If you’re looking to expand your business in Antigua and Barbuda, it’s critical to understand the country’s laws for establishing a business entity. Globalization Partners offers the resources and expertise you need to manage your operations more efficiently without the need for subsidiary setup.
Requirements for Antigua and Barbuda Subsidiary Setup
The subsidiary registration process typically takes about 19 days, so it’s important to plan accordingly and ensure you have enough time to handle all requirements. You’ll need a few key documents and resources to begin establishing a subsidiary:
- At least EC 3000 to cover an attorney fee to prepare your documents
- Incorporation documents including notice of directors, notice of address, and articles of incorporation
- An attorney or justice of the peace to handle your incorporation documents
How to Set Up a Subsidiary in Antigua and Barbuda
Follow these best practices and requirements to ensure compliance throughout the subsidiary establishment process:
- Reserve a name for your company. You’ll need to choose a name and ensure it’s unique through the Intellectual Property and Commerce Office (IPCO). Once you’ve confirmed that no other company has claimed your business name, you can submit a form to reserve it for three months.
- Hire a lawyer. Find an attorney or justice of the peace to prepare an attestation of your company’s fitness for business. The document must certify that the company’s owner is over 18 years old, of sound mind, and not bankrupt. While a lawyer is not required for any other parts of the subsidiary establishment process, it is common for companies to have attorneys prepare their other incorporation documents as well.
- Register your business. You’ll need to register your business with the IPCO and acquire a Certificate of Incorporation. Typically, the notary will handle this requirement, and the associated fees are included in your payment for their services.
- Fill out a Taxpayer Identification Number application. You must register your business with the Internal Revenue Authority for taxes.
- Register for Value Added Tax. If your company’s annual revenue exceeds EC 300,000, you must also register for Value Added Tax (VAT) through the Internal Revenue Authority and receive an Antigua and Barbuda Sales Tax (ABST) identification number.
- Sign up for medical benefits and Social Security. You are responsible for registering with the Medical Benefits Scheme and Social Security.
- Register for education levy: As an employer, you must deduct 6 percent of each employee’s monthly wage to submit to the Inland Revenue Department.
Benefits of Establishing a Subsidiary
A subsidiary in Antigua and Barbuda can be a significant asset for your business operations. The primary advantage for your company is decreased risk.Certain types of subsidiary entities can reduce your company’s liability should you encounter legal issues. A subsidiary also allows you to develop a local presence that’s entirely separate from your parent company.
However, subsidiary establishment may not be the best option for every company. The process takes time, and the associated fees can add up.
If you’re looking for the benefits of a subsidiary without the complex setup process, Globalization Partners can offer a solution. Our Employer of Record (EOR) services offer you diverse opportunities for expansion without any liability for your company. Our team of experts can manage payroll, compliance, and other aspects of your international operations to ensure you meet market standards and country-specific legal requirements seamlessly and efficiently.
Expand to Antigua and Barbuda With Globalization Partners
Do you want to learn more about how our team can optimize your expansion endeavors and navigate Antigua and Barbuda subsidiary laws? Get in touch with us today for more information about our EOR services.