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In this section we provide an overview of the employment prospects for an expat and suggest how to go about finding a job in the Cayman Islands. We also list law firms, accounting firms, corporate services companies and recruitment agencies. Then there is detailed information on how to open an office in Grand Cayman and what the costs are. Finally we explain in detail the legal process for establishing a business in Cayman and how to go about getting a business license.
An Overview
The Cayman Islands is well known as both an international finance centre and a popular tourist destination. In keeping with this, employment opportunities are most prevalent in the financial services and tourism industries. Since most other industries exist mainly to service the needs of the local market (e.g. medical, construction, entertainment), other opportunities can be somewhat restricted. The Cayman Islands has an educated local workforce, but there are inevitably more positions to be filled than there are qualified candidates. The bottom line is that if you are determined, patient and flexible you should be able to find something suitable regardless of your qualifications and experience.
For a multitude of reasons, including the continued growth and prosperity of the financial services and tourism sectors in the Cayman Islands and new immigration laws and policies that now only allow expatriate workers to remain on the Island for seven years (please see the Immigration chapter for more information), the number of employment opportunities and vacancies on the Island is at an all time high.
Employment prospects
Work Permits
Strict work permit regulations exist to ensure that Caymanians and their dependants are given preference for any position, and this can be something of a minefield for the uninitiated.
The rules present some unique hurdles to the expatriate job-seeker and a basic understanding of this process is required to set the employment market in context and to avoid finding yourself in a position that is improvident at best and disastrous at worst.
Unless contracted to Government, expatriates must hold a valid work permit in order to work and reside in the Cayman Islands. The administration of work permits is the responsibility of the Cayman Islands Government Department of Immigration (commonly referred to simply as “Immigration”). There is also an understandable emphasis on the training of local staff to ensure that they have an opportunity to develop their skills. The onus is on the employer to demonstrate to Immigration that the position cannot be filled by a Caymanian. In order to do so, the employer must first advertise the position locally and also register the vacancy with the Department of Employment Relations (which, among many other responsibilities, assists local people to find employment). Only once all efforts to recruit locally have failed can the employer rightfully justify a work permit application. This process must be repeated periodically (usually annually) depending on the employer’s circumstances.
Work permits can take several months to process. Temporary work permits (for 3 or 6 months) can be granted much faster but are generally discouraged in favour of full (i.e. one year) permits and should therefore be used only in exceptional circumstances.
Note that a work permit is granted for a specific position with a specific employer. This means that a work permit holder is not entitled to work in any other capacity on the Islands and any significant changes to the person’s role within the organisation must be approved by Immigration.
Also, if you want to switch employer and take up employment with a different company on the Island, your current employer must provide a letter to Immigration releasing you from your work permit. You should therefore be doubly sure that any position is right for you before committing to a long-term contract. Once in employment, you should take some time to consider your situation before your employer applies for your work permit renewal, as you are effectively bound to them from the time of application until the expiry of the permit, unless the permit is cancelled at the employer’s request.
It is unlikely an employer will be granted a work permit unless a) the applicant is professionally qualified or very well experienced in a relevant field, or b) there is literally no interest in the position from the local workforce (which is actually fairly common). This creates something of a “Catch 22” for those expatriates without a professional qualification. The better the position, the higher the level of interest from the local workforce and the less likely it is that an expatriate will be granted a work permit.
There are certain occupations that, understandably, hold little appeal for Caymanian job-seekers. These are mainly positions that offer little job security, irregular or anti-social hours of work, or a somewhat unpredictable or unreliable income stream. Examples of such lines of work are office temping, nursing, construction, food and beverage service and most commission-based sales positions.
Immigration regulations dictate that individuals may not reside in the Islands while a work permit application is in process (the exception to this is named dependants – see below). This effectively means that you must either secure work before travelling, or plan to return home to await the outcome of your work permit application.
Note also that your spouse or children are not automatically entitled to reside in Cayman even if you hold a valid permit – he or she must be a named dependant on the permit, and a separate application may be required. The immigration department will consider along with other factors your ability financially to support your dependants. Dependants cannot be named on temporary work permits. See the Immigration chapter for more information.
In 2004 the Cayman Islands introduced an immigration “roll over” policy which now allows all overseas expatriate workers to remain on the Island working and residing for a maximum of 7 years unless the individual has specialised skills and expertise that can be deemed as crucial/exempt to the company and/or community. It is now possible for all businesses (and mandatory for businesses that employ more than 15 expatriate workers) to submit a business staffing plan to Immigration. Once this business staffing plan has been reviewed, discussed and approved it clarifies those positions within the company that are considered exempt. An exempt role/position may allow you to remain on the Island for more than the term limit of seven years and may possibly afford you the ability to apply for Permanent Residency.
Work Permit Numbers by Industry
INDUSTRY 2006
Construction 6,002
Restaurants, Bars, Hotel & Condominiums 3,111
Private Households with Employed Persons 3,590
Business Services 2,882
Education, Health & Social Work 563
Financial Services 1,935
Other Community, Social & Personal Services 1,305
Wholesale & Retail 2,568
All Other Industries 438
Total 22,394
Finding a Job
As previously mentioned there are an endless number of employment opportunities available in the Cayman Islands and if you are residing overseas it can be very difficult to submit employment applications directly with local companies that are then taken seriously. Most companies on the Island receive a continuous and endless barrage of employment applications from overseas, but very few are deemed to be genuine. The minefield of applying for employment on the Island is further complicated due to the requirement to advertise any position prior to a work permit application or annual renewal: A flick through the local classifieds may give a misleading picture of the job market. Employers are discouraged from giving any indication that the position may be a work permit renewal, as this can discourage local applicants. With well over twenty thousand work permits in issue at any one time, many apparent vacancies will actually be in support of a prospective work permit application or renewal.
