Foreign investors who want to start doing business in Malta have several options when it comes to the industries they can choose from. One of the less exploited sectors is the rental and leasing of different types of auto vehicles, aircraft and vessels. Setting up a rental and leasing company for touristic purposes, for example, can be a very profitable business in Malta.
Below our lawyers in Malta explain the requirements for opening a rental and leasing business in this country.
Registering a rental and leasing company in Malta
Investors who want to set up a business with the main object of activity rental and leasing various means of transportation must first register a company with the Maltese Companies Registrar. For this purpose, they will need to prepare the incorporation documents, notarize and file them with the Register. It is also mandatory to register for VAT as all rental and leasing contracts are subject to the value added tax.
Another important aspect to consider when opening a rental and leasing business in Malta is to establish the right amount of money which will be used to purchase the fleet.
Our law firm in Malta can assist with the registration process of a company for rental and leasing activities.
Special requirements for rental and leasing companies in Malta
There are no special licenses which must be obtained for opening a rental and leasing business in Malta, however there are certain aspects which must be considered depending on the type of transportation means the company supplies. For example, the rental or leasing of yachts and pleasure boats is subject to special requirements with respect to the crew manning the vessel. For this type of activity, the Maltese tax authorities have also issued a VAT leasing program through which the tax will be computed in a different manner than usual.
Special requirements also apply to the rental and leasing of aircraft.
It is also compulsory for the Maltese company to have an insurance for all types of means of transportation rented or leased, as well as to sign a contract with the client.
If you are interested in opening a company for rental and leasing activities and need assistance, please feel free to contact our Maltese lawyers.