Mauritius is rapidly emerging as a preferred destination for international entrepreneurs and corporations. With its strategic geographic location between Africa and Asia, favorable tax regime, and strong regulatory environment, company formation Mauritius has become a powerful tool for global expansion, trade, and investment.
Why Mauritius?
Mauritius offers an investor-friendly environment with a robust infrastructure, a bilingual workforce (English and French), and access to international markets. The government has created a legal and financial ecosystem that supports cross-border operations and encourages innovation.
Key Benefits of Forming a Company in Mauritius:
- Effective tax rate as low as 3% for qualifying companies
- An extensive network of 40+ Double Taxation Avoidance Agreements (DTAAs)
- Repatriation of profits and capital without restrictions
- Political and economic stability
- Common law-based legal system influenced by both English and French traditions
- World Bank-ranked as one of Africa’s top countries for ease of doing business
Types of Companies in Mauritius
Mauritius offers several types of legal entities, but the most relevant for international business are:
- Global Business Company (GBC):
- Ideal for businesses that earn income outside Mauritius
- Subject to 15% corporate tax, with tax credits reducing the effective rate to 3%
- Can access DTAAs and apply for tax residency certificate
- Requires local director and substance in Mauritius
- Authorised Company (AC):
- Used for non-resident business operations
- Not considered tax resident and cannot benefit from DTAAs
- Simple structure with no local substance requirement
- Ideal for holding companies or trading entities outside Mauritius
Common Use Cases:
- Investment Holding: Manage international portfolios in a tax-efficient way
- Trade and Logistics: Establish a base for accessing African and Asian markets
- Technology Startups: Benefit from IP protection and low-tax innovation environment
- Private Equity and Funds: Leverage legal structures for fund formation and administration
The Incorporation Process
Starting a company in Mauritius involves a clear and well-regulated procedure:
- Choose a company name and reserve it with the Registrar
- Draft the constitution and relevant incorporation documents
- Appoint directors (at least one local director for GBC)
- Engage a licensed management company (mandatory for GBCs)
- Apply for a business license and obtain tax registration
Most companies can be registered within 3–5 business days once all documents are in order.
Compliance and Reporting Requirements
Mauritius maintains a high level of compliance with international financial standards:
- Annual audited financial statements are required for GBCs
- GBCs must meet economic substance requirements (physical office, local staff, business expenses)
- Authorised Companies have lighter compliance but cannot claim tax residency
Banking and Financial Services
Mauritius has a robust financial services sector and is home to many local and international banks. Corporate accounts can offer:
- Multi-currency functionality
- Online banking and investment management tools
- Access to trade finance and merchant services
Companies can also access fintech services, global payment gateways, and fund administration providers.
Challenges and Considerations
- GBCs must meet substance requirements to retain tax treaty access
- Banking setup may involve due diligence and business plan documentation
- Legal and professional fees can vary depending on the service providers
Conclusion
Company formation in Mauritius is a strategic step for businesses seeking international reach, tax efficiency, and access to key emerging markets. With flexible legal entities, favorable taxation, and global recognition, Mauritius serves as a springboard for entrepreneurs and corporations looking to scale across Africa, Asia, and beyond. Whether you’re launching a holding company or managing an international trade network, Mauritius offers the right mix of regulatory strength and business freedom.
