THE BAHAMAS Law and Practice Contributed by: Alistair Chisnall and Erica Paine, Graham Thompson
5.3 REITs No information has been provided in this juris - diction. 5.4 Minimum Capital Requirement The authorised capital of an IBC may be divided into shares of a fixed amount, but IBCs may also have shares of no par value. Common shares, preference shares, redeemable shares or any combination thereof are permitted, but only registered shares are permitted; bearer shares are not permitted. Generally, the preferred mini - mum authorised capital is USD5,000 divided into 5,000 shares of USD1 par value each. Similarly, the majority of Domestic Compa - nies are incorporated with an authorised share capital of USD5,000 divided into 5,000 ordinary shares of USD1 each, although other options and amounts are available, and these can be tailored to meet the requirements of the investor. 5.5 Applicable Governance Requirements Every IBC must have a registered agent and maintain a registered office in The Bahamas. An IBC may have a sole director and/or a sole share - holder. The appointment of officers is optional. The powers and objectives of an IBC are typi - cally to engage in any activities that are not pro - hibited under any law in force in The Bahamas. A Domestic Company must also have a local registered office. The company must have a minimum of two directors, two shareholders, a president and a secretary. The constitutional documents of both an IBC and a Domestic Company (ie, the memorandum and articles of association) determine the pow - ers of its board of directors and officers, and
the management of the affairs of the company’s operations and business. 5.6 Annual Entity Maintenance and Accounting Compliance For an IBC, the annual government fees are determined based on the authorised share capital. Where the authorised share capital for one year does not exceed USD50,000, the fee is USD365; where the authorised share capital exceeds USD50,000, the fee is USD1,030. For a Domestic Company, the annual govern - ment fees are determined based on beneficial ownership. A government fee of USD350 per year is payable for companies beneficially owned by Bahamians, and USD1,000 a year is payable for companies owned by non-Bahamians. For a non-Bahamian Company registered in the Bahamas Companies Registry as a Foreign Company, the annual government fee payable to the registrar general (not in the year of registra - tion) is USD1,000. For all companies mentioned here, professional fees are typically also payable to the financial and corporate service provider in connection with the maintenance of the company and reg - istered agent/office services. 6. Commercial Leases 6.1 Types of Arrangements Allowing the Use of Real Estate for a Limited Period of Time The occupation and use of a property may be established in The Bahamas without outright ownership under a lease or a licence.
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