A Mauritania subsidiary is the key to your success in the country and beyond. Your subsidiary will give you the infrastructure to hire employees, set up your payroll, and provide compensation and benefits. However, it can take weeks, months, or even up to a year to set up your company, which will set back your entire working plan.
Globalization Partners is a global PEO that helps companies around the world expand to new places. Instead of you establishing a legal entity in Mauritania before you can start working, our team will help you get off the ground in a day or two. From hiring employees who work for your team to handling compensation, benefits, and payroll, we’ll work on everything and even handle compliance.
How to Set Up a Mauritania Subsidiary
Not every company knows how to set up a Mauritania subsidiary according to location and entity. Your location plays a role in the Mauritania subsidiary laws you must follow, as different cities or regions can have their own applicable laws. If you’re new to the country, you may want to work with an expert, accountant, or lawyer who can help you find the best location for your entity.
Another factor to consider is the type of subsidiary you want to choose. You can incorporate as a limited liability company (LLC), public limited company, or branch depending on your needs. For example, companies that want to incorporate as an LLC will enjoy greater freedom in Mauritania and get to handle more business activities. On the other hand, a branch doesn’t provide the same level of flexibility and is a good choice for companies that plan to undertake only a few activities.
When you set up a Mauritania subsidiary, you need to follow these steps:
- Establish Articles of Association signed by someone with a power of attorney
- Register with the tax and social security authorities
- Provide statement of the holidays acquired per employee
- Provide statement of cumulative salaries
- Provide information on employees
- And more
Mauritania Subsidiary Laws
Mauritania’s subsidiary laws also vary by entity. When you choose to incorporate as an LLC, you’ll get to take advantage of favorable laws for foreigners, but you’ll need to ensure that you follow the right regulations to stay compliant. For example, Mauritania LLCs must appoint at least one director and one shareholder who can be of any nationality.
You will also need $3,500 in minimum paid-up share capital to complete the incorporation process. Since LLCs operate under a wide range of freedom, you’ll likely need to appoint a statutory auditor and submit annual audited financial statements.
Benefits of Setting Up a Mauritania Subsidiary
Although it may take you a while to establish a subsidiary, you will get some benefits out of the Mauritania subsidiary setup process. For example, you can start working in the country and benefitting from business relationships and work with new employees. As an LLC, your parent company and subsidiary will also operate somewhat independently, which protects each from financial decisions and litigation.
Despite these benefits, you’ll get more opportunities quicker through Mauritania subsidiary outsourcing. We can eliminate the need to set up a subsidiary at all since you can use our Mauritania PEO. As the Employer of Record, Globalization Partners will take on all the risk of compliance so that you can manage your company.
Other Important Considerations
Are you planning for an expansion to Mauritania? If so, you need to set aside time, money, and resources now. We recommend employing the services of an expert in Mauritania subsidiary laws to help you stay compliant and avoid fines or delays. You should also talk to your finance department to make sure you have the money to pay this expert and deal with incorporation costs.
If you plan to tackle the expansion yourself, you need a completely clear schedule to deal with all the demands. Making it a company-wide effort can help you delegate tasks and ensure everyone has a stake in the new subsidiary’s success.
Let Globalization Partners Help With Your Expansion
Globalization Partners has helped hundreds of different companies expand around the globe. Make the most of your expansion today through Mauritania subsidiary outsourcing and our Global Expansion solution. Contact us today for more information.