10 Best Business Bank Accounts In The Cayman Islands part 2 – Part one is here.
10 Best Business Bank Accounts in the Cayman Islands
1. VBT Bank & Trust Ltd
VBT Bank & Trust Ltd is a full-service bank located in the Cayman Islands. They offer four distinct business checking accounts with varying requirements. Two of them are very simple and require just one form to open an account, while two also involve opening business deposit accounts, which takes more time than the checking accounts.
However, all four accounts are popular among businesses looking for a bank in the Cayman Islands. The first account requires no minimum balance and has unlimited transactions.
2. CSB Bank & Trust Ltd
CSB Bank & Trust Ltd is another full-service bank located in the Cayman Islands. They also offer two checking accounts, which have no minimum balance requirements. One is a business checking account, while the other is a personal one, but both are easy to open.
The business checking account has unlimited transactions and free monthly statements, but it also comes with an initial deposit requirement of USD$5,000. If businesses are planning on regularly making large deposits or withdrawals at their business bank account, then this might be the best option for them.
The second bank account is a personal checking account that has unlimited transactions and comes with free monthly statements, but it does not require any initial deposit.
3. First Caribbean International Bank (Cayman) Ltd
First Caribbean International Bank (Cayman) Ltd is an international bank located in the Cayman Islands. In addition to their checking accounts, they also offer free business deposit accounts. However, businesses cannot open a business deposit account until they have an existing personal checking account with the bank for at least six months.
Afterward, they can open up to three business deposit accounts with no minimum balance requirements and unlimited transactions. The business checking accounts also have no minimum balance requirement, but they come with a limit of 100 transactions per month.
4. BISX Ltd
BISX Ltd is an online stock exchange located in the Cayman Islands that operates as a central depository for businesses and brokers to handle their securities trades easily and conveniently. The bank was the first stock exchange in the Cayman Islands, and it’s also one of the largest in terms of trade volume.
BISX Ltd has two different business bank accounts. The basic BISX account comes with unlimited transactions but no minimum balance requirements. The master account is better suited for larger businesses that need to conduct more transactions, and it also offers unlimited transactions.
The master account has no minimum balance, but it does require an initial deposit of USD$100,000. Both accounts have low monthly fees for banking services in the Cayman Islands. If you’re looking to open a business bank account that won’t charge any monthly fees, then this is the best option for you.
5. TrustNet Cayman Ltd
TrustNet Cayman Ltd is a financial services provider that helps businesses manage their funds and conduct transactions easily and conveniently. They also offer two checking accounts, which both come with unlimited transactions but require no minimum balance or initial deposit requirements.
They have an account designed for individuals and one designed for businesses. The business checking account comes with free monthly statements, but the individual one doesn’t. However, they both come with unlimited transactions and no limitations on how much money can be withdrawn or deposited at a time.
6. Cayman National Bank Ltd
Cayman National Bank Ltd is a full-service bank located in the Cayman Islands. They offer business checking accounts for businesses with less than 50 employees and personal accounts for individuals.
Both accounts come with unlimited transactions, but they require at least three months of account history before they can open an account. The two accounts also have no minimum balance or monthly fee requirements, but there is a limit of 100 transactions per month with the business checking account.
7. Cainvest Bank and Trust Ltd
Cainvest Bank and Trust Ltd is a private banking institution located in the Cayman Islands. They offer business checking accounts with unlimited transactions and no minimum balance requirements. Cainvest Bank and Trust Limited has been a bank operating for years. Cainvest International Bank Ltd was its original name, which changed to Cainvest Bank and Trust Ltd in 2015.
Since both accounts come with no minimum balance and unlimited transactions, they are great options for businesses or individuals. However, the bank charges a high overdraft interest rate of 29.99% on business accounts when there is an overdraft item in your account.
