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Foreign investors must prove effort to find local partners

| 23/09/2016 | 3 Comments

(CNS): As the Department of Commerce and Investment steps up the enforcement of the Local Companies (Control) Licence Law, it has said that foreign investors who are placing newspaper advertisements seeking Caymanian participation in potential business ventures must direct people to the Trade and Business Licensing Board because the law requires the board to consider efforts made by the foreign companies to find local partners before granting an LCCL. From now on, adverts must instruct Caymanians to send a copy of their letter of interest in the business venture directly to the board.

The procedural changes to the LCCL application process will encourage compliance with the law, according to the board, which noted that applications with incorrect ads will not be considered. In addition to the two newspaper advertisements, applications must be accompanied by due diligence, such as a police clearance, copies of passports, references and the relevant fees.

LCCL ads must indicate that letters from Caymanians should be copied to the Trade and Business Licensing Board, c/o the Department of Commerce and Investment, Government Administration Building, 133 Elgin Avenue Suite 126, Grand Cayman, Cayman Islands. When submitting their applications to the Board, foreign investors must include copies of the two local newspaper ads, published in accordance with section 11 (4) (e) of the law, that solicited Caymanian participation.

LCCL applications must be submitted in person at the Business Licensing Counter, on the first floor of the Government Administration Building, Mondays to Fridays, between 9:00am and 4:00pm.

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Category: Local Business

Comments (3)

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  1. Anonymous says:

    I have a local partner but same sex marriage is illegal

  2. Anonymous says:

    But fronting is still legal, right? I assume so because it is everywhere and government is not doing anything about it.

  3. Anonymous says:

    This law harms ordinary Caymanians. It suits the capital rich influential families who cream of additional income streams but increases the costs of foreign investment in Cayman, preventing new job opportunities arising.

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