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Grenada Industrial Development Corp.
Frequenté Industrial Park
St. George's
Grenada, West Indies

Phone: 1 (473) 444-1033-35
Fax: 1 (473) 444-4828
E-mail: invest@grenadaidc.com

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Introduction

The Complete guide for the business investor- An in-depth look at the procedures for business investments in Grenada, from owning properties to obtaining permits and licenses. Each section within the guide gives step-by-step instructions for a successful investment process.

 


Starting a Business

 


 

 

Legal and Regulatory Framework


Investors may freely invest in all fields of lawful economic activity except activities prejudicial to national security or detrimental to the natural environment, public health or the national culture.

 

Investors must register a business name, a partnership or a limited liability company. Registered businesses may be wholly-owned or joint venture.

 

Caricom investors are accorded Rights of Establishment. Non National investors require alien landholding licenses to invest in property and work permit to gain employment.

 

 

Procedures for Starting a Business


It takes four (4) procedures, eight (8) days and costs US$14 to start a business in Grenada. Details are provided below.

  1. Business Name Search (3 days, US$4)
  2. Business Name Registration (2 days, US$10)
  3. Tax Registration (2 days, free)
  4. Social Security (1 day, free)
  • If a company is to be formed, it will take 12 days, US$1,369 for local registrant and US$1,848-foreign registrant.
  • If a partnership is to be formed it will take 7 days and US$10
  • If permits and licenses are required it will take 30 days
  • To open a bank account and deposit start-up capital it will take 7-14 days.
  • To register with the Private Sector Association it will take 30 days and the payment of an annual membership fee.

 

Any of these steps can be done simultaneously.

 

 

Doing Business Procedure

 

Click here to download the procedure flow chart in PDF format.


 

Registering a Business Name

 

Every business operating in Grenada is required to register a business name with the Corporate Affairs and Intellectual Property Office (CAIPO) within 14 days of commencement of the business operations. The process is as follows:

  1. Determine type of business structure (Sole Proprietor, Partnership or Company)
     
  2. Determine the business name
     
  3. Prepare letter of application (in duplicate) in the prescribed form to the Registrar of the Corporate Affairs and Intellectual Property Office (CAIPO) under the registration of the Business Names Act, 2012.
     
  4. Prepare statement of particulars (in duplicate) in the prescribed form. A statement of particulars must include the following:
    1. The name of the business
    2. General nature of the business
    3. The principal place of business
    4. Where the registration to be effected is that of an individual
      1. The present Christian name and surname
      2. Former Christian name and surname
      3. The nationality
      4. The usual residence
      5. The other business occupation of the individual
    5. Where the registration to be effected is that of a firm
      For each of the individuals who are partners the following:
      1. The present Christian name and surname
      2. Former Christian name and surname
      3. The nationality
      4. The usual residence
      5. The other business occupation
      6. Corporate name
      7. Registered or principal office of every corporation which is a partner
      8. Where the registration to be effected is that of a corporation
      9. its corporate name
      10. Registered or principal office
      11. Date of commencement of the business
         
  5. The statement of particulars must in the case of an individual be signed by him, in the case of a corporation by a director or secretary and in the case of a firm by all the individuals who are partners and by a director or the secretary of all corporations which are partners. If the statement is signed by some individual who is a partner or a director or the secretary of some corporation which is a partner, the signatory must be verified by statutory declarations.

 

Setting Up an Individual (Sole Proprietorship) Business

 

Requirements
 

The following is required to set up an individual (sole proprietorship) business.

  • A name that has been registered with the Supreme Court Registry
  • An address for service
      

Cost
 

The cost to set up an individual (sole proprietorship) business is US $14 as follows:

 

 

Name Search and Reservation

$4

Business Name Registration

$10

Amendment to Business Name (if necessary)

$2

 

* All fees are quoted in US Dollars

 

 

Forming a Company

 

Requirements
 

The following is required to incorporate a company:

  • A name that has been registered with the Supreme Court Registry
  • At least one share
  • At least one shareholder
  • At least one director
  • A registered office
  • An address for service

 

A company is not legally required to have a constitution. If the company has a constitution, it is generally filed at the time of incorporation. However, notice of the adoption of the constitution does not have to be filed until 10 working days after the constitution is adopted.
 

