What Is Marshall Island Formation

By Author: Shayne Hughes
Total Articles: 108
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Marshall Island is described as a zero tax jurisdiction with which non-resident corporations are not liable from taxation on their income and assets. Marshall Islands is made of 29 atolls and 5 islands situated in the Pacific Ocean. Equipped with modern telecommunication system and computerization of both the public and private sector, the country is compatible for most modern businesses. Marshall Islands provides a modern and attractive business opportunities and financial center for international companies and especially popular among maritime companies.

The Republic of Marshall Islands (RMI) works with professional incorporation services companies to process the compliance and licenses of all foreign companies. The common requirements for incorporation are supposed to be outlined in the standard Articles of Incorporation, among which are corporate name, number of authorized shares, identification of whether shares have par or no par value and identification for whether shares are to be in the bearer and/or registered form. If a non-standard Articles of Incorporation will be submitted, it is important that it is presented ...
... in accordance with the Marshall Islands Business Corporation Act (BCA).

The requirements below are outlined in order to have a fast and efficient processing of Marshall Island formation:
• Authorized and Issued Share Capital – The standard authorized share capital is 500 shares without par value or a capital with a declared par value of up to US$50,000.
• Types of Shares Permitted – Types of shares available for Marshall Islands Incorporation are registered shares, preference shares, redeemable shares, shares with or without par value and shares with or without voting rights.
• Taxation – Nonresident companies are legally exempted from taxes.
• Absence of Double Taxation Agreements
• License Fees – A maintenance fee is required from every company.
• Financial Statement Requirements – Filing financial statements is not obliged, but companies are advised to secure financial records for easy assessment and identification of company’s financial status.
• Directors – There is no limit for the number of directors. A combination of local and foreign directors or full 100% foreign directors is allowed.
• Company Secretary – A resident or foreign company secretary can be appointed.
• Shareholders – A minimum of one shareholder is required for Marshall Islands Incorporation.

Marshall Islands Incorporation are required to follow Marshall Islands Business Corporations Act under the Marshall Islands Associations Law which was patterned on the corporate laws of Delaware and New York and modified to consider the important features of an offshore jurisdiction. Marshall Islands BCA provides a list of other provisions necessary in corporate activities, operations and administration.

Rikvin provides a full spectrum of corporate services under one roof for Singapore company incorporation or assistance to start a Singapore company, Marshall Island formation, accounting, tax, work pass and related compliance services for individuals and companies worldwide.