Deciding to incorporate to Trinidad and Tobago is both exciting and time-consuming. Learning how to set up a Trinidad and Tobago subsidiary requires weeks to months of planning, and you will need an expert in the country’s subsidiary laws to stay compliant. Companies that wish to start working quickly first have to consider payroll, hiring, onboarding, and compensation and benefits.
Globalization Partners offers Trinidad and Tobago subsidiary outsourcing through our subsidiary in the country to help you expand fast. Our goal is to make it easier for you to work in Trinidad and Tobago and beyond by helping you stay compliant. When you use our infrastructure, you can start working in as little as a day while we take care of the rest.
How to Set Up a Trinidad and Tobago Subsidiary
If you choose to undertake the Trinidad and Tobago subsidiary setup process alone, you will need to examine the best location for your entity. Often, different cities or regions can have their own Trinidad and Tobago subsidiary laws that will impact the incorporation process. If you’re not familiar with those laws and regulations, consider working with a third party who can help you find the right place for your company.
Next, you need to analyze each subsidiary structure to decide which is best for your goals. Your options include a private limited company, public limited company, and branch office. A private limited company, also known as a limited liability company (LLC), is the most popular choice among companies expanding to Trinidad and Tobago.
Setting up an LLC includes these steps:
- Registering as a legal entity with the company’s registrar
- Registering with the Board of Inland Revenue (BIR)
- Obtaining a BIR number and a Pay As You Earn (PAYE) number
- Registering as an employer for National Insurance within 14 days of hiring the first employee
- Reserving a unique business name
- Registering your business name
- Preparing and registering Articles of Incorporation
- Obtaining a Certificate of Incorporation
Trinidad and Tobago Subsidiary Laws
LLCs have laws that differ from other entities. For example, you need at least two directors. Your articles of incorporation should restrict the right to transfer shares between individuals, and the public is not allowed to subscribe to shares or debentures. Each shareholder’s liability is limited by the number of shares they have.
Other Trinidad and Tobago subsidiary laws include:
- Must have at least one shareholder
- No minimum share capital required
- Foreign ownership of up to 100% of the LLC is allowed
- Must have an annual shareholders meeting
- Must have a registered office you will pay for yearly
- Must have a corporate secretary
- Must file yearly tax returns
- Occasionally may need to have accounts audited
Benefits of Setting Up a Trinidad and Tobago Subsidiary
While the Trinidad and Tobago subsidiary setup process can take weeks or months, there are benefits when you finally incorporate. An LLC will protect your parent company, as it will have limited liability from the subsidiary. You can also start working in Trinidad and Tobago legally — hiring employees, finding new customers, and growing your bottom line.
However, Globalization Partners provides these benefits and more through Trinidad and Tobago subsidiary outsourcing. We use our existing subsidiary for companies that want to incorporate fast. When you use our infrastructure, you don’t need to establish your own subsidiary, and we’ll handle all compliance laws on your behalf.
Other Important Considerations
Companies planning an expansion to Trinidad and Tobago need an expert in Trinidad and Tobago subsidiary laws to help with the incorporation process. If no one in your company knows these laws, consider working with a third-party expert such as an accountant, lawyer, or consultant.
You should also consider how much money you will need to pay for the incorporation process and run your subsidiary. Work with your accounting department to ensure your company is ready for the financial commitment. Additionally, you should work with other company executives to divide the workload and ensure everyone has the time for incorporation tasks.
Let Globalization Partners Help With Your Expansion
Globalization Partners is the global PEO you can trust for a smooth expansion. Contact us today to learn more about Trinidad and Tobago subsidiary outsourcing.