If you are looking for a jurisdiction to register a company in the tourism industry, you probably noticed that the global tourism business has recently reoriented itself to more exotic countries. An example of such a state is Mozambique – a country in southern Africa, on the coast of the Indian Ocean with marine parks and numerous popular beaches.
So far, tourism in the republic is a free niche. The state is also of interest to the secondary sector – electricity is produced here at hydroelectric power plants, and especially hard coal is mined in the Moatize coal basin. Perhaps, these are the world’s largest deposits of hard coal, which could not be used earlier due to logistical problems. 525 km of rail links are being built to transport coal to the coast of the Zambezi province and the construction of new port facilities with a capacity of up to 20 million tons of coal per year, which the government plans to extract by 2021.
There are deposits of diamonds and other precious stones, as well as gold and copper, minerals (gabbros, granites, and marbles), industrial minerals (bauxite, beryllium, corundum, mica, graphite), and deposits of economically interesting varieties of tin, rare earth metals (davidite), niobium and tantalum. Heavy mineral sands are also mined and there are deposits of energy resources such as natural gas and coal.
Mozambique has the third-largest gas reserve in Africa.
The agricultural sector (81% of the labor force accounts for 24% of GDP) produces cotton, cashews, sugarcane, tea, cassava (tapioca), corn, coconuts, sisal, citrus, and tropical fruits, potatoes, sunflowers, while 88% of the country’s fertile land remains unprocessed. Bananas, tobacco, sisal, and oil palms are also grown. Most of the annual deforestation is used as fuel.
Coastal fisheries have become an important economically shaping factor in recent years. Mostly tuna and shrimp are caught.
Main business benefits
The main reasons to open a company in Mozambique remotely are as follows:
- Stable economic growth;
- The convenient geographical location of the country;
- Established trade with India, the Netherlands, China, Australia, Italy, and South Africa;
- The highest level of GDP among the countries of East Africa;
- Dynamic development of the industrial and banking sectors;
- Availability of DTA agreements;
- Available labor resources;
- Flexible tax system;
- Free economic zones.
For those who are going to register a company in Mozambique in 2021, we recommend considering the following options for starting a business: transport, mechanical engineering, tourism, the chemical industry, trade, communications and communications, medicine, education, and IT technologies.
Basic OPF
Those wishing to register a company in Mozambique, first of all, need to deal with the choice of a suitable organizational and legal form. In Mozambique, you will be able to open the following types of businesses:
- Limited Liability Company (LLC);
- Closed Joint Stock Company (PLC);
- Representative Office (RO);
- Branch (B).
The best solution would be to register a company in Mozambique as an LLC – a limited liability company.
This form of economic activity is most popular among foreign businessmen and is also characterized by a simple and quick registration scheme and comfortable management.
Regulator Requirements
It won’t take you long to open a company in Mozambique remotely. It will be enough to fulfill the following conditions of the Regulator:
- Selection and registration of the name of the company (preparation of several options, the OPF is indicated at the end);
- Required number of directors: from 1 or more (legal entity/individual);
- Required number of shareholders: from 1 or more (legal entity/individual);
- The presence of a secretary: not required;
- Resident status of directors/shareholders: none;
- Minimum capital: 1 USD;
- Local Registered Office: Optional;
- Data on shareholders in the public domain: no;
- Open corporate bank account in Mozambique: yes.
Taxes in Mozambique
If you intend to register a company in Mozambique, carefully read the terms of the tax regime applicable to companies:
Basic corporate tax rate – 32%;
VAT – 17%;
Dividend tax – 20% (a rate reduction of up to 10% is permissible);
Mineral extraction tax: diamonds (8%), precious metals, precious stones, and semi-precious stones, as well as heavy sand (6%), base metals, coal and others (3%), sand and stone (1.5%)
