Belize Business Entities
Belize Business Entity
A former Belize International Business Company (known as Belize business entity) is a legal entity registered in Belize, now having an 9-digit company number. One of the many advantages of a Belize business entity is that you can form one quickly and with a minimum of fuss. Many clients use a Belize business entity to maintain Bank accounts, trade securities, hold real estate or to collect royalties and dividends. Belize business entities can be used to act as an underlying company of a trust for the purpose of holding assets or conducting business on behalf of the trust. This level of privacy allows details of the trust’s existence and beneficiaries to be withheld from third parties.
Formation
A former International Business Company (IBC) (known as Belize business entity) is now formed under the Belize Companies Act, 2022 and can be formed in a couple of working days.
Requirements
The requirements for setting up a Belize business entity are minimal and are set out as
follows:
- Minimum of one director and can be an individual or a company.
- Can be incorporated in English, Spanish or Chinese.
- Shareholders can be an individual, company or Trust.
- Nominee shareholders are allowed.
- The company must have a local registered agent and office. The name and address of the office and agent are the only details on public record.
- There is no minimum paid up capital requirement. Capital may be expressed in a foreign currency.
- Standard share capital is USD 50,000.
- Standard share capital in excess of USD 50,000, may be declared in exchange for a higher annual fee.
- There are no requirements for a Belize business entity to file audited accounting reports.
- The register of shares, register of directors and register of beneficial owners have to be kept and up to date.
- No meetings are required of directors or members.
- Foreign companies can re-domicile in Belize and vice versa.
- Corporate documents may be filed in English, Spanish, or Chinese.
- The Belize IBC cannot derive any income from activities in Belize.
- The words “Limited”, “Corporation”, “Incorporated”, “Society Anonyme” or “Sociedad Anonima” or “Aktiengesellschaft”, or abbreviations thereof “Ltd.”, “Corp.”, “Inc.” or “S.A.” or “A.S.” or “A.G” has to be used as a corporate suffix or the Belize Company.
Confidentiality
The initial corporate documents for a Belize business entity incorporation do not carry the name or identity of any shareholder or director. For additional privacy, client can opt for nominee shareholders.
Taxes
A Belize business entity is required to file annual Tax Returns or an Information Return (if the entity is tax resident in jurisdiction outside Belize).
Restrictions
A Belize business entity may not:
- Carry on business with persons resident in Belize.
- Own real estate in Belize, except lease property for office purposes.
- Carry on banking or insurance/re-insurance business without a license.
- Provide registered agents/offices for companies.
Know Your Client Requirements
In Belize the law requires that all financial service providers know and determine the identities of their clients. Personal information remains completely confidential and resides with the service provider only. Under the terms and conditions of the Service Provider License, it is mandatory for Service Providers to properly identify clients and beneficial owners of every entity they form.
For new Belize business entity incorporation, client must submit the following two items:
- Original or a certified copy of passport (certification to be done by a notary or a practicing attorney).
- Proof of address (recent utility bill or similar) duly certified by a notary or a practicing attorney.