Open a company in Gibraltar

There’s never been a better time to set up a business in Gibraltar because it has long been a number one for organizations wishing to profit from the low-tax regime and phenomenal telecommunications facilities. The financial services and technology sectors are developing quickly. In fact the Gibraltar‘s economy is looking very stable with strong growth for the future. Gibraltar is a very favourable offshore jurisdiction with all the advantages of being situated in Europe.

Gibraltar Business Structure

• Sole Trader

It is possible for a person to trade in Gibraltar, using either their own name or a business name of their choosing, by registering as a self-employed entity with the Income Tax Office and Employment Service.

A sole trader is the most direct business structure and also the most economical. There are, notwithstanding, critical burdens to working along these lines.

Sole traders are taxed on an individual basis and pay income tax at personal tax rates. Moreover, the risk of a sole trader is limitless, and that implies that the individual would in this way be liable for any loss their organizations might incur.

• Partnerships

Two or more persons or entities might set up a business via a normal association.  A partnership is made by the execution of a deed by both or all of  the partners concerned. The individual partners of an ordinary partnership are mutually and severally responsible for every one of the obligations of the association without constraint of risk.

A limited partnership is different from an ordinary partnership in that it consists of one or more general partners who are liable all for all of the obligations and commitments of the firm and one or more persons called limited partners.

The limited partners must at the time of entering such partnership contribute either a sum as capital or property valued at a stated amount, furthermore, their obligation to banks is restricted to the capital presented.

 A limited partner may not partake in the management of the partnership business and has no power whatsoever to bind the firm. A limited partnership also has no separate legal personality.

Limited liability partnerships are therefore more appropriate for businesses in which all investors intend to fully partake role in management.

• Companies

The utilization of a limited company is also well known on the grounds that the legal personality of a limited company is independent from that of its members. A company might possess assets, go into contracts, borrow and loan money, as well as sue and be sued in its own name.

A company can be incorporated in any one of the following structures:

• a privately owned company restricted by shares
• a privately owned company restricted by guarantee and having a share capital
• a privately owned company restricted by guarantee and not having a share capital
• a private limitless company or
• a public company restricted by shares.

So far, the most common is a privately owned company limited by shares.

The responsibility of shareholders in limited companies is limited by the price agreed upon for the issued shares. The Directors of the company must be selected, and such directors owe duties to the company and to various people. For instance, directors owe specific obligations to the shareholders of the company and they must exercise their powers to support the company as a whole and not with regard to any one specific shareholder.

Business Name

Any individual, partnership or company looking to set up a business in Gibraltar must register a business name if they are trading with a name other than their own, even if the individuals are trading under their own name, the Registrar suggests that such name is registered as a business name.

A business name should be approved by the Registrar, and a charge of twenty pounds is payable on application for the registration.

The application must consist the following important documents:

• Proof of identity of Applicant

• Proof of address of Applicant

• Proof of right to use the address where the applicant business is stated to be located or trading from.

• Power of Attorney if the person presenting application is not an officer of the company.

As considered underneath, the Office of Fair Trading won’t give a Business License to any business that works from a private Government premises, and the Registrar will correspondingly not register a Business Name where it expresses that it works from such a location. Upon enrollment the Registrar will give a Certificate of Registration of a Business Name.

Gibraltar Business Licensing

Under Gibraltar’s Fair Trading Act 2015, lots of individuals that are doing business in Gibraltar needs to apply for a Business Licence.

And as set out in the  OFT (Office of Fair Trading ) Guidance Notes, any applications submitted for a business license must be made by the business director and it requires the following: 

• Proof of premises, including a copy of the rental agreement and site plan
• Copy of Certificate of Registration of the Business Name
• Copies of submitted notices

And if you’re applying as a company, you must submit Profile of company from Companies House. And if the company is situated outside of Gibraltar, the application should also contain a copy of their Part twelve or fourteen Certificate of Registration.

When all the correct information are submitted the BLA (Business Licensing Authority) tends to grant the license within 3 business days of receiving all the documentation, with the license being valid for a year.