8. Trident Trust Company (Cayman) Ltd
Trident Trust Company (Cayman) Ltd is a financial services firm located in the Cayman Islands. The company provides businesses with trust and fiduciary services, as well as offering business checking accounts that come with unlimited transactions and no minimum balance requirement.
Both business deposit accounts have unlimited transactions but require account history for six months before opening an account. However, the business savings account only has four transactions per month allowed.
9. Alhambra Bank & Trust Ltd
Alhambra Bank & Trust Ltd is a private bank located in the Cayman Islands. They offer business checking accounts with unlimited transactions and no minimum balance requirements. Still, they require an account history of at least six months before opening an account.
The overdraft fee on their business checking account is 2% per month, which is very high compared to other accounts. However, the fees are waived for a year if you maintain a minimum daily balance of CY$50,000.
10. Premier Trust International Ltd
Premier Trust International Ltd is a full-service financial institution located in the Cayman Islands. They offer business checking accounts with unlimited transactions but a USD 25,000 monthly transaction limit.
The business checking account has a high monthly fee of USD 75 and doesn’t waive this fee for the first year of having an account. The Premier Banking Personal Account for individuals is great if you don’t do many transactions each month and do not need unlimited transactions. If you like to make frequent deposits and transactions, then the Premier Personal Banking Plus account might work better for you.
Requirements to Open a Cayman Island Business Account
A business can be a great way to generate income and create wealth. However, before you get started, it is important to consider how you expect to profit from your venture and how any profits will affect what happens when paying taxes or filing for an audit.
Many tax advantages exist for businesses, but some are exempt from these advantages. One such tax advantage is forming a corporation or similar business entity in a country that has tax treaties with your home country.
An example of this is opening an account in the Cayman Islands to form a company for international trading. While there, you must meet five requirements to open a Cayman Island Business Account.
Citizenship of a Treaty Country
This means that you must be either a citizen or permanent resident of a country with an income tax treaty in place with the Cayman Islands. This way, you will be exempt from paying the local and territorial taxes in the Cayman Islands, as well as any withholding tax on dividends paid by a Cayman company.
Residence in a Treaty Country
You must reside either on a temporary or permanent basis in an income tax treaty country to set up a business account in the Cayman Islands. If you are a non-treaty national, you will have to meet the requirements of the Non-Resident Exempt Individual Scheme.
The Business Must Be Real
You will need to prove that the business you intend to form is a real and active. This means having a place of business, employees, and an actual business plan in place. Also, you will need to provide the bank with a completed application form and any additional forms they may require, such as KYC or PEP compliance inquiries.
Business Plan
You should also have your business plan to show how your company will be making money and what services you will offer. The bank needs to know that this is a real company to generate profit.
Proof of Funds
Finally, you will need to prove that you have enough money to start your business. The bank may request a particular amount depending on the number of shares or classifications of shares you intend to hold and other factors such as whether or not you are a PEP or politically exposed person in your home country.
Frequently Asked Questions about Cayman Island Banks
What’s Special about Cayman Island bank?
The Cayman Islands are a British territory in the Caribbean. Having two major financial centers makes it very attractive for international business and finance. The Cayman Islands Stock Exchange is one of the largest in the world (measured by market capitalization).
Having banks in the Cayman Islands is advantageous for foreign businesses operating internationally, as there are no taxes levied on international business.
Is it legal to use a Cayman Island bank?
Of course, Yes! The Cayman Islands Special Banking Act of 1995 provides rules and regulations covering banking activities in the Cayman Islands. The provisions permit offshore banks to operate as banks in other offshore jurisdictions. Banking institutions chartered and licensed under the Act’s provisions are subject to inspection by the Cayman Islands Monetary Authority (CIMA).
Conclusion
Have you just set up your business or relocated to the Cayman Islands? Congratulations! There are several things to consider when establishing the most suitable account. This includes; the size of your company, existing banking facilities, or your preferred bank. However, if you need more information regarding opening a bank account in the Cayman Islands, refer to this guide for more information.