Preparing and Notarizing Company Statutes and Making Company Seal
 

Procedures

  1. Procures the services of an attorney
     
  2. Prepare and notarize the following company statutes:
    1. Articles of Incorporation to include:
      1. The name of the company
      2. The class and maximum number of shares in the company
      3. Restriction on share transfer
      4. The number of directors
      5. Restrictions if any on the business of the company
      6. Name of incorporated
    2. Notice of Directors, which include:
      1. The names of the Directors
      2. The addresses and occupation of the Directors
    3. Notice of Address to include:
      1. Location of operations
      2. Address if different from main place of operation
         
  3. Articles of Incorporation to include: Submit company statutes along with required stamps and filing fees to the Supreme Court Registry
     
  4. Supreme Court Registry will stamp and file documents, returns certified copies along with certificate of incorporation
     

Cost
 

The cost to set up a company is as follows: US$1,369 (local registrant), US$1,848 (foreign registrant)

 

   
   

Business Name Registration Certificate

$4

Filing Fee

$442 - Local Company for Profit
$921 - External/Foreign Company

Attorney’s fee

$921

Other Charges:

 

Amendment to Business Name

$2

Certified Copy

$2

 * All fees are quoted in US Dollars

 

 

Registering for Taxes

 

Every business operating in Grenada is required to register with the Inland Revenue Department within one (1) year of commencement of the business operations. 

 

Procedure for Registering for Taxes

  1. Present to the Inland Revenue Department a copy of the Business Registration Certificate
  2. Present proper Identification (Driver's License, NIS Card)
  3. Complete the Tax Registration Form

The Tax Identification Number is issued within 2-3 days

 

This procedure is the same for sole proprietorship, partnership and legal corporations

 

Tax Registration Form details needed for Corporations, Partnerships, Joint Ventures

 

  • Enterprise Type
  • Registered Name
  • Registration Number
  • Court Registration date
  • Trade name
  • Start Date
  • Fiscal year Start/End
  • Residency
  • Mailing Address
  • Foreign Parent Name
  • Trade Types
  • Bank/Credit Union Information
  • Representative Information
  • Enterprise Establishment
  • Enterprise Employment

 

 

 

Tax Registration Form details needed for Sole Proprietorship

 

  • Owners Name
  • NIS Number
  • Trade Name
  • Start Date
  • Enterprise Employment
  • Business Activities
  • Contact Name/Title
  • Business Mailing Address

 

 

Registering for Social Security

 

Every business operating in Grenada is required to register with the National Insurance Scheme within seven (7) days of the commencement of the business operations. Registration with the National Insurance Scheme is regulated Act No. 14 of 1983, Cap 205.

 

Requirements
 

Every Employer is mandated by the Scheme to:

  • Be registered within seven (7) days of operations
  • Ensure that all the employees between the ages of 16 and 60 are registered within four (4) days of employment
  • Deduct and pay contributions on behalf of each employee on or before the 14th day of the subsequent month.


Registration Process

  1. The employer must complete the employer registration form and submit with a copy of the business registration certificate
  2. The employee must complete the employee registration form and submit with the birth certificate and any other relevant documents such as marriage certificate, affidavit, deed poll etc.
  3. Both employers and employees are assigned individual identification numbers.
  4. Processing time is within one (1) working day.

Required Monthly Contributions

  • 4% contribution deducted from the gross salary of the employee
  • 5% contribution of the employees gross salary by the employer

 

The benefits provided under the scheme:
 

Long-term benefits:

  • Age Pension/Grant
  • Reduced Age Pension
  • Invalidity Pension/Grant
  • Constant Attendant
  • Funeral Grant
  • Survivors Pension/Grant
  • Death Benefit

Short-term benefits: 

  • Sickness
  • Maternity allowance
  • Maternity grant
  • Employment: Injury

 

Note: NIS does not pay gratuity age benefits


 


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