Registration of an offshore in Labuan

Labuan is an island with an area of 92 square kilometers that is situated close to the Borneo islet. This insular state takes part in the financial flow The Philippines – Malaysia – Brunei. Labuan is also a region that is included in The Malayan Federation. There are over 60 banking structures on the federate territory, which allows businessmen to open accounts even in a foreign currency.
Besides, the island is included in the range of TOP-10 states on simple business running. That allows even apprentices to establish an offshore in Labuan and handle a firm properly.

Offshore companies in Labuan pay a 3% income tax or a fixed amount of 20 000 ringgits – 5000 dollars. Moreover, enterprises are allowed to carry out any kind of legal business activity. The restricted ones are trading, keeping and transportation of oil and gas goods.

There are 2 types of companies on the island:

1. Trade ones.
2. Nontrading (holding) ones.

As for offshores, they are divided into 2 subtypes:

• Private limited and unlimited companies;
• Public unlimited and limited companies.

The main advantage of the private firms is that the amount of minimal capital is only 2 ringgits – 0.5 dollars. The owners will not have to hand over balance and activity in Malaysia repots, and the number of shareholders might go up to 50. More than that, it is possible for offshores in Labuan to break free of taxes in case the number of shareholders does not exceed 20 and they are considered to be individuals.

Offshore organizations are obliged to have one owner and at least one secretary and the director. Enterpreneurs are also allowed to run any kind of business without license. The range of forbidden includes banking, leasing, insurance, fund, factoring and shipping activities.

To register an offshore in Labuan one needs a set of documents, licenses and contribution of the equity capital. Our managers will consult you on the necessary documentation to set up a firm on this island. Contact us by phone or email to get specialist's advice or order an offshore enterprise.