To set up an international company in the Seychelles is to step into the legal shell known as an International Business Company (IBC). It is not a novelty — this model has been circulating in global corporate practice for years — but its appeal remains strong. Why? Because it strips away much of the red tape that slows businesses down elsewhere. No minimum share capital, no heavy-handed accounting rituals, and a governance system that bends rather than breaks when used across borders.
An IBC lives outside the islands’ domestic market. It is designed to operate abroad, move funds in any currency without obstacles, and send profits straight to shareholders with little friction. Entrepreneurs use it to hold assets, safeguard intellectual property, manage trading routes that cut across continents, or simply keep wealth in a safe, neutral harbor.
The caveat is clear: this freedom is not absolute. Companies cannot touch regulated sectors such as banking or insurance without special approval, and the age of secrecy has long passed. Seychelles IBCs must keep records, reveal their ultimate owners, and align with the global playbook of transparency. In short, it is a tool that marries ease of use with the discipline of compliance.
Legal Groundwork
The IBC Act of 2016, with its later amendments, lays down the rules of the game. Enforcement belongs to the Financial Services Authority (FSA), while the corporate registry inside this body issues the all-important certificate of incorporation.
Every IBC must go through a licensed registered agent. This agent is the channel for filing paperwork and is responsible for safekeeping the company’s records. And if the firm strays into sensitive industries — from securities to digital assets — it must secure additional licenses before lifting off.
On top of that, the Seychelles has tethered its system to international frameworks like CRS and FATCA, demanding disclosure of beneficial owners and data exchange with other jurisdictions. These rules ensure that while the jurisdiction is welcoming, it is also defensible in the eyes of regulators abroad.
Common Structures
Most Seychelles IBCs fall into three broad camps:
- Holdings. Useful for collecting profits from subsidiaries and keeping them in one parent structure.
- Trading companies. They handle contracts of sale, supply deals, or agency relationships, often operating through local agents to keep things flexible.
- Intellectual property vehicles. Here, the company owns patents or trademarks, licenses them out to operating firms, and channels royalty income back to the owners.
What all three share is a need for careful paperwork. Corporate resolutions, accounting entries, dividend logs, royalty statements — these are not mere formalities. They are the backbone that proves the company’s activity is real, traceable, and compliant.
Requirements for Incorporating an IBC in the Seychelles
When an entrepreneur sets up an International Business Company in the Seychelles, the foundation is the concept of authorized capital. The company’s charter can describe either a fixed nominal sum or simply cap the maximum number of shares without assigning them a specific value. The legislation allows for multiple share classes, giving each class its own rules, rights, and restrictions.
Choosing a company name is another obligatory step. The ending must signal limited liability — words such as Limited, Corporation, Company, or abbreviations like Ltd, Corp, Inc. The name may appear in any language, but the registrar has the final word: an application will be blocked if the name mirrors an existing entity too closely or includes restricted terms. The balance here is deliberate — broad freedom of choice, paired with safeguards against confusion or abuse.
Setting Up the Corporate Framework
The minimum corporate skeleton is strikingly simple: one director and one shareholder. Either can be a private individual or a corporate body, and they can be located anywhere in the world. This openness makes the Seychelles an inviting jurisdiction for non-residents. The law even permits corporate directors, enabling holding structures and professional administrators to slot easily into place.
At the core of the system lies the registered agent. Their authority is defined by the International Corporate Service Providers Act, and their role is indispensable. They act as the official channel to the registry, file incorporation papers, preserve corporate records, and verify the identity of participants. Without an agent, an IBC cannot exist; they are the hinge between the company and the regulator.
In addition, every IBC must declare a registered office within the Seychelles. This is more than an address on paper — it is the legal home of the company, the place where documents are stored, official mail is received, and government notices are served.
Taken together, these requirements demonstrate a careful balance: the framework asks for very little in terms of bureaucracy, yet by anchoring each company with a licensed agent and a local office, the jurisdiction ensures oversight remains intact.
Preparation for Registering an IBC in Seychelles
The legal setup of an International Business Company (IBC) in Seychelles begins with assembling a due-diligence dossier that verifies the identities of participants, the source of funds, and the intended business model. This file underpins KYC (Know Your Customer) checks and testing against AML rules aimed at preventing money laundering.
For identity verification and proof of lawful funding at the IBC formation stage, you are typically asked to provide:
- a passport (or an equivalent government ID);
- proof of residential address (for example, a utility bill or bank statement);
- a professional reference;
- details of the ultimate beneficial owners (UBOs);
- a brief description of the source of funds and the planned nature of business.
