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Marshall Islands

The Marshall Islands (officially known as The Republic of Marshall Islands) are located in the North Pacific Ocean, about half way between Hawaii and Australia. Marshall Islands cover approximately 2 million sq km in the Central Pacific Ocean, with two archipelagic island parallel chains of 1,280 km long, comprising of 29 atolls and five single islands. Two-thirds of the nation’s population lives in Majuro and Ebeye. Marshallese is the official language. English is spoken widely by most of the adult urban population.

Marshall Islands have few natural resources and imports far exceed exports. Under the terms of the Compact of Free Association signed with US in 1986, the islands became self-governing but would receive U.S. military and economic aid (around $65 million a year). Marshall Islands had received more than $1billion in aid from the US from 1986 to 2002 and had officially become a full member of the United Nations on September 17, 1991.

A major problem for Marshall Islands is to try and gain some financial independence from the US but unemployment is high and small-scale industry is limited to handicrafts, tuna processing and copra. Marshall Islands sell fishing rights to other countries and offer ship registration under the Marshall Islands flag but the tourist industry seems to be the best hope for future added income.

The corporate legislation for Marshall Islands is The Associations of Law of The Republic of the Marshall Islands 1990 (which incorporates the Business Corporations Act (BCA), the Limited Partnership Act, the Limited Liability Company Act and the Partnership Act). The Marshall Islands BCA is based on the corporate laws of US with certain provisions borrowed from the British Law.

Name of Marshall Islands company must end with one of the suffixes: Limited or Ltd, Corporation or Corp, Incorporated or Inc, Sociedad Anonima or S.A., Societe Anonyme or S.A. or Berhad.

Marshall Islands do not have any double taxation agreements.

Highlights of Marshall Islands Offshore Company

  • Types of Business Entities: Non-Resident Company or IBC (International Business Company), Limited Liability Company, Partnership and Limited Partnership
  • Minimum of one director and one shareholder (can be the same person of any nationality)
  • Corporate Director is permitted.
  • Company Secretary is required (can be the same person as the director/shareholder)
  • Standard Share Capital is 500 shares without par value or 50,000 shares with par value of US$1.00 each.
  • Bearer shares are permitted.
  • No requirements for financial statement or to file annual return and tax return.
  • No requirements to disclose beneficiary ownership, or details of directors and shareholders.
Geographic Location:
Middle of North Pacific Ocean
Capital City:
Native Language:
English, Marshallese
US Dollar
$161.7 million
Political Status:
Democratic Presidential Republic
Legal System:
based on adapted Trust Territory laws
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