An Opposition MP has lamented that Barbados now ranks in the bottom half of countries for the ease of doing business.
Speaking in Parliament yesterday, St James North MP Edmund Hinkson further complained that the island had fallen behind some countries in the Organization of Eastern Caribbean States (OECS) in terms of business facilitation.
Expressing concern over the slow pace of doing business on the island, he said: “It takes too long to incorporate a company in Barbados. In Tortola, there is one day incorporation of companies.”
The Opposition MP was at the time making his contribution to the debate in the House of Assembly on the Companies (Amendment) Bill, 2016.
Throwing his support behind the measure, Hinkson lauded Government’s introduction of incorporated cell companies as a new international business product in a move to diversify the island’s competitiveness in the global sector.
Giving a definition of incorporated cell companies, he said: “Incorporated cell companies are basically a product that came into force about 20 years ago. Guernsey in 1997 would have been the first jurisdiction in the world to have brought in legislation giving credibility to this product.”
He also noted that, “Malta about 12 years ago also brought it in and that is now an established jurisdiction in the area. An incorporated cell company is a single legal entity separate and distinct from all other entities. It has its own memorandum of association and own articles of incorporation, its own company registration number and its own board of directors.”
Hinkson further noted that the Cayman Islands had introduced this new international business product.
Outlining the resulting advantages, Hinkson, an attorney-at-law, said: “They have been a cost saving device in terms of administration because cost savings can be achieved from economies of scale by using a common framework and a central administrative facility.”