Mauritius is a flourishing offshore financial center; its formation market has become one of the fastest growing company registries in the world due to its efficiency, innovation, and its broad range of offshore services.

No other offshore jurisdiction can look back on annual growth rates between 5-8% per year like Mauritius. Offer your customers first class FX and securities dealing services and profit on spreads, put your mark-ups or manage even entire portfolios. Do it offshore in a regulated environment where it is easy but trusted.

Mauritius is the jurisdiction for it.

Investors and businesses are flocking to Mauritius, taking advantage of its low cost, strict confidentiality laws and flexible incorporation regulations making the formation process simple and efficient. If you are looking for a jurisdiction with firm privacy regulations and tax-free opportunities in a supportive offshore environment, Mauritius may be the perfect choice for your next offshore company formation.

– Low corporate of just 3% for your FX company.
– Quick approval and application process.
– 100% Western standard in legal framework.
– 100% Whitelisted internationally.
– Fantastic banking infrastructure.
– Guaranteed full bank account openings with multi-currency accounts (suitable also for customers third-party funding).
– Mauritius has been withdrawn by from the List of High-Risk Third Countries on the 7 January 2022.
– English is business and trade language along with French.
– Only 2 hours’ time difference to Central Europe - so strategically you can reach Europe, Asia, and the US within one business day.

Mauritius was removed from the European Commission's list of high-risk third countries on 7 January 2022 after the European Commission determined that it no longer exhibited strategic inadequacies as defined in Directive (EU) 2015/849. The decision of the European Commission came after Mauritius was removed from the FATF list of countries subject to increased monitoring on 21st October 2021.

The EU Commission Delegated Regulation of 7th January 2022 stated: “The FATF welcomed significant progress made by Mauritius in improving its AML/CFT regime and noted that Mauritius have established the legal and regulatory framework to meet the commitments in their action plans regarding the strategic deficiencies that the FATF had identified. The Commission's analysis concludes that Mauritius no longer has strategic deficiencies in their AML/CFT regime considering the available information. These measures are sufficiently comprehensive and meet the necessary requirements to consider that strategic deficiencies identified under article 9 of the Directive (EU) 2015/849 have been removed”.

Mauritius is also regarded as a Leading Financial Centre for various other reasons such as:

- flexible company law, securities and trust legislations;
- business friendly and healthy regulation by Mauritius Financial Services Commission;
- good corporate governance code based on international norms;
- low and reasonable tax rates for corporate and individuals being 15%;
- occupation and residence permits are granted to expatriates within 3 days, and; business licenses and permits normally within 15 days.
- Mauritius has a Stock Exchange known as Stock Exchange of Mauritius. There are more 30 domestic listed companies and more than 50 other companies trading on the Development and Enterprise market with modern norms of trading. The Exchange is open to Global Business Companies and Funds seeking a primary or secondary listing.
- Mauritius is a member of the International Court of Justice and the International Centre for Settlements of Investment Disputes.
- Mauritius has concluded a number of Investment Promotion and Protection Agreements (IPPAs).

The Financial Services Rules 2008 (the Rules) set out the licensing framework that provides for a comprehensive codified list of financial services and financial business activities licensable by the FSC.

The licensing framework provides clear sets of licensing criteria and requirements within a well-defined and consolidated framework. Prospective applicants, including service providers, may consult legal provisions, licensing requirements and fees applicable to the particular business they intend to conduct.

The FSC considered the level of development of the different sectors under its purview as well as the need to sustain the overall competitiveness of Mauritius as an International Financial Centre, in determining the fee structure.

The Rules also provide for a specific code for each of the licensable financial services and financial business activities.

– Corporate vehicle permitted: Category 1 Global Business Company.
– Local physical office: Yes, office premises in Mauritius.
– Capital requirement: Each category of Investment Dealer needs to have a minimum capital.
– Assets: Must hold assets of at least USD100 000 within a year, excluding cash or shares in another GBC.
– Directors & Shareholders: Min. 2 resident directors with board meetings held in Mauritius; Min. 1 shareholder, no nationality restrictions.
– Regulating Authority: Mauritius Financial Services Commission (FSC).
– Service Providers Required: Yes
– Time Frame: 2-3 months
– Financial Statements Filing: All categories are required to file audited financial statements within 6 months of financial year end.
– Staff Qualification: Staff employed must have relevant experience and qualification as required under the Securities Act Minimum Capital Required.
– Accounting requirements: Quarterly should be done from Mauritius, local auditor is a must.
– Tax Treatment: The Mauritius GBC is set up under the Companies Act 2001 and licensed under the Financial Services Act 2007 – so a 3% tax will apply to your business what is very low compared to FX entities to be registered in Europe or South-East Asia. A Mauritius GBC is considered as a Mauritius tax resident company (and therefore have access to the double tax treaties of Mauritius) if its management and control is exercised from Mauritius (what we will arrange in our setup package).

There are basically five categories of Investment Dealers under the Securities Act; however, the most commonly used for its wide range of business activities and smaller capital requirements, is the Investment Dealer Broker License, in general, duly authorized to execute orders for clients, to manage portfolios of clients and to give advice on securities transactions to clients.