The registered agent must also obtain a clear outline of the company’s activity, geographical footprint, and principal cash flows. In addition, the origin of monies used to pay up share capital or finance early operations must be documented.
Under AML standards, the agent performs suitability checks on participants, screens names against sanctions lists, and assesses country and business-line risks. All records must be retained for at least the statutory period and produced upon request by public authorities.
This level of preparation minimizes downstream friction with banks and keeps the company aligned with financial-supervision requirements from day one.
How to Open an International Company in the Seychelles: Step-by-Step Registration
The incorporation process is prescribed by law and follows a fixed sequence carried out exclusively through a licensed agent.
The procedure consists of the following stages:
First, the proposed name is examined for uniqueness and compliance. If naming rules on selection and reservation are not met, the registrar will not proceed with IBC registration. Names may be in English or another language, provided the Act’s requirements are respected.
Next, the Memorandum and Articles are drafted. They set out the company type, capital structure, the address of the registered office, and the appointment of the first registered agent. These documents are signed by the applicant and form the basis for filing.
By statute, only a licensed (certified) agent can submit an IBC application in Seychelles. The filing package includes the constitutional documents, proof of payment of the government fee, and any other materials requested by the competent authority.
Once compliance is confirmed, the registrar enters the company in the register, assigns a unique number, and issues a Certificate of Incorporation. From that moment, the entity acquires legal personality and may issue shares, appoint directors, and operate in accordance with the law.
Taxation and Substance
An IBC in Seychelles is not judged by where it is incorporated, but by where it actually earns money. If revenue comes only from abroad, the islands do not claim corporate income tax. The moment a company touches the local economy, the ordinary domestic rules come into play.
substance requirements. In practice, this means an IBC cannot remain a “paper company.” To be accepted as legitimate, it must point to a traceable footprint — an office, staff, or real decision-making within Seychelles. The reform was designed to silence criticism that the jurisdiction had become a home for hollow shells.
But incorporation is only half the story. Most owners end up taxed back home. Many countries apply CFC legislation, which pulls foreign profits into the parent’s tax base. So while the Seychelles may look light on tax, the decisive rules are often written in the shareholder’s country of residence.
Oversight also extends internationally. Seychelles participates in the CRS automatic exchange system, forwarding account data and transaction records to foreign tax authorities. U.S. persons fall under FATCA, meaning their information travels directly to the IRS. Together, these mechanisms leave little room for secrecy.
Where income does arise inside the islands, rates are not flat. The first 1 million SCR (about 68,200 USD) is taxed at 15%; anything above is taxed at 25%. On top of this, a 15% VAT applies to most supplies and imports, though exemptions and zero-rating exist. Outbound payments — dividends, royalties, interest, technical fees — attract a 15% withholding tax when paid to non-residents.
The takeaway: Seychelles offers relief only if the business is structured and operated abroad, but compliance obligations and home-country tax laws will always follow the owner.
Contact our experts and get answers to your questions.
Banking and Payment Solutions
Seychelles’ financial system is built with international companies in mind and offers a wide palette of settlement tools. For most IBC owners, the next stop after incorporation is the bank account, yet this step is often tougher than the registration itself. Opening an account means passing through layers of compliance checks: banks want to see not only a clear chain of ownership but also proof that the money comes from legitimate, transparent sources. They will expect applicants to demonstrate that the business is tied to genuine operations, with a defined geography of transactions and anticipated payment flows.
In practice, entrepreneurs usually look to offshore divisions of global banks or to licensed local institutions that specialize in foreign clients. Another segment growing in popularity is electronic money institutions, which provide multi-currency accounts and integration with international transfer systems. The best option depends on how well the company’s business profile aligns with the risk appetite of the chosen bank or payment provider.
Compliance departments examine everything: the founders’ legal paperwork, the reliability of counterparties, and any exposure to high-risk jurisdictions. If an IBC exists only on paper, the chances of rejection increase sharply. Evidence of substance — renting premises, appointing a local director, or maintaining accounts on the islands — often tips the balance toward approval.
The main settlement currencies remain the U.S. dollar, euro, and British pound, though certain institutions also support Asian currencies to service trading companies. Rejections are most often tied to weak documentation on the source of funds, business models that do not pass financial-monitoring tests, or attempts to open accounts without a proper internal compliance system.
Conclusion
Legal guidance is more than a formality when registering an IBC in Seychelles. A competent advisor can structure the company so that it fits both local regulations and international standards, reducing errors, easing dialogue with banks, and minimizing regulator pushback.
With professional support, the process does not stop at incorporation. It creates a sustainable framework that protects owners’ interests over the long term and preserves the company’s reputation in global markets — a quality often more valuable than any tax advantage.
