Mali

Company Formation in Mali

Mali is a good destination to set-up your company to cater to the fast growing African market with a large population. YourGlobalPro can assist in Mali for Company Formation, Secretarial Compliance, Tax Registration, VAT Reclaim, Document Retrieval and Trademark Registration.

About the Country

The Republic of Mali (Mali) is a landlocked country in West Africa. It is the eight largest country in Africa in terms of land size. The county is endowed with rich and extensive natural resources. Mali consists of eight regions and its borders on the north reach deep into the middle of the Sahara Desert, while the country’s southern part, where most inhabitants live, features the Niger and Senegal rivers. In recent years, Mali has also become an important country of transit for Sub-Saharan migrants on their way to the West African coast. The below content will explain you in detail about the requirements for the company formation in Mali, know more about the process of trademark registration in Mali and understand the Mali Legal and Compliance requirements.

Mali

Doing Business Introduction

Mali’s economy centers on agriculture and fishing. Some of Mali’s prominent natural resources include gold, being the third largest producer of gold in the African continent and salt. Although considered as one of the poorer countries, Mali has implemented economic adjustment programs that have resulted in economic growth and decrease in financial imbalances. As per Doing business report of The World Bank –Mali have as an overall ranking of 141 for 2017 in terms of ease in doing business.

 

YourGlobalPro professionals can assist its client with any type of company formation, trademark registration and other recurring services for your business in Mali

Incorporation - Types of Business Entities

The government of Mali makes it possible for residents or foreign individuals or clients to set up business in Mali in one of the following ways:

·       Limited Liability Company (SARL)

·       Public Limited Company (SA)

·       Branch (Succursale)

·       Representative Office (Bureau de Liasion)

 

Time Frame for Incorporation of Company in Mali varies from depending on the type of entity selected and each business type has its own advantages and disadvantages. YourGlobalPro professionals estimate the time required for Mali Company formation process to be completed is 9-10 working days.

Benefits of Registration of a Company

The Government of Mali has created policies to attract foreign investments and to promote competition participation in its economic sectors. Below are the advantages of company formation in Mali:

·       Fast and ease in the incorporation of limited liability company as it only takes 1 month and requires only 1 shareholder and 1 director.

·       Abundant investment opportunities for foreign companies

·       Government offers generous incentives to foreign entrepreneurs who are willing to setup their businesses in Mali as follows

·       No tariffs on all imports for 3 years

·       Exemption from corporate and trading tax up to 8 years

·       Tax exemption for free trade zones companies up to 30 years provided that those companies sell 20% of their products locally

 

·       Exemption from license tax, company tax and property tax for up to 8 years provided that 60% of the companies’ raw materials are purchased from Mali

Tax Registration and Filing

The tax system applied in Mali is a modern tax system with a tripartite structure where the income, consumption and assets are taxed separately.

Corporate Income Tax Rate 30%
Capital Gains Treated as part of business income
Branch Profits Tax Rate 30%
Branch Remittance Tax 10%
Value Added Tax 18%
Withholding Tax Dividends - 10%
Interest - 3%-18%
Royalties - 30%
Withholding on certain fees paid - 15%
Fiscal Year 1 January to 31 December
Tax Losses Can be carried forward for 3 years
Holding Companies Not subject to any corporate taxation

Double Tax Treaty

Double Tax Agreements (DTA) regulates the tax treatment of income or capital gains in situations where the same taxpayer is taxed twice in two countries for the same subject. Mali has concluded DTA with France, Benin, Burkina Faso, Guinea-Bissau, Ivor Coast, Niger, Senegal and Togo.

Trademark registration

The trademark registration in Mali will be processed through Organisation Africaine de la Propriété Intellectuelle (OAPI) Treaty. The trademark in OAPI is valid for ten years from the date of filing. This term is renewable an unlimited number of times for 10-year periods. The exclusive right to the trademark registration in OAPI can be declared as an extinguished if the trademark is not used for five consecutive years after its registration.

