Bermuda: Types of Company
Local Company Limited by Shares
Bermudan companies are usually formed by registration under the Companies Act 1981 (although see below for updates to this), taking between two and five days depending on whether the Minister's approval is required, An application for registration is made to the Bermuda Monetary Authority, giving details of the proposed beneficial ownership and the proposed name is reserved with the Registrar of Companies; some sensitive words are not permitted, including 'bank'. When business requirements are unusual a company can be formed by Act of Parliament, which takes about two months.
Local companies must be 60% owned by a Bermudian and they can trade within the domestic economy. Two directors are required who cannot be corporate but need not be Bermudian; a secretary is required, does not have to be local, and can be corporate. At least one shareholder is required and nil-value shares are not permitted. The minimum capital is USD12,000 (at the time of writing) and there is an annual fee related to the authorised capital, which does not have to be issued.
Accounts must be kept at a local registered office along with the share register and minutes of shareholders' and directors' meetings although the accounts are not open to inspection. The share register, register of directors and officers, certificate of incorporation and memorandum and articles of association are all publicly accessible.