by Linda Straker
- Legal cost for a new business certificate of incorporation reduced by 50%
- Amendment to regulations of 2014 Companies Act published in Gazette of 28 February
- Streamlining business procedures at GIDC is another reform
As part of strategic reforms to improve the business and investment climate in Grenada, the Dickon Mitchell administration has reduced the legal cost for a certificate of incorporation of a new business by 50% by amending the regulations of the 2014 Companies Act.
Published in the extraordinary Gazette dated 28 February is the amendment to the Companies Regulations, which provides for the cost to move from EC$1,200 to EC$600. “Regulation 28(1) (a) of the principal Regulations is amended by repealing the figure “$1,200.00” where it appears and substituting, therefore, the figure $600,” said the SRO made by Joseph Andall, Minister responsible for Trade.
In the 2023 budget statement delivered by Prime Minister and Finance Minister Dickon Mitchell, he announced that his administration would be changing the Companies Act to reform the business environment.
“This Administration will provide further ease to our new and aspiring entrepreneurs by reducing the governmental fees required to start a business from $1,200 to $600. Moreover, Government will move to drop the non-contentious fee charged by lawyers to form a company from $2,500 to $600, resulting in savings of $2,500 on the total amount required to start a company in the State of Grenada,” he promised.
Other initiatives announced as part of reforming the business environment were streamlining business procedures at the Grenada Investment Development Corporation (GIDC), improving cross-border trade and making it easier to pay taxes.
When he presented the 2023 budget statement on 5 December 2022, the Prime Minister announced, “The Customs and Excise Department in collaboration with other stakeholders, such as the Grenada Ports Authority, will introduce online payment of duties and streamline procedures for imports and exports starting with the St George’s Port.”
I can’t see the relevant purpose of this as this minister seems to forget where he comes from…The parish of St Patrick’s been neglected for decades under several administrations as continue to waste public money on renting from the private sector and we have real estate sitting there doing nothing.
What about the Attorney’s fees?
Great move. There should be little to no barriers in starting a business. With more people setting up business increases the government tax base.