to establish a company.
  • Like in the case of GBCs, there is no limit on the amount of the founding capital, however, it cannot be less than USD 1.

All authorised companies are required to appoint an incorporation agent in Mauritius whose duties will include:

  • Submission of declarations and documents to the authorities.
  • Corresponding with the Financial Services Commission, the Revenue Authority and the CBRD (Corporate and Business Registration Department).
  • Keeping minutes of shareholders’ meetings, resolutions, bank transactions, etc.

A corporate secretary will be required, either a person or a company in Mauritius. Generally, the secretarial function is entrusted to a local management company or a law firm.

Although an authorised company does not pay tax in Mauritius, it is still necessary to prepare and submit once a year:

  • a tax return to the tax authorities;
  • financial statements to the Financial Services Commission.

Such companies are prohibited from engaging in certain commercial activities, such as:

  • Financial, banking and insurance services
  • Consulting activities, provision of a registered address as well as secretarial, nominee director services
  • Investment fund management
  • Trust management

Mauritius Company Formation Guide | Offshore Business Setup with BRIS Group

Company Registration Process in Mauritius

It is relatively easy to set up an offshore company in terms of filing an application with supporting documents. As already mentioned, registering a business in Mauritius is relatively simple. In Mauritius, the CBRD, a department of the Ministry of Finance, deals with company registrations. It has developed an online application for business registration where international entrepreneurs can remotely open a company in Mauritius. The CBRD usually takes no more than one working day to make a decision.

Before you apply, there is a lot of preliminary work to be done. Documents should be submitted in English and all communication with the authorities should be carried out in English as well. To avoid mistakes and spend minimum time on registration, experienced entrepreneurs seek the assistance of competent corporate lawyers at an early stage.

Make sure you have done the following before you apply for company registration:

  • Choose the name of your company and have it reserved. You can check the availability of your chosen name through the Mauritius Corporate and Business Registration Department’s online portal.
  • For Global Business Company, find a local secretary, director and a registered office in Mauritius.
  • For an authorised company, find a reliable registration agent and registered address in Mauritius. Every company in Mauritius must have a registered office address within the country. The registered office address must be a physical location, not a P.O. Box.
  • Prepare the company’s incorporation and supporting documents to be sent with the application. The next step is to prepare the necessary documents for company registration. The constitution should outline the company’s structure and governance. The details of directors and shareholders should include their full names, addresses, and nationalities. All documents should be in English. If necessary, they should be provided with a certified translation.
  • For Global Business Company, obtain a business licence from theFinancial Services Commission. To do it, you will need a well-drafted business plan and correct information on all directors of the future company.
  • Your company must have at least one director and one shareholder. The director does not need to be a resident of Mauritius. The shareholder can be an individual or a corporate entity.

You will need to log in to a special application, pay the fee, fill in the application form correctly and upload e-copies of all the necessary documents.

If all the preliminary work is done correctly, the CBRD does a quick check of the application and the submitted documents and issues an electronic certificate of incorporation, which you can download and print if needed.

To successfully conduct business in Mauritius, the newly established company will need a current account in one of the country’s banks. Opening a corporate bank account in Mauritius is a crucial step after registration. As with the business registration process, you will have a better chance of success if you open a company account with an experienced corporate lawyer.

After registration, your company must comply with various legal requirements. Your company must also comply with anti-money laundering regulations. Finally, it’s important to understand your company’s tax obligations in Mauritius. Companies engaged in international business can benefit from a reduced tax rate under specific conditions.

Once your company is registered, it’s time to start operations. This includes hiring staff, setting up your office, and starting your business activities. Also, consider joining local business networks and chambers of commerce.

Additional Considerations

Businesses intending to operate through Mauritius must now align with enhanced transparency and substance standards. The country’s legal system—rooted in both civil and common law traditions—provides a solid foundation for cross-border business structures. Mauritius’ legislative environment is designed to accommodate international commercial activity through transparent and adaptable regulation.

