Welcome to ATCO Corporate Services Ltd.

The IBCs are extremely popular because they serve many useful purposes. Some of the most common uses are:

Investments
International Trade
Reduced or Deferred Taxation
Investment Diversification

The IBCs are governed by the International Business Companies Act, 2000 and its amendments thereto. There is no minimum authorized capital required; however the standard share capital is $50,000.00 which may be expressed in any currency. It may hold Annual General Meetings in The Bahamas.

The business and affairs are generally managed by the Board of Directors who are usually appointed by the Shareholders. Their meetings can be held by telephone and Directors may appoint Alternates to attend and vote in their places. The greatest advantage of an IBC is the high degree of confidentiality as IBCs are only required to do limited filings. The Register of Directors and Officers must be filed with the Registrar of Companies’ however; the Register of Members is kept at the Registered Office, as this is not public knowledge.

Attached is a copy of our Due Diligence Requirements Form (for Individual Client or Company) along with our fee schedule.

Taxation
An IBC and its shareholders are not subject to any income tax, corporate tax, business license fees, or stamp duty on transactions. However, stamp duty is payable in relation to real property situate in The Bahamas which it owns, or is owned by any company in which it holds shares or for which it holds a lease.

Requirements of an IBC
IBCs may be incorporated or continued under the Act, and carry on any business which is not prohibited under the laws of The Bahamas.

It’s activities may include acquiring land in The Bahamas or holding investments abroad , maintaining offices, opening a bank account, preparing and keeping books and records such as those of trading operations, and holding directors’ and shareholders meetings. It may be approved to conduct business with residents of The Bahamas.

Capital
There is no minimum authorized capital for an IBC or a minimum capitalization requirement. The usual authorized share capital is US$50,000.00, as this is the maximum authorized capital permitted for the minimum government license fee payment. The capital may be expressed in any currency. Shares of no par value are permitted.
An IBC may be wholly owned by one or more persons or entities. Residents of The Bahamas may be approved by The Central Bank of The Bahamas to act as shareholders. An IBC may purchase, redeem or otherwise acquire and hold its own registered shares but only out of surplus or in exchange for newly issued shares.

Pre-Incorporation Instructions
The client who wishes to have an IBC must complete and return the attached Company Information Form. This form which constitutes the clients instructions must be completed in its entirety. A Corporate Services Agreement must also be signed by the client as a form of agreement for all services provided. A Know Your Client Identification Form must also be completed for our records only.

Incorporation
Three names must be provided by the prospective client in order of preference. Once the name is approved, the documents are submitted to The Registrar General’s Department for registration. Once the registration is completed, a Certificate of Incorporation and certified copies of the Memorandum and Articles of Association are provided.

Confidentiality and Registers
The IBC affords a high degree of confidentiality since there are limited filing requirements. Only the name of the Company, a copy of the Register of Directors and Offices, its Registered Agent’s name and address, the company’s Memorandum and Articles of Association, including any amendments thereto, must be filed with the Registrar. The names and addresses of the company’s shareholders are not filed or registered in The Bahamas; however, the register of members must be kept and maintained at the Registered Office but is not available for inspection by the public.
Under the provisions of the Act and IBC can only issue registered shares. The names of the shareholders appear on the face of the share certificates. Bearer shares are not permitted.

Directors
The business and affairs of an IBC may be managed by a board of directors consisting of at least one director. Directors are usually appointed by the shareholders. There is no requirement for frequency of directors’ meetings.
Corporate Books, Records The books, records and minutes of meetings must be kept at the Registered Office and copies at such other places as determined by the directors or the Articles.

Registration and Licence Fees
IBCs are required to pay registration fees upon incorporation and an annual licence fee of $350 to the government. License fees are payable before the 31st of January each year, beginning the year following the incorporation of the company. Penalties are due for late payment and the Registrar can strike IBCs off the register for non-payment.
The Seal Each IBC must have a seal which must be kept at the Registered Office.

Amendments to Memorandum or Articles
IBCs can amend their Memorandum and Articles of Association by shareholders’ resolution, or where permitted by the Memorandum and Articles, by a resolution of directors. Amendments may be made changing the name of an IBC, increasing and decreasing the authorized capital, dividing or combining shares and changing the maximum number of directors, among other things. Amendments must be submitted to the Registrar for public inspection and become effective on registration. The IBC must hold an annual general meeting in The Bahamas.

Exchange Control
If an IBC does business with a person resident in The Bahamas, or where a person who is deemed to be resident of The Bahamas for exchange control purposes desires to purchase shares, debts or securities in the IBCs, they would be required to obtain approval from The Central Bank of The Bahamas. Otherwise, the IBC is free of the Exchange Control Regulations.

Power of Attorney
The Power of Attorney authorizes the person named therein to do or execute all or any acts or things on behalf of the IBC. A Power of Attorney is usually given when we provide the nominee officers and directors of the IBC.

Bank Account
A bank account can be opened at any of the major international and domestic commercial banks subject to their special rules and regulations being observed.

Usually, if the client provides the officers and directors for the IBC, he or she will provide the signatories on the account. Where we provide officers and directors the client may still be the sole signatory on the account, however, we must apply for the Central Bank’s permission for Bahamians to sign on the account.

Continuation of Foreign Companies
A Foreign Company may continue as an IBC regardless of any provisions in the laws of jurisdiction of the foreign company. In case of emergency or other urgency in the jurisdiction of a foreign corporation, a temporary continuation may be arranged by the Registrar. Continuation as an IBC can be used to protect the assets outside the foreign company’s home jurisdiction.

SUMMARY
IBCs facilitate the conduct of international business from The Bahamas in foreign currency. They are free from Exchange Control Regulation for foreign investors. They are tax-free in The Bahamas.