The Ultimate Guide to Company Formation in Gibraltar (2025 Edition) - OCTOPUS

Looking to start a business in a tax-efficient, stable jurisdiction outside the UK or EU? Gibraltar could be the ideal choice. In this comprehensive guide, we break down everything UK and EU citizens need to know about company formation in Gibraltar.

Why Choose Gibraltar for Company Formation?

Gibraltar is a British Overseas Territory strategically located at the southern tip of Europe. It offers a compelling combination of benefits for entrepreneurs and businesses:

• Corporate tax rate of just 15% on income accrued or derived in Gibraltar
• No tax on income earned outside Gibraltar
• No VAT on goods or services
• No Capital Gains Tax
• Access to English law and language
• Politically stable and pro-business
• Efficient, digital-first company registry

Setting up a company in Gibraltar is especially attractive for digital businesses, financial services, and location-independent entrepreneurs.

How to Set Up a Company in Gibraltar

Forming a company in Gibraltar is straightforward when handled by a professional intermediary. Here are the main steps:

1. Choose Your Company Type

Most foreign investors opt for a Private Company Limited by Shares (Ltd). This structure offers limited liability and is the standard for SMEs.

Other options include:

• Public Limited Company (PLC)

• Limited Liability Partnership (LLP)

• Protected Cell Company (PCC) for insurance-related ventures or Experienced Investor Funds

2. Appoint a Company Manager or Secretary

You’ll need to appoint a local Company Manager licensed by the Gibraltar Financial Services Commission (GFSC). This is a legal requirement.

Octopus can act as your licensed intermediary and company manager.

3. Reserve a Company Name

The name must be unique and comply with the Gibraltar Companies Act. You can check availability via the Companies House portal or your formation agent.

4. Provide the Required Documentation

You’ll need to submit:

• Certified passport copies and proof of address for all directors and shareholders

• A registered office address in Gibraltar

• Memorandum and Articles of Association

5. Submit Incorporation Application

Once all documents are ready, the agent submits your application to the Gibraltar Companies House. Approval typically takes 3–5 working days.

Taxation and Compliance

• Corporate Tax: Flat 15% on profits accrued or derived in Gibraltar

• No Tax on Foreign Income: Income earned outside Gibraltar is not subject to local corporate tax

• No VAT: Gibraltar does not apply VAT to goods or services

• No Capital Gains Tax On sale of assets

• Accounting: Annual returns, accounts and tax returns must be filed

• Substance Requirements: These apply if you’re offering regulated services or claiming tax residency

Octopus also provides accounting and compliance packages.

Can I Open a Business Bank Account in Gibraltar?

Yes, although opening a traditional bank account can take time. Many clients use Electronic Money Institutions (EMIs) for faster setup.

We partner with reputable providers to help you get operational quickly.

Is Gibraltar Right for Your Business?

Gibraltar suits businesses that want:

• A low-tax, English-speaking jurisdiction

• No VAT burden

• Regulatory access for fintech, crypto, or insurance

• Strong legal protection under common law

If that sounds like you, Gibraltar is worth strong consideration.

Talk to our team about setting up your Gibraltar company.

How long does it take to set up a company in Gibraltar?

Once documents are submitted, incorporation takes about 3 to 5 working days.

Can non-residents open a company in Gibraltar?

Yes. UK, EU and non-EU citizens can open companies without needing to reside in Gibraltar

What taxes do Gibraltar companies pay?

Companies pay a flat 15% corporate tax on locally sourced income. There’s no VAT or tax on foreign-earned income.

Is a Gibraltar company suitable for remote businesses?

Yes. Gibraltar is ideal for digital services, consulting, SaaS, and remote-first operations.

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