(a) Keeping, investing, and managing money, securities and investment portfolios on behalf of third parties;
(b) shares or stocks in the share capital of a company, whether incorporated in Mauritius or elsewhere, other than a collective investment scheme;
(c) debentures, debenture stock, loan stock, bonds, convertible bonds or other similar instruments;
(d) rights warrants, options, or interests in respect of securities mentioned in paragraphs (a) and (b);
(e) treasury bills, loan stock, bonds and other instruments creating or acknowledging indebtedness and issued by or on behalf of or guaranteed by the Government of the Republic of Mauritius or the government of another country, a local authority or public authority, as may be prescribed;
(f) shares in, securities of, or rights to participate in, a collective investment scheme;
(g) depository receipts or similar instruments;
(h) options, futures, forwards, and other derivatives whether on securities or commodities;
(i) any other transferable securities, interests or assets as may be approved by the Commission; or
(j) any such other instruments as may be prescribed.

Remark:
The Investment Dealer is allowed to take money from the client by asking him to open an account with the Dealer. However, this money should be exclusively used for securities transactions.

Act as an intermediary in the execution of securities transactions for clients;

Trade in securities as principal with the intention of reselling these securities to the public. Underwrite or distribute securities on behalf of an issuer or a holder of securities (if this option is chosen);

Give investment advice which is ancillary to the normal course of his business activities; and Manage portfolios of clients.

Minimum Capital requirement:
With Underwriting – Company all times to show minimum capital requirement at least
MUR 10,000,000 equivalent to approx. USD270,000

Without Underwriting – Company all times to show minimum capital requirement at least
MUR 10,000,000 equivalent to approx. USD270,000

Execute orders for clients without giving advice.
Minimum Capital requirement: Company all times to show minimum capital requirement at least
MUR 600,000 equivalent to approx. USD16,000

Execute orders for clients, to manage portfolios of clients and to give advice on securities transactions to clients.
Minimum Capital requirement: Company all times to show minimum capital requirement at least
MUR 700,000 equivalent to approx. USD19,000

Act as broker in Commodity Derivatives only.
Minimum Capital requirement: Company all times to show minimum capital requirement at least
MUR 1,000,000 equivalent to approx. USD27,000

Act as broker in Currency Derivatives only.
Minimum Capital requirement: Company all times to show minimum capital requirement at least
MUR 1,000,000 equivalent to approx. USD27,000

– A Global Business Company (GBC) is set up under the Companies Act 2001 and regulated by the Financial Services Commission (FSC).
– Corporate vehicle permitted: Global Business Company.
– Local physical office: Yes, office premises in Mauritius.
– Capital requirement: Each category of Investment Dealer needs to have a minimum capital.
– Shareholders: The shareholders can be nonresident of Mauritius. The minimum of shareholders is one.
– Directors: At least two directors must be appointed who are resident in Mauritius. They must be of sufficient caliber to exercise independence of mind and judgement.
– Effective management: Must be in Mauritius. Substance requirements include employment, either directly or indirectly, of a reasonable number of suitable qualified persons to carry out the core activities.
– Regulating Authority: Mauritius Financial Services Commission (FSA).
– Service Providers Required: Yes
– Staff Qualification: Staff employed must have relevant experience and qualification as required under the Securities Act Minimum Capital Required.
– Accounting: Audited financial statements must be filed with the FSC annually. Financial Statements Filing: All categories are required to file audited financial statements within 6 months of financial year end.
– Audit: Auditing of the financial statements is compulsory.
– Taxation - Corporate tax: 15%; the corporate tax rate is reduced to effectively 3% through a partial exemption of 80% of income resulting from foreign dividends, foreign interest, foreign permanent establishments, and income of financial service providers (asset managers, CIS, Closed-end funds, CIS managers, CIS administrators).
– Time Frame: 2-3 months

To fulfil the requirements permanently Atrium Legal Lab is offering a full compliance package for your regulated entity to make sure that you will never disappoint the regulator, and all goes really according to the laws.

Besides all usual services as outlined below:

– Advice and guidance on the procedures required to obtain the relevant license
– Registration of a Global Business Company in Mauritius
– Applying for full-service dealer or investment dealer License in Mauritius
– Executive director and local director recruiting
– Obtaining Mauritius license
– Preparing of all required documents
– Registered office address in Mauritius
– Registered company secretary services
– All original documents shipped to your address of choice

Our package includes all following ongoing services:

– Administration Fees and Local Director (2x)
– Registered Office and Registered Agent
– Accounting and Yearly Financial Statements, Taxation (quarterly and annual)
– On-going Compliance to satisfy regulator / check of customers Due Diligence
– On-going FATCA Reporting of US customers
– Regulatory fee (FSC, ROC)
– And, most importantly, bank account opening

– End to end comprehensive service
– Speedy and efficient service
– Expert advice on structuring options
– Dedicated ongoing compliance support
– Extensive network pool of service providers

Our lawyers and financial services specialists at Atrium Legal Lab provide solutions to clients by combining the traditional legal fabric with new securities dealer license technologies.

If you would like more information how set up your Securities Dealer License in Mauritius, and/or services and costs included, we welcome you to get in touch with our Business Development Team.