Income Tax Office

A business in Gibraltar  must also be registered with the Income Tax Office. It is a requirement to first be registered with the Department of Employment before been registered at the Income Tax Office and can be finalise.

To register an unincorporated business, a full self-employed registration form must be submitted to the Income Tax Office together with the following;

• a duplicate of the person’s ID card or a passport

• the Certificate of Registration of the Business Name

Companies are also required to register with the Income Tax Office as soon as they begin trading in Gibraltar. A company registration form must be filed, and the following additional documentation must be presented :

• a duplicate of the company’s Certificate of Incorporation

• a duplicate of the company’s Memorandum & Articles of Association;

• a company profile from Companies House

• a duplicate of the Certificate of Registration given by the Employment Service.

Advantageously, there is no fee payable on submitting these forms to the Income Tax Office.

Advantages of setting a business in Gibraltar

• Conducting your business in a quality low-tax jurisdiction which incorporates low levels of corporate tax and a stable currency with few restrictions in moving capitals.
• A legal system modelled on the English structure that contributes to making Gibraltar the duly regulated and globally acclaimed jurisdiction it is today.
• Start-up incentives, including a start-up rate of 10% applicable to any new businesses established in Gibraltar.
• Benefits from EU membership.
• A multi-talented, reasonably qualified workforce with training assistance to update skills when needed.
• Legislation is in place to encourage High Net Worth Individuals and High Executives Possessing Specialist Skills in establishing tax residency in Gibraltar and affording them opportunities to have the tax payable on their income limited to a short amount.

Gibraltar savors from warm summers and gentle winters, close to 300 days of daylight which is fortunate way of life with the impressive skill and liveliness of a cutting edge yet mature area.

To setup your company in Gibraltar, please contact your Damalion expert now.

Open a company in Gibraltar — legal forms, formation steps, bank-ready documents, economic substance, directors & shareholders, tax and ongoing compliance.

For entrepreneurs, holdings, SPVs and international groups • Damalion facilitates structuring, filings, and bank introductions in Gibraltar. Approvals remain at the authorities’ and banks’ discretion.

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Why Gibraltar?

Gibraltar offers English-law corporate tools, pragmatic administration, and proximity to major trade routes. We align your use-case with the right entity, banking path, and compliance steps under Gibraltar law.

Common legal forms

Form	Share capital	Directors / shareholders	Notes
Private Company Limited by Shares (Ltd)	From 1 share (set by M&A)	≥1 director; ≥1 shareholder	Most common; flexible for trading/holding.
Limited Liability Partnership (LLP)	Capital per LLP agreement	≥2 designated members	Contractual flexibility; often professional/venture.
Company Limited by Guarantee	No shares; member guarantee	As per constitution	Niche; associations or specific group needs.

Bank-ready pack for directors & UBOs

• Valid passport/ID and recent proof of address.
• Tax residency and status (TIN; US indicia where relevant).
• Source of funds proofs: salary, dividends, business sale, capital gains, inheritance.
• Company papers: M&A, certificate of incorporation, register extract, UBO chart, signatory powers.
• Expected payment flows for 12 months: volumes, currencies, countries, counterparties.
• Certified translations/apostilles if requested by bank/registry.

Formation sequence

1. Scoping. Define purpose (trading/holding), banking needs, directors and substance.
2. Name & constitution. Reserve name; draft M&A aligned to your governance.
3. File incorporation. Submit forms; appoint directors/secretary; issue shares.
4. Compliance setup. UBO register, tax registration, accounting and substance planning.
5. Banking. Shortlist banks in Gibraltar; submit bank-ready pack.
6. Go-live. Activate IBAN(s), configure user rights, test payments.

Economic substance & controls

Match people, premises and governance to actual activities in Gibraltar. Define user roles, payment limits, dual approvals and board calendars to keep operations auditable and bankable.

Tax & reporting (high level)

• Obtain correct tax classification; maintain books and timely filings in Gibraltar.
• Document related-party flows with appropriate contracts and transfer-pricing support where applicable.
• Seek independent tax advice for cross-border effects.

