How to incorporate company in New Zealand?
Before you choose to incorporate company in New Zealand, Tetra Consultants advises you to read through this guide to fully understand the steps required for successful incorporation.
Simply put, we can break down each engagement into four different phases:
- Planning & strategy
- Incorporation
- Bank account opening
- Staying compliant
By systematically following the above four phases, you can expect to start conducting business with your New Zealand company within 5 weeks.
Planning & strategy
- The most important part of the engagement is to decide the optimum business entity to use. For most international clients, Tetra Consultants will recommend incorporating a New Zealand limited liability company.
- For clients who are looking to apply for New Zealand licenses, our team will advise on the requirements such as the need for local registered office and employees. If required, Tetra Consultants will assist our clients with renting local offices and hiring local employees.
- In most cases, the directors, shareholders and Ultimate Beneficial Owners (UBOs) of the New Zealand company are required to provide basic KYC documents such as certified true passport copies, proof of address, bank reference letter and CV for our internal due diligence checks.
- Tetra Consultants reserves our clients’ preferred company name with the New Zealand Companies Office. To meet the basic requirements before the company can be successfully incorporated, Tetra Consultants will provide company secretary, legal registered office address and a local resident director.
- Our legal team will prepare a nominee director agreement to ensure that the appointed nominee director has no decision-making power in your company. For transparency, our team will provide KYC documents of our nominee including passport copy and proof of address.
Incorporation
- Once above is completed, Tetra Consultants will submit a quality application to New Zealand Companies Registry to incorporate the company. On average, the government will approve the application within 3 business days.
- During this process, there is a very low probability that the government authorities will revert asking for provision of additional documents.
- Upon successful incorporation, Tetra Consultants will courier the Certificate of Incorporation, Memorandum & Articles of Association, Register of Directors and Register of Shareholders to our clients’ preferred addresses.
Bank account opening
- Thereafter, Tetra Consultants will proceed to open a corporate bank account for your newly incorporated limited liability company. Our banking team will contact multiple reputable New Zealand banks and present your business to the relationship manager and compliance team. Our New Zealand banking partners include BNZ, ANZ and Westpac NZ.
- From our experience, New Zealand banks will require the local director to visit the bank branch for an identity verification. Within one business day, our nominee director will visit the bank branch and submit his notarized passport copy, ID card and proof of address.
- On average, the corporate bank account will be opened within 4 weeks after company incorporation. After account opening, New Zealand banks will send the internet banking token to our New Zealand address.
- Once received, Tetra Consultants will immediately courier the internet banking token and access codes to our clients’ preferred addresses. See this webpage to find out more about corporate bank account opening for New Zealand companies.
Staying compliant
- Tetra Consultants will assist our clients with tax registration. Our tax team will assist in preparing the tax registration form.
- Once the document is signed by all shareholders and directors, Tetra consultants will submit the same to the Inland Revenue Department (IRD). Thereafter, IRD will send a confirmation letter to the company’s registered office address.
- Our tax team will also secure a myIR account with the IRD. This will allow our international clients to file tax returns online, through the government’s website portal.
- If required, Tetra Consultants will secure work permit for our clients who are planning to be physically present in New Zealand. Work Permits are granted by the New Zealand Immigration Office and some of the documents required are CV, highest academic qualifications, medical certificates, expected monthly income and job scope in New Zealand.
- Tetra Consultants will advise on the most suitable work permits as well as the expected timeline of each application.
Contact us to find out more about how to incorporate a company in New Zealand. Our team of experts will revert within the next 24 hours.
FAQ
What are the kinds of business structures available in New Zealand?
- The most popular forms of business structures available in New Zealand are limited liability company (LLC), branch office, partnership, and representative office.
What are the minimum requirements for setting up an LLC in New Zealand?
- The minimum requirements for a New Zealand limited liability company are: a shareholder of any nationality, a local resident director, a company secretary, a New Zealand registered office address along with no minimum paid-up share capital.
Can a foreigner own a business in New Zealand?
- Yes, foreign investors and entrepreneurs can set up, own, and manage businesses in New Zealand.
Can a non-resident be a shareholder in the company?
- Yes, non-resident shareholders are permitted to be part of the New Zealand Company.
How much does it cost to set up a company in New Zealand?
- Depending on the services you need from Tetra Consultants, the total engagement fee will differ. Our services include planning and strategizing with your company, assisting you in the incorporation process, ensuring that you are compliant, and more. This total fee includes the registration fee charged by the New Zealand government.
What is the Corporate tax rate in New Zealand?
- A business set up in New Zealand is subjected to a corporate tax rate of 28%.
What are the documents required for the registration of a company in New Zealand?
- To proceed with company registration in New Zealand, for a start, you are required to provide the notarized passport copy, proof of address, CV, and proof of income of the individual director and shareholder of the New Zealand company.
- If the shareholder is another entity, we will require the Certificate of Incorporation and Memorandum and Articles of Association of the corporate shareholder.
- Once Tetra Consultants receives the above, we will review the documents and provide you with an updated due diligence checklist with the list of outstanding documents.
