Cayman Islands exempted companies are a popular choice for structuring international transactions and are particularly favored by issuers listed on the Hong Kong Stock Exchange. As of May 2024, over half of the 2,609 companies listed on the Main Board and GEM Board are Cayman Islands companies. Below are the key reasons for their popularity and the advantages they offer.

Robust Legal Framework
The Cayman Islands benefits from a respected legal system rooted in English common law, as a British Overseas Territory. The final court of appeal is the Judicial Committee of the Privy Council in London, ensuring a high level of legal integrity. The Companies Act is regularly updated in collaboration with private sector experts, ensuring it remains relevant and effective.

Favorable Tax Environment
Exempted companies in the Cayman Islands are not subject to withholding taxes or taxes on profits, income, or gains. Additionally, they can secure a renewable 20-year undertaking from the government to remain exempt from such taxes, offering long-term certainty.

No Currency Restrictions
The Cayman Islands imposes no exchange control regulations, allowing funds to move freely in and out of the jurisdiction without restriction.

Efficient Incorporation Process
Companies can be incorporated on the same day the application is submitted to the Registrar of Companies, providing a fast and seamless setup process.

High-Quality Professional Services
The Cayman Islands is supported by a sophisticated financial services industry, including experienced professionals in legal, insurance, investment, fiduciary, and corporate services. Major international accounting firms are also well-represented, ensuring high standards of service.