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Barbados: Offshore Business Sectors

Trade, Marketing and Distribution

Barbados has encouraged commercial activity and manufacturing, especially in high technology. It has taken advantage of its physical location alongside the US to attract a considerable number of Foreign Sales Corporations, although these will lose most of their purpose as the US responds to the banning by the WTO of FSC legislation and its replacement Extra-Territorial Income Exclusion Act.

The Government offers either direct or through the Barbados Investment and Development Corporation a wide range of investment incentives applying broadly to manufacturing industry under the Fiscal Incentives Act 1974 and other legislation, giving tax holidays up to 15 years, duty-free importation of materials, assistance with construction of factories, etc.

As well as the US-aimed Foreign Sales Corporation (now no longer used after the US repealed its FSC legislation in 2004), there is a wide variety of offshore company formats to choose from to suit all purposes.

Along with other offshore jurisdictions, Barbados is a suitable place in which to base e-commerce services for retail or wholesale distribution of material or non-material goods: see Offshore-e-com.com for extended descriptions of how such businesses can take advantage of the combination of offshore and e-commerce. Indeed Barbados has developed a strong computer facilities industry, and can probably give better support to e-commerce than many other jurisdictions.

 

 

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