Setting Up a Company in Mauritius: A Step-by-Step Guide

Why Mauritius for Business?

Mauritius has built a reputation as one of Africa's most competitive business jurisdictions. The World Bank has consistently ranked it first in sub-Saharan Africa for ease of doing business. The combination of a low corporate tax rate (15%), an extensive double taxation treaty network (covering over 40 countries including India, China, France, and the UK), a transparent legal system based on English common law, and political stability makes it a genuine hub for holding companies, regional headquarters, and financial services operations.

Types of Business Entity

The most common structures for foreign entrepreneurs and investors are:

• Global Business Company (GBC): The workhorse of Mauritius company law for international business. A GBC can access Mauritius's tax treaty network, hold bank accounts in multiple currencies, and conduct business outside Mauritius. Managed and controlled from Mauritius (requires a local management company for licensing purposes). Corporate tax rate: 15%, with a partial exemption regime that can reduce the effective rate to 3% on certain income streams.
• Authorised Company (AC): For companies whose business and beneficial owners are entirely outside Mauritius. Simpler and cheaper to run than a GBC but cannot access tax treaties.
• Domestic Company (GBL not required): A standard limited liability company operating within the Mauritius domestic economy. Required if you intend to employ local staff, operate retail premises, or provide services to Mauritius-based clients.

The Registration Process

All companies in Mauritius are registered with the Registrar of Companies (ROC) under the Companies Act 2001. The process has been substantially digitised:

• Reserve a company name via the Business Registration System (BRS) online portal
• Submit the Constitution (articles of association), details of directors and shareholders, and the registered address
• Pay the registration fee (MUR 500–1,500 depending on company type)
• Receive a Business Registration Number (BRN) — typically within 1–2 working days for straightforward applications

For GBCs, an additional Category 1 Global Business Licence from the Financial Services Commission (FSC) is required, and a licensed Management Company must be appointed as the local intermediary. This adds cost (management companies charge USD 3,000–8,000 per year) and processing time (typically 2–4 weeks).

Tax and Compliance

Mauritius operates a flat corporate income tax rate of 15%. The partial exemption regime allows 80% of eligible foreign-source income (dividends, interest, royalties, gains on disposal of securities) to be exempt, giving an effective rate of 3%. VAT at 15% applies to domestic sales of goods and services above the registration threshold (MUR 6 million annual turnover). Transfer pricing rules and the OECD BEPS framework now apply, so substance requirements for GBCs are real and must be taken seriously.

Banking

Opening a corporate bank account is the most time-consuming step for foreign entrepreneurs. Banks including MCB, SBM, Absa (formerly Barclays), and HSBC all serve GBCs and domestic companies. Expect to provide audited accounts (if available), KYC documentation for all directors and beneficial owners, a business plan, and evidence of the source of funds. The process can take four to eight weeks. Using a local management company to facilitate the introduction helps.

Getting Help

The Economic Development Board (EDB) operates a one-stop shop for new investors at its offices in Port Louis and online. It offers free pre-investment advisory meetings and can fast-track approvals for significant investments. Reputable management companies with GBC expertise include Axis Fiduciary, Vistra, and Intercontinental Trust.