 

YourGlobalPro professionals are fully equipped to assist you with the process of trademark registration in Mali for your business. For assistance or advice in the matter of the trademark registration or intellectual property – please feel free to write or contact us.

Secretarial Compliance

Below are some of the important points in relation to Company Secretarial Compliance in Mali:

·       Management of limited liability corporations must be performed by at least one individual. This person must be named in the company’s article of incorporation.  Corporate directors are not allowed in Mali

·       A tax registration is required for all types of businesses in Mali

·       Proper minutes books and records for the Company must be maintained

 

·       Proper book of accounting records needs to be maintained

Accounting Services

The Mali’s accounting system is based on its general accepted accounting principles. Mali is a member of OHADA and implements the Accounting System of West African States (SYSCOA), which harmonizes business practices among several African countries consistent with international norms.

 

YourGlobalPro professionals can assist you with the entire bookkeeping and accounting services for your Mali Business Setup as per your business needs including implementation of financial accounting software, accounting records preparation and time to time preparation of budgets, forecasts.

Auditing service

In Mali, annual financial incomes are required for all entities. Statutory audit is only required for all entities except limited liability companies.

 

Based on the size of the business – the companies are required to prepare and file financial statements with the Authority. YourGlobalPro professionals provide auditing services as required by your business in Mali.

Banking

The documentation requirement needed to open a bank account in Mali differs from bank to bank. The major banks in Mali are Bank of Africa (BOA), Banque de Developpement du Mali (BDM), Banque Internationale pour le Mali (BIM), Banque Internationale pour le Commerce et l’Industrie (BICIM) and Ecobank. All banks are stable, reliable and offer the same level of services.

 

YourGlobalPro professionals facilitate all the paper work in relation to banking need and can assist you in opening bank account for your business plan in Mali.

Legal and Compliance

In Mali, the responsibility of legal compliance is not a one-time affair, but a continuous process. Below is the various Mali legal and compliance requirement to be followed by incorporated entities:

·       A minimum share capital of $11,000 is required for Limited Liability Company (LLC).

·       A minimum share capital of $22,000 is required for Public Limited Company.

·       The initial capital must be deposited to the bank or directly to a notary public.

·       A notarized certificate of no criminal records for incorporators is required.

·       There are no restrictions for the nationalities of the incorporators.

·       Representative offices are not allowed to conduct direct sales in Mali

 

YourGlobalPro professionals can assist you in the Mali Legal and Compliance requirements.

HR and Employment Law and Immigration / VISA

Below are some of the important points in relation to HR and Employment Law in Mali:

·       Labor contracts must be expressed in writing. Labor contracts include fixed term contracts, indeterminate length of work contract and trial period contracts.

·       The maximum length of a single fixed-term contract is 2 years. Furthermore, the maximum length of fixed-term contracts including renewals is 6 years.

·       The Company needs to offer 10% of hourly pay for overnight rate.

·       Paid annual leave is 22 days regardless of tenure.

·       Entry visas are required to enter the national territory of Mali. The entry visas are valid for 90 days and renewable once.

·       Temporary stay authorization is needed to stay country. Stay visas are valid for one year and can only be granted after entry. Stay visas do not permit foreigners to exercise any professional activity.

 

·       Resident cards are required for those who will be working in Mali. This is valid for five years and is renewable.

Country Statistics

Capital Bamako
Largest City Bamako
Total Area 1,240,192 Sq. Km.
Population 14,517,176
Density 11.7 / Sq. Km.
Currency West African CFA franc(XOF)
Government Unitary Semi Presidential Republic
Official Language French
Religion Muslim: 90%
Christian: 5%
Indigenous: 5%
Government Office Hours Mon-Thurs (0730-1600 Hrs) Fri 0730-123; 1430-17:30
Business Office Hours Mon-Thurs (0730-1600 Hrs) Fri (0730-1230; 1430-17:30)
Banks Office Hours Mon-Fri (08.00 to 16.00 Hrs)

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