A Guideline on Cape Verde Company Formation Investors Should Learn
Cape Verde has been a tourist attraction for many years already, offering a beautiful getaway for anyone. Not to mention the luxurious hotels and resorts you can find here. Tourism has become an established industry in the country, and investors have certainly taken notice. There has been an increasing number of Cape Verde company formation in the past years.
Back in 2005, the Cape Verde government and Millennium Challenge Corporation signed a five-year $110 million compacts. Therefore, it will help increase the economic growth of the country and lessen poverty through infrastructure and investment, watershed management, agricultural support, and private sector.
Improved Infrastructure because of Compact Investments
Three roads and fur bridges were built for the improvement of market access, social services, employment, and the expansion of Port of Praia. All of these were done to have better productivity and operations. Also, the construction of 28 spring- and rain-fed reservoirs, and 48 dikes took place. There 553 subsistence farmers trained to produce good quality fruits crops. They helped 225 farmers and even small agricultural businesses to gain credit. Lastly, they strengthened the capacity of microfinance institutions and the first-ever credit bureau in the country finally started groundwork.
Cape Verde Company Formation
It is possible to start your business in 24 hours whether it is an individual or company. You must first choose a company name that has been a pre-approved and constituent act. This special service has important registrations and publications, and an optional website dedicated to the company.
Based on a pre-approval strategy, they use the internet, and the official bulletin goes through publication and payments and taxes are also managed online.
In case an investor is interested to establish a business in Cape Verde, they must follow the process legally, they need enough capital investment to succeed, and they must follow international regulations. A Cape Verde company formation investor must respect and understand the social, political, and cultural aspects that may impact the growth of their business. Failing to do this could lead to negative results, not conducting study and research is a recipe for disaster. All the finances, energy, time, and money will only go to waste because everything was planned poorly.
Process of a Business Setup
- Get a business certificate of admissible evidence stating that no other company bears the same name
- Ask for the original registration of the trading society and bylaws, written by all business partners, and the Registry Office
- Attach the bank deposit counterfoil to prove the deposit amount that is equal to the capital funds
- After publishing the registration in the Official Gazette (BO) Bylaws or agreement
- Get the Directorate General of Tax Collection and Tax Law Enforcement the Fiscal Identification Number (NIF)
- Go to the Directorate General of Commerce and register to start the commercial business.
The registrations are:
- DGRNI Constituent Certificate/Business Registration
- INCV Dissemination of Contracts and By-laws
- DGCI – Income Tax Framework and Declaration of the start of an activity
- DGT/IGT – Labor Framework
- INPS – Social Framework
The registration and company creation is going to be published online, and the local press. These are also both legal requirements to assure validity.
The cost of a Cape Verde company formation is ECV 10,000 and another ECV 10,000 (approx. 200 Euros in total) to Register at the Chamber of Commerce.
Cape Verde gives exceptional incentives when for doing custom duties, CIT, PIT, property tax, stamp duty, and investments. The conditions are:
- The investment value is at least CVE 550 million
- There is an important investment to promote and accelerate economic development, under the government program
- Creating 10 jobs or more
You can contact 3E Accounting to get help in setting up a business in Cape Verde to get started right away. Cape Verde company formation does not have to be so difficult if you have the right support.