Related reading

• Open a company in Gibraltar
• More articles on company formation

Frequently asked questions

Can non-residents incorporate a company in Gibraltar?

Yes. Non-residents may lawfully incorporate in Gibraltar subject to statutory KYC/AML, disclosure of ultimate beneficial ownership, and satisfaction of registrar requirements.

What is the minimum share capital for a Gibraltar Ltd?

Gibraltar law permits incorporation of a private company limited by shares with a nominal capital set in the memorandum and articles. The amount should be commercially adequate for the stated activities.

Are local directors or a Gibraltar company secretary required?

Appointment of a company secretary is customary. Director residency is not mandated by statute; however, governance and substance should reflect where strategic decisions are taken for Gibraltar law and tax purposes.

Is a registered office in Gibraltar mandatory?

Yes. A Gibraltar company must maintain a registered office in Gibraltar for service of notices and statutory records, as prescribed by company law.

How is economic substance addressed for Gibraltar entities?

Economic substance in Gibraltar should align personnel, premises, and decision-making with the entity’s activities. Boards should document meetings and maintain contemporaneous records evidencing control and management.

What UBO disclosures apply in Gibraltar?

Gibraltar requires identification of ultimate beneficial owners in accordance with applicable transparency rules. Filings and access are governed by prevailing legislation and data-protection safeguards.

Can bearer shares be used in Gibraltar?

No. Bearer shares are not supported under current Gibraltar company law and corporate practice.

What accounting and audit obligations apply in Gibraltar?

Gibraltar companies must keep proper books and prepare annual accounts. Audit requirements depend on statutory thresholds and company category; directors remain responsible for true and fair reporting.

How are Gibraltar companies taxed in principle?

Gibraltar corporate income tax generally applies to profits accruing in or derived from Gibraltar, subject to the prevailing legislation. Specialist advice should be obtained for group structures and cross-border matters.

Can a Gibraltar company open bank accounts in Gibraltar?

Yes, subject to each bank’s risk policies. Banking in Gibraltar is feasible where the compliance profile, expected payment flows, and substance are coherent and well documented.

Is remote incorporation in Gibraltar possible?

Yes. Incorporation and KYC can be completed remotely with certified documentation and, where required, apostilles or legalizations. Banks may still request a meeting at their discretion.

What licenses are required for regulated activities in Gibraltar?

Activities such as financial services, gaming, or e-money in Gibraltar require prior authorization from the competent authorities. Operating without authorization is unlawful.

Can a foreign company redomicile to Gibraltar?

Continuation into Gibraltar may be available subject to eligibility, creditor protections, director and shareholder approvals, and registrar acceptance. Legal due diligence is required.

How long does Gibraltar incorporation typically take?

Following submission of a complete and compliant file, incorporation in Gibraltar can complete within days to weeks, depending on name clearance, document quality, and regulator or bank follow-ups.

How are sanctions and PEP matters treated in Gibraltar?

Gibraltar institutions apply enhanced due diligence for sanctioned, high-risk, or politically exposed person (PEP) profiles. Additional documentation and approvals may be required, and onboarding may be declined consistent with law and policy.

10 Best Things to Do in Gibraltar, UK Overseas Territory, in 24 Hours

Maximize a tight schedule with high-impact highlights clustered around the Upper Rock and town centre.

1. Gibraltar Nature Reserve (Upper Rock) — signature vistas, walking trails, and historic sites. Jump to map
2. Gibraltar Cable Car — quick ascent to the summit with panoramic views of two continents.
3. St Michael’s Cave — spectacular limestone caverns and light show.
4. Great Siege Tunnels — 18th-century defensive tunnels carved into the Rock.
5. Apes’ Den (Barbary macaques) — Europe’s only wild macaques; observe responsibly.
6. Skywalk & Windsor Suspension Bridge — glass viewing platform and scenic bridge walk.
7. Europa Point & Trinity Lighthouse — southerly tip with Strait of Gibraltar views.
8. Moorish Castle — medieval fortifications and Tower of Homage.
9. The Gibraltar National Museum — Neanderthal heritage and local history.
10. Catalan Bay — colorful fishing village and beach on the east side.

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