Here are some additional points to consider:

  • Share capital: There is no minimum share capital required and it may be denominated in any currency, except MUR. Shares may be registered shares, preference shares, redeemable shares and shares with or without voting rights.
  • Shareholders: GBL companies may be formed by a minimum of one shareholder, who can be either natural or legal persons, residents or non-residents, without restrictions.
  • Directors: The company shall have or has at least 2 directors, resident in Mauritius, who are appropriately qualified and are of sufficient caliber to exercise independence of mind and judgment.
  • General Meeting: GBL companies must hold an annual general meeting. The first annual shareholder meeting should be held not later than 18 months from incorporation.
  • Annual Return: A GBL company must submit to FSC an annual return with Audited Financial Statements (AFS) within 6 months of fiscal year end or 3 months for those holding certain types of financial services activity license.
  • Personal income tax: The main tax on resident individuals is an income tax at a 15% rate.
  • Other taxes: In Mauritius, there is no capital gains tax, real property tax, inheritance tax or estate duty, capital transfer tax, gifts tax or wealth tax.

Key Steps for Incorporation

Incorporation of companies can either be effected online or by submitting the required documents at the office of the Registrar of Companies. This process usually takes half a day. The Corporate and Business Registration Department (CBRD) of the Ministry of Finance, Economic Planning and Development has prepared a document outlining the guidelines for incorporation of a company and registration of a business. The following summarises the key steps to be followed:

  1. Step 1: Register with the MNS online to obtain a username and password by completing this form.
  2. Step 2: Online incorporation of the company can be carried out on the Companies and Business Registration Integrated System (CBRIS) by filling in the relevant application form and by uploading required documents.
  3. Step 3: Companies operating in Mauritius must pay an annual registration fee at the CBRD or via its online platform using a credit card. The guidelines for the payment of yearly registration fees can be consulted for further information on the online application process.
  4. Step 4: Where the application for incorporation complies with the Act and on payment of the prescribed fee, the Registrar will issue an Electronic Certificate of Incorporation and a Business Registration Card (BRC).

While making an online application to the CBRD for incorporation of a company, the applicant is required to provide details related to VAT registration and will be registered by the MRA for VAT purposes, where applicable.

Pre-Construction Checklist

Entrepreneurs usually face the challenge of developing a business idea in a way that it becomes economically viable. There is, hence, the need to develop the right value proposition while defining a relevant strategy to have a baseline to achieve set objectives. There exists a panoply of facilities to support burgeoning entrepreneurs to implement their business ideas in the most effective and profitable possible way. The business plan remains undeniably the most important tool Entrepreneurs can be equipped with. A business Plan in an extremely important document for any entrepreneur. It shows the motivation and the desire of the entrepreneur to start an enterprise.

The business plan also displays the way that the entrepreneur will execute business activities. You may download a simple business plan template by clicking the following link. It is important to keep in mind that specific business activities in Mauritius require clearance by licensing authorities. Businesses can choose the structure that best suits them. The Companies Act 2001 provides for a variety of options in terms of nature and type of company and each structure offers various benefits and considerations. No person shall carry on any business in Mauritius unless he is registered with the Corporate and Business Registration Department. Once registered, a business can open a business bank account.

Taxes administered by MRA are all on a self-assessment system. Under that system, persons liable to pay the relevant tax or duty have to submit declarations at the end of specified periods and pay the tax, if any in accordance with the declarations.

Where a plot of land is classified as agricultural land and is to be used for non-agricultural purposes, an application for a Land conversion permit should be made to the Ministry of Agro Industry and Food Security. A Morcellement Permit is required from the Ministry of Housing and Lands for the division of a plot of land into two or more lots. Application is made on the National Electronic Licensing System (NELS). For some specific projects, an Environment Impact Assessment (EIA) or a Preliminary Environmental Report (PER) is required from the Ministry of Environment, Solid Waste Management and Climate Change. Prior to starting the construction, a Building and Land Use Permit (BLUP) from the relevant Local Authority is necessary. Application for a BLUP is made on the NELS. Application for connection to the Central Electricity Board (CEB) grid is made either online or to any customer walk–in service of the CEB. Companies and Individuals will therefore be allowed to provide renewable energy directly to the CEB, if the price is below the maximum tariff set. Application to connect to the water network is made at the Central Water Authority (CWA) through a customer walk-in service. Employers can recruit both local talents and foreign nationals to work in Mauritius.

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