Frequently Asked Questions on Corporate and Commercial Law

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We are able to assist you with company incorporations as follows:  

(1) Incorporation of a company under the Companies Act, 1992 ("domestic company"); and

 (2) Incorporation of a company under the International Business Companies Act, 2000 ("IBC").

Please refer to our Information Memorandums on companies incorporated under the Companies Act, 1992 and IBCs.

 We provide below a few Frequently Asked Questions and Answers relative to companies for your general information.

Q: What types of companies can be incorporated in The Bahamas?

In The Bahamas, companies can be incorporated under the Companies Act, 1992 ("Domestic Companies") and under the International Business Companies, Act ("IBC's").

Please visit our Corporate and Commercial Law page or Contact Us now to learn more.

Q: What are the advantages of incorporating a company?

Some of the advantages of incorporating a company are to facilitate investments, to minimize risk, to purchase and hold property, including real property and other assets. Likewise, a company can enter into contracts and commence action to defend those contracts on its own behalf. A company can also be used for the purpose of establishing an investment fund.

Most importantly, a company can be incorporated with limited liability in that the liability of its members may be limited to the amount unpaid on their shares.

Please visit our Corporate and Commercial Law page or Contact Us now to learn more.

Q: What is the process for incorporating a Domestic Company?

Two or more persons are required to sign or subscribe to a memorandum (which is known as the company's memorandum of association) in the presence of a witness. This memorandum (which is required to contain certain prescribed information) must be submitted to the Companies Registry for filing along with the requisite fees in order to incorporate the company. Upon the filing of the said memorandum and the payment of the requisite fees, the company will be issued a certificate of incorporation which certificate is conclusive evidence of the incorporation of the company.

Please visit our Corporate and Commercial Law page or Contact Us now to learn more.

Q: What is the process for incorporating an IBC?

An international business company is incorporated when the certificate of incorporation is issued, after the memorandum and articles of association have been filed at the Companies Registry. The memorandum of association is required to be subscribed by two persons in the presence of a witness. It is from the date of the certificate of incorporation that a body corporate comes into existence.

No person other than a bank or trust company licensed under the Banks and Trust Companies Regulation Act can incorporate an international business company unless such person is a Financial and Corporate Service Provider.

Please visit our Corporate and Commercial Law page or Contact Us now to learn more.

Q: Who can subscribe to the company's memorandum of association?

In the case of Domestic Companies and IBC's, any individual who has attained the age of majority can subscribe to the company's memorandum of association; however, a person who is found to be of unsound mind or bankrupt is not eligible.

Please visit our Corporate and Commercial Law page or Contact Us now to learn more.

Q: Are there any restrictions on words that can comprise the name of a company?

The company's name cannot contain the words "Assurance", "Bank", "Building Society" "Chamber of Commerce", "Chartered", "Cooperative", "Imperial", "Insurance", "Muncipal", "Royal" or "Trust" or a word conveying a similar meaning without the prior approval of the Registrar of Companies.

Please visit our Corporate and Commercial Law page or Contact Us now to learn more.

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