The Private Trust Company in Mauritius
The Private Trust Company (PTC) is a vehicle with a perfect model to preserve the assets of one’s family while exercising control as the Trustee. A Private Trust Company in Mauritius is an ideal choice for wealth management, and for High-Net-Worth-Individuals looking to structure their assets with the safety, added benefits and versatility of the Mauritian jurisdiction.
Why choose Mauritius for the setting up of a Private Trust Company
Mauritius is an International Financial Centre with a strong political and economic stability, accompanied by legal protection for a sound structuring of assets. Setting up of a Private Trust Company in Mauritius is quick and simple.
A Private Trust Company can be structured as an Authorised Company or as a Global Business Company. Established as a Global Business Company, the Private Trust Company will likely charge Trustee fees to the Trust (professional fees) and thus be taxed at 15% and will have access to the Double Taxation Agreements network Mauritius has with other countries. Management services investment counsel with family trusts may be carried out by a Private Trust Company as per a service agreement to licenced financial companies or service providers.
The significant advantages that Mauritius offers in regard to Private Trust Companies include:
- It costs less to have a Private Trust Company arrangement than to establish individual Trusts controlled by professional trustees;
- No exchange controls;
- Cost-effective and quality financial services (administration and establishment costs);
- Less regulatory control;
- No requirement for a ‘qualified’ Trustee licence for the Private Trust Company to operate as corporate Trustee of the underlying Trusts;
- Flexibility in decision-making;
- The family can monitor actions of the Trustee;
- Able to lodge exotic or high risk assets;
- Clients can have control without compromising the validity of the structure;
- The client who is not at ease with a third party acting as Trustee are protected;
- Family participation in wealth management; and
- An efficient way to delegate wealth to the next generation (succession planning).
Private Trust Companies in Mauritius
Whilst there are no definite legislation in Mauritius for the Private Trust Company, the Financial Services Commission (FSC) has declared that where a Private Company acts as a Trustee for a specific number of Trusts for the benefit of a family, rather than offering its services to the public, it will not be considered as carrying out Trust business in Mauritius. Thus, given that it meets certain safeguards, it will not be mandatory to be licenced as per the FSC Act 2007 as a Corporate Trustee.
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The features of the Mauritius Private Trust Company regime include:
- appointment of a duly licenced Management Company to carry out its Trust administration services and as Company Secretary;
- to abide by the standards of the Financial Services Commission;
- needs to meet the following standards:
- limit its activities to that of Private Trust business services;
- always sustain a minimum paid up capital of US$5,000;
- offer its Private Trust business services uniquely to connected persons;
- not trust business from, or deliver trust business services to, the public;
- assign a duly licensed Management Company to deliver its Trust administration services concerning any express Trust to which it is a Trustee, certain Management companies can also include asset management services;
- appoint the Management Company as Company Secretary; and
- comply to the AML/CFT Framework.
- must forthwith notify the Financial Services Commission of any change in the nature and scope of its private trust business; and
- must provide to the Financial Services Commission, on a yearly basis or upon request, a list of trusts for which it acts as private trustee.
Timeline for the setting up of a Private Trust Companies in Mauritius
It takes 10 to 15 business days to establish a Private Trust Company, while it takes up to two days to establish a Trust, subject to receiving all the compulsory documentations on the principles in the structure. In addition, audited accounts will have to be prepared in Mauritius. Therefore, the Private Trust Company should also have a registered auditor.
Sunibel Corporate Services can help you in setting up a PTC
Our in-depth expertise in the structure of Private Trust Companies allow us to accompany you in the establishment and administration of a Trust. Sunibel Corporate Services is legally entitled to act as a qualified Trustee under the Trusts Act 2001 and to provide administration services to the Private Trust Company as required. Our services include:
- Establishment of your corporate structure;
- Advise to meet your professional objectives;
- Day-to-day business and corporate administration services; and
- Accounting and tax advisory services.
For more detailed information about the Private Trust Company, contact us via the below contact form:
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Disclaimer and important notices
This document has been prepared using sources believed to be reliable. However, their accuracy and completeness cannot be fully guaranteed. The statements and opinions it incorporates were formed after careful consideration and maybe subject to change without notice. This document is not, and should not be construed as, an offer or the solicitation of an offer to sell any services. The use of any information contained in this document shall be at the sole discretion and risk of the user. Sunibel Corporate Services Ltd does not provide legal or tax advice and this document should not be construed as such. Sunibel Corporate Services Ltd expressly disclaims any and all liability for inaccuracies contained in the document and shall not be held liable for any damage that may result from any use of the information presented herein. For more information, please see our terms and conditions.
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