Doing business in Cape Verde

Good questions. I am interesting in knowing this too. I hope someone will answer.
Regards
Svein

Hi Julien,

Good question. Unfortunately, the Cape Verde government itself does not publish much information about investing in Cape Verde. One must either do the research oneself or find a trusted source of info (but beware of Cape Verdeans who claim to be guides for investors or who say that they know so-and-so in the government, etc...these are scam artists who are to be avoided at all costs).

The info is there. But it takes quite a bit of work and luck to find it.

To specifically answer the questions:

Foreign investors are welcome in Cape Verde. Depending on how big the investment is, there are various incentives that may be provided. Investors should visit Cabo Verde Investimentos in Acahada Santo Antonio, Santiago for detailed information.

It is easy to register a business in Cape Verde. You go to Casa da Cidadão to do it and the process takes 48 hours. You will need your passport, €20 for the registration fee (but you business will require a minimum of €200 of startup capital), and you will need to secure the services of an accountant (who will provide a letter of responsibility for about €150) before you head to the registration desk. The website for Casa da Cidadão is here.

Corporate tax rates vary depending on the type and size of your business. But you can work with the general assumption of a tax rate of around 25-30%. This tax rate may be waived for 5-10 years if your business is in the tourism sector (contact the Director of Tourism at the Ministry of Industry, Energy and Tourism in Acahada Santo Antonio, Santiago) or if you invest more than a certain (large) amounts in other sectors. You also have to pay a 15% tax on salaries of any employees.

Recruiting is fairly easy. Cape Verde is full of University graduates without jobs. So the workforce is fairly well educated and there are lots of workers available.

For more information on the ease of doing business in Cape Verde, see this article.

Investing in CV is not for the faint of heart.

Hi,

are foreign investors welcome in Cape Verde ?

Is it complicated to register a company in Cape Verde ? What is the procedure?

What is the corporate tax rate in Cape Verde ?

Is it easy to recruit?

Any advice you would share with us?

Thank you very much for your participation,

Julien

Thank you for your contribution CVAngelo!

Aurélie

I need to correct one thing. I stated earlier that the government itself does not publish much information about investing in Cape Verde.

This was true until very recently. Someone must have finally heard all of the complaints about the lack of online information. I noticed that Cabo Verde Investimentos now has an official website at:

Cabo Verde Investimentos

However,after reviewing this website, I can tell you that it is horrific. There is little of value here for investors looking for good information. The information is sparse and it looks like it was simply slapped together.

Compare what Cape Verde does to provide information to attract foreign investors versus what is provided by other small island nations like Barbados (which has a population half the size of Cape Verde's).

Here is the website about investing in Barbados:

Invest Barbados

After comparing the information on these two websites, where would you want to invest?

Exactly! It's disappointing that Cape Verde does an extremely poor job of marketing itself to investors! So the bottom line remains that you will have to invest a considerable amount of time and energy finding the information you need about investing and starting a business in Cape Verde.

However, if it is basic info you are looking for, you might find it on CVI's website. Please read this blog article for an assessment the effectiveness of CVI's approach:

Marketing of Cape Verde as an Investment Destination

If you have specific questions, feel free to post them in this topic area and I would be glad to help.

Thank you CVAngelo!

To note that Julien is the founder of Expat.com!

If you have informations, do not hesitate to share them.

Aurélie

Yes Aurélie, I knew that Julien is the founder of Expat.com. I am honored to answer his question (just kidding). I would provide answers where I can help, regardless of who is asking.