How to Register a Business in Maldives: The Ultimate Step-by-Step Guide

So, you’ve got a great idea? Maybe you want to open a trendy cafe in Hulhumale’, start a freelance consultancy, or launch a guesthouse on a local island. Whatever your dream is, the first “handy” step is making it legal. In the past, registering a business in the Maldives involved a lot of paperwork and trips to the Ministry of Economic Development. But thanks to digital transformation, you can now do almost everything from your laptop.

In this guide, we are going to break down exactly how to register a business in the Maldives. We’ll look at the different types of business structures, the costs involved, and the exact buttons you need to click on the government portals. Let’s turn that idea into a legal reality!

1. Deciding on Your Business Structure

Before you jump onto the portal, you need to decide what “shape” your business will take. This is the most important decision you’ll make because it affects your taxes and your personal liability. In the Maldives, most people choose between three main types:

A. Sole Proprietorship

This is the easiest and most common way to start. It’s just you. You are the business.

• Pros: Low registration fees, simple tax filing, total control.
• Cons: You are personally responsible for any business debts.

B. Partnership

If you are starting a business with a friend or a family member, a Partnership is a solid choice. You’ll need a partnership agreement that outlines who does what and how profits are split.

C. Private Limited Company (Pvt Ltd)

This is for more serious ventures. A company is a separate legal entity.

• Pros: Limited liability (your personal assets are safe), looks more professional to banks.
• Cons: Higher registration costs, requires an annual audit, and more paperwork.

2. Pre-Requisites: The “Handy” Checklist

Before you log in, make sure you have these three things ready:

1. An eFaas Account: You cannot do anything without this. eFaas is the “Master Key” to all Maldivian government services. Ensure yours is verified with your current phone number.
2. A Unique Business Name: Think of 3 options. The Ministry will reject names that are too similar to existing brands or use prohibited words.
3. A Business Address: You need a physical address in the Maldives. This can be your home address if you are starting small.

3. Step-by-Step: Registering via the Business Portal

The Business Portal operated by the Ministry of Economic Development is where the magic happens. Here is how to navigate it:

Step 1: Log In

Head over to the Maldives Business Portal. Click on “Login with eFaas.” If you are a foreigner looking to invest, the process is slightly different and requires an Investment License first.

Step 2: Name Reservation

Don’t skip this! Before applying for the business, you must submit a “Name Reservation” request. This usually takes 24 hours to be approved. Once you get the green light, you have a limited time to complete the registration.

Step 3: Fill the Application

Whether it’s a Sole Proprietorship or a Company, the form will ask for your activity code. The Maldives uses the ISIC codes. For example, if you are opening a guesthouse, you need to find the specific code for “Short-term accommodation.”

Step 4: Upload Documents

For a Sole Proprietorship, this is usually just your ID card scan. For a Company, you’ll need to upload the “Memorandum and Articles of Association.” Pro-tip: The portal provides templates for these! Use the government templates to avoid rejection.

4. Registration Fees and Costs

How much money do you need? Compared to other countries, the Maldives is relatively affordable for startups.

5. Post-Registration: MIRA and Banking

Getting your certificate isn’t the end. To actually trade, you need to handle the “money” side of things.

Tax Registration (MIRA)

Once registered, your details are automatically sent to the Maldives Inland Revenue Authority (MIRA). However, you still need to log in to MIRAconnect to ensure you are registered for GST if your turnover is expected to be high. Even if you don’t earn much, you should read our guide on the Cost of Living and Business Expenses in Maldives to plan your budget.

Opening a Business Bank Account

Take your registration certificate to BML (Bank of Maldives) or MIB. You will need a “Board Resolution” if you are a company. Having a separate account is vital—never mix your personal “handy” cash with your business money!

6. Frequently Asked Questions (FAQ)

How long does the process take?

Sole Proprietorships are often approved within 48 hours. Companies can take 5 to 7 working days depending on the Ministry’s workload.

Can a foreigner own 100% of a business in Maldives?

In certain sectors (like high-end tourism or tech), yes. But for most small “local” businesses like retail or transport, you must have a Maldivian partner. Check out our Maldives Residency and Passport Guide for more context on stay requirements.

Do I need a separate permit for an online shop?

Yes. Even if you are just selling clothes on Instagram, you are legally required to register as a Sole Proprietorship to ensure you are following consumer protection laws.

Summary

Registering a business in the Maldives has never been easier. Use the eGov portal, get your eFaas ready, and follow the steps above. Remember, being “handy” isn’t just about fixing things—it’s about being smart with your career! If you need help with your home office setup, don’t forget to check our guide on the best internet packages to keep your new business online.