Global Business Company in Mauritius: Things You Should Know

A Global Business Company in Mauritius is a well-regulated, versatile framework of entities that enable businesses to conduct global business but under the Mauritian legal and regulatory systems. Mauritius developed as an international business hub on the foundations of political stability, an extensive network of treaties, and a commitment to transparency. Mauritius is an ideal country for those companies where everything elsewhere but still want legal legitimacy and international accessibility.

A GBC in Mauritius enables global business under a stable and transparent legal framework

With in-depth expertise in establishing international businesses and safeguarding intellectual property, this piece of writing assists clients in establishing compliant Mauritius structures and trademark registers for brand protection over the long term.

Structure and Licensing for Global Business in Mauritius

The Global Business Company in Mauritius is a resident company for regulatory purposes and needs to be licensed under the Financial Services Act 2007. It offers wide-scope international operations in a regulated framework and falls within the regulation of the Financial Services Commission (FSC).

To be lawfully conducted, the company needs a Global Business Licence in Mauritius, which confirms that it has substance and control of its management within the jurisdiction.

Detailed regulatory and structural requirements include:

• Resident Directors: At least two directors must be resident in Mauritius. Such directors shall actively participate in the taking of significant decisions that practically ensure that the company is indeed managed and controlled in Mauritius.
• Registered Office and Company Secretary: The company must have a physical office address within Mauritius and must be equipped with a licensed company secretary. Accessibility and accountability to local authorities are guaranteed thereby.

Minimum two held annually in Mauritius with records to prove local control

• Board Meetings: At least two board meetings per year should be conducted, which shall be arranged in Mauritius with on-site records kept, evidencing support for local control management.
• Accounting and Statutory Records: Statutory books, registers of shares, and books of accounts must be maintained in Mauritius and made readily available to the FSC for inspection and verification of compliance.
• Audited Financial Statements: They will be required to have their accounts audited every year by a Mauritian-licensed auditor. The firm will also be expected to file its tax returns and financial statements with local authorities.

Obtaining and maintaining a Global Business Licence in Mauritius provides access to the Mauritius network of treaties, increases credibility with banks and business partners, and prepares the company for long-term growth.

=> All about Information: Mauritius offshore company formation

GBC 1 and GBC 2 in Mauritius: Regulatory Changes and Clarifications

The classification of GBC 1 and GBC 2 in Mauritius was in use before 2019. GBC 2 entities were subsequently considered less complex, low-substance entities. There was regulatory reform that brought an unmistakable compliance and transparency shift, and the phasing out of the GBC 2 licenses.

GBC 2 was phased out in 2019 as reforms shifted toward greater transparency and compliance

Today, companies are asked to operate under the updated scheme of the GBC 1 Company in Mauritius, which is OECD and EU guidelines-compatible.

Key differences and updated compliance measures include:

• Elimination of GBC 2: GBC 2 licenses are not issued or are obsolete. Existing GBC 2 entities were compelled to convert to GBC 1 or shut down by the regulatory deadline.
• Resident Qualification for Treaty Access: Only GBC 1 companies qualify for benefits under Mauritius’s tax treaties, provided they meet local substance and control requirements.
• Increased Transparency: GBC 1 businesses only benefit from Mauritius's tax treaties, provided that they have local substance and control.
• Compliance Supervision by FSC: FSC also regularly monitors GBC 1 companies to ensure compliance with legal, business, and ethical regulations. Otherwise, it would suspend or revoke the license.

The traditional definitions GBC 1 and GBC 2 in Mauritius may still be seen in older literature, but in reality, the GBC 1 Company in Mauritius is now the only effective framework for foreign business operations.

Benefits and Strategic Use of GBC 1 in Mauritius

A Global Business Company in Mauritius offers greater than structural flexibility—it delivers real strategic advantage to firms seeking successful international expansion. Thanks to Mauritius' position as a gateway to trade with Africa, Asia, and Europe, the GBC vehicle finds extensive application across a range of industries.

A GBC in Mauritius offers strategic access to Africa, Asia, and Europe

A GBC 1 Company in Mauritius supports a range of global activities, including:

• Investment Holding: Owning foreign joint ventures or subsidiaries from Mauritius can simplify dividend flow, capital repatriation, and group structuring.
• Intellectual Property (IP) Management: Patents, trademarks, or copyrights can be held by a Mauritian GBC, with royalty receipts and licensing agreements received globally.
• Cross-border Consulting and Services: Management consultancies, legal advisors, or engineering firms can invoice international clients through a Mauritian structure for improved credibility and access.
• International Trading and E-Commerce: Foreign clients can be invoiced by management consultants, legal consultants, or engineering firms through a Mauritian structure for improved credibility and access.
• Access to Treaties and Legal Protections: With a valid Category 1 Global Business License in Mauritius, businesses can take advantage of over 45 DTAs, reducing duplication of compliance efforts and enhancing dispute resolution protection.

To qualify for these benefits, companies must comply fully with the FSC’s requirements under the Category 1 Global Business License in the Mauritius model.

Substance obligations under this license include:

• Active Local Management: Strategic and operational choices have to be made in Mauritius, with directors residing and operating from the jurisdiction.
• Proportionate Local Spending: Operating costs such as personnel, office space rentals, legal, and admin fees should be in line with the size and nature of the business.
• Robust Documentation and Reporting: Companies have to keep accurate current records and file yearly returns to the authorities tax returns and audit reports.

Holding a Category 1 Global Business License in Mauritius enhances a company's international reputation and ensures that it meets global standards.

Conclusion

Setting up a Global Business Company in Mauritius is a strategic choice for any business looking to create an international presence with a compliant framework. The jurisdiction's emphasis on legal integrity, real economic activity, and transparent operations makes it the optimal choice for businesses looking to expand responsibly in overseas markets.

With evolving compliance rules replacing the old GBC 1 and GBC 2 in the Mauritius system, modern businesses must align with the requirements of the GBC 1 Company in Mauritius. From getting a proper Global Business Licence in Mauritius to getting local material under the Category 1 Global Business License in Mauritius, every step must be carried out professionally.

Offshore Company Corp provides professional assistance with entity formation, trademark registration, and corporate compliance. Companies utilizing Offshore Company Corp benefit from speedy, compliant formation processes and ongoing operating advice in one of the global business world's most coveted jurisdictions.