This makes trying to find a position by reading employment classifieds something of a-needle-in-a-haystack endeavour. For most job-seekers, responding to such ads should only be a part of a more pro-active, direct strategy.
The most effective approach to finding good employment in the Islands depends on what type of role you are suited for and how soon you wish to relocate.
Financial Services Professionals
Many positions exist for professionally qualified accountants, particularly those with investment or insurance industry experience (but this is by no means essential). The Cayman Islands recognises most Commonwealth and international accounting designations.
Due to the proliferation of choice for qualified accountants, it may be wise to consider registering with a Cayman Islands-based recruitment agency that specialises in financial services recruitment. They will be able to advise you on the prospects and appropriate salary for someone with your experience and qualifications. Many of the largest financial services employers on the Island find most of their professional staff through recruitment agencies. Note that most agencies prefer to represent you exclusively and it is inadvisable (for various practical reasons) to sign up with multiple agencies.
Another advantage of using a recruitment agency is that they may be able to offer you a temporary contract (normally six months), whereas most firms expect a minimum two-year commitment for a permanent contract. Accepting a temporary contract is often the fastest way to come to the Islands and gain the kind of experience that makes you a marketable candidate.
Lawyers must generally have at least three years post-qualification experience in a British Commonwealth jurisdiction as well as previous financial services experience, preferably in mutual/hedge funds, insurance, insolvency, structured finance or commercial litigation. Again, contacting a reputable agency is a good way to assess the prospects and find out about current vacancies.
Other Skills & Professions
For those with qualifications, skills or ambitions not related to financial services, finding good employment may require a little more research and legwork. Most reputable recruitment agencies will be able to point you in the right direction and some may have vacancies within your field so it will be a matter of researching those agencies that may or may not be able to help you.
In addition a good approach can be to use the Internet or Yellow Pages, make a list of potential employers and simply write to them enclosing your resumé. For your cover letter, remember to include such important details as when you will be available, why you would like to relocate to the Cayman Islands, your marital status and your partner’s occupation (if applicable). Although these last two points might be considered personal and irrelevant details in most countries, many employers will be interested as this can be an indirect indication of the level of your commitment and stability as an expatriate worker. Note that most employers will not reply unless they have a suitable vacancy. It is good practice to follow up your resume with a call to the human resources department to confirm receipt and enquire as to any current vacancies. This approach applies equally well whether you are seeking a position as a surgeon or cocktail waitress!
If you have a bachelor’s degree and a few years of office experience, you may want to consider office temping. This is a good way to make friends and contacts when you first arrive, which can prove to be invaluable in the search for good, permanent employment. Because you will be tied to the temping agency for the duration of your contract and work permit, you should do as much research as possible on prospective employers before signing up. A good agency will be able to provide references from current and past staff-members, together with contact details, which will allow you to confirm their authenticity yourself.
Recruitment & Employment Agencies
Affinity Personnel Solutions
PO Box 2198
Artillery Court, Shedden Road
Grand Cayman KY1-1105
Tel: (345) 943 2020 Fax: (345) 943 2022
Email: affinity@candw.ky
www.affinitycayman.com
Baraud International Recruitment
PO Box 2040
Century Yard, Cricket Square
Grand Cayman KY1-1105
Tel: (345) 945 1781 Fax: (345) 945 1782
Email: info@baraud.com
www.baraud.com
BrightStaff
PO Box 31910
dms Centre
14 Saturn Close
Off Eastern Ave, George Town
Grand Cayman KY1-1208
Tel: (345) 947 8233 Fax: (345) 949 8277
Email: info@brightstaff.ky
Website: www.brightstaff.ky
CML Offshore Recruitment
PO Box 1569
Ground Floor, Harbour Centre, George Town
Grand Cayman KY1-1110
Tel: (345) 949 1345 Fax: (345) 949 7891
Email: info@cmlor.com
www.cmlor.com
Human Capital Solutions
PO Box 30110
Suite 202, Crighton Building
Grand Cayman KY1-1201
Tel: (345) 949 6664 Fax: (345) 949 6663
Email: jon@hcscayman.com
www.hcscayman.com
Personnel 2000
PO Box 30924
1st Fl, Zephyr House, Mary Street
Grand Cayman KY1-1204
Tel: (345) 945 8367 Fax: (345) 945 8601
Email: careers@personnel2000.com
www.personnel2000.com
Stepping Stones
Recruitment & Training Ltd.
PO Box 10091
The Marquee, West Bay Road
Grand Cayman KY1-1001
Tel: (345) 946 7837 Fax: (345) 946 7836
Email: jobs@steppingstonescayman.com
www.steppingstonescayman.com
Establishing a new business
The Benefits
Cayman offers a well-regulated and internationally respected tax-neutral offshore business environment. The type of Cayman corporation a relocating company will form will in large part, depend on its primary domicile and the type of business it intends to carry out here i.e., mainly whether it will be local or international. Thus, advice from legal and tax counsel in these countries will be of prime importance in understanding the benefits that can be derived from setting up an office in Cayman.
A fully operational physical presence however, with locally based staff, as opposed to a brass nameplate type operation, is now viewed as an essential component in ensuring compliance with most international and local reporting requirements.
There many reasons why Cayman is a great place to open an office. We are a small and yet very sophisticated country with a stable government, good law and order, a proliferation of world class corporