Belize LLC: A Great Offshore Choice in 2022

There are things we unmistakably recognize as high-class ones, and Belize is one of them – not only as a great recreation place but also as a destination where you can start an offshore company. This reliable jurisdiction with low taxes remains a really good option in times of turbulence and deoffshorization. And it is true that you can no longer count on aggressive tax optimization schemes in the offshores, but you can still get a company quite quickly at an affordable fee – and without traveling to the island!

When it comes to choosing a legal form, we recommend a Limited Liability Company (LLC), and we have a lot of reasons to substantiate our choice! In this post, we will talk about the obvious advantages of a Belize LLC and compare it with an IBC (International Business Company). You can read more on an LLC in Belize on our portal and choose a consultant there if you feel that you need help to jump through all the administrative hoops on the first try.

So, why do we love Belize LLCs and confidently recommend them to our clients? Look at the reasons and put a tick next to those that seem to be most important for you:

• In most cases, entrepreneurs pay no taxes whatsoever in Belize. You are liable for taxes on the island in one instance: your profits come from operations on the island. If you conduct 100% of your business abroad, you can enjoy your zero-tax rate with a light heart.

• You are free to keep your business records as you see fit: the state of Belize does not require you to submit tax returns or financial statements. No information on annual general meetings is provided, either.

• Your ownership shares are the limitation of your liability.

• The company can fully belong to foreign owners.

• Starting your company with $1? Sounds ridiculous, but not in Belize: the minimum authorized capital can be as low as that.

• You will not need to apply for a TIN or comply with any economic substance requirements.

As you see, Belize is our favorite destination because it cuts off all the superfluous things and allows you to focus on business.

All you need to do is to get your undertaking started – along with the corporate account or any certificates you may need. Our experts can provide a customized package of services for you – take a look at the full list of our offshore consulting options to see what services you may need to make a powerful start to your business.

Suppose you don’t love LLCs as much as we do and decide to form a Belize IBC. What are the drawbacks that you fail to avoid in this case?

• You will need a TIN

• Find out the economic substance requirements as you will have to fulfill them

• You will need to keep accounting records in Belize

• You will have to hold the meetings of shareholders in Belize

• It takes more than one non-resident to set up a Belize IBC

• There is a minimum share capital threshold

• Be ready to file tax returns on a mandatory basis

• Find an auditor for your financial statements

You get more work to do and hardly any benefits. The game doesn’t seem to be worth the candle, does it?

Let’s take a look at the practical matters of LLC management in Belize to see how the whole thing works in detail. And don’t forget to find the benefits that will help you make a choice:

• LLC members are liable in proportion to their participation share in the company.

• All company decisions are made by voting of members.

• No tax is payable on income obtained in other locations than Belize.

• No duties are payable to the state.

• No exchange controls are applicable to the LLC’s activity.

• LLC members pay taxes on their assets as individuals as they may be from different countries (with different rates applicable to them).

• Belize is a really great choice if you care about asset protection. The country’s legislation protects LLCs from the personal liabilities of their members, including outstanding loans. Moreover, decisions made by courts outside Belize are null and void, so the creditor will have to start the proceedings again – this time within Belize. As a result, getting to your assets is a real problem for the outsider.

• If confidentiality is one of your priorities, you will appreciate the fact that the only document shared with the Registry is the company’s charter, while the data on beneficiaries remains private.

• Mobility is yet another advantage of a Belize LLC: if the situation changes in any way, your company can be easily re-domiciled to any other jurisdiction (and back).

The rules of the game contain information on what you can and cannot do. |Naturally, there are things that LLCs are not allowed to do:

• Generate income with the involvement of Belize residents

• Be the only real estate owner

• Acquire securities from local entities

• Issue securities on behalf of a citizen of Belize

Well, that’s it about Belize LLCs. We hope that we managed to share our appreciation of this truly convenient company form in this short post. You can follow the first link to see what requirements you will need to satisfy before you become a proud owner of a Belize LLC. 

Once you’ve made the decision, the algorithm is fairly simple: you contact our specialists and discuss the list of services at a one-on-one meeting, collect the required documents and send them to us, pay the fee, and it’s in the bag!

We wish you an excellent offshore business experience and a seamless start!