Discusses the legal requirements/options for joint venture/licensing in this market.

Overseas and resident investors may form partnerships under the Partnership Act 1902.  Partnerships are either local or exempted.   A local partnership is composed of Bermudian partners only and is permitted to conduct business locally and abroad.If one or more of the partners is not Bermudian, then the partnership is considered “exempt”, and may only conduct business outside Bermuda from a principal place of business within Bermuda.
 
An overseas partnership formed outside Bermuda may, through the BMA, apply to the Minister of Economic Development for a permit to operate in Bermuda, or outside Bermuda from a place of business in Bermuda.  Issuance is entirely at the discretion of the Minister, and will be for such duration, and subject to such terms and conditions as the Minister imposes.  These partnerships must appoint and maintain a resident representative on the island.  Local law or accounting firms may provide assistance. See www.bermudayp.com and http://www.bermudayp.com for listings or ask the Bermuda Business Development Agency at www.bermudabda.com for advice.
 
In Bermuda, partnerships are somewhat less regulated regarding their structure and operation than companies.  For example, partnerships do not require a Board of Directors and there are no requirements for statutory meetings or minutes of meetings.

The Bermuda Monetary Authority (www.bma.bm) vets all prospective companies.  The Registrar of Companies (www.roc.gov.bm) issues certificates of incorporation. In some cases, companies may need to seek approval from the Ministry of Economic Development (www.gov.bm).  For example, if a company, local or exempt, wishes to engage in a restricted business practice, such as the provision of professional services such as accounting or health care, the company needs ministerial consent.

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