Vanuatu is an island country located in the South Pacific Ocean with the offshore financial services being an important part of the economy. Foreign investors can choose from several different structures for running their business. The most common are:

The Partnership: a partnership is where two or more people contribute their own resources - cash, or property, or even their time. They then have an agreement about how they share the profits between them.  A partnership is usually used by professionals, like accountants and lawyers.

Limited Liability Company is the most popular business structure. This form of business entity prevents owners from being liable for the company's financial losses and debt liabilities.

The advantages of Vanuatu offshore company:

• 100% foreign ownership allowed
• 0% corporate tax
• No specific paid up capital requirements
• Annual local meetings not required
• No annual audit / financial statement requirements
• Directors and shareholders can be both natural persons (of any nationality) or corporate entities
• No exchange controls in Vanuatu

Under the Companies Act, one person can form a company, by being the only shareholder and the only director. This way they can exercise full control over their business, but also enjoy the above benefits of having a company. If a company has a corporate director, then there must also be a natural person who is a director.

The smallest possible number of shares in a company is one. 

Vanuatu companies must be renewed every year by submitting the annual return and paying the government fee. Renewal is due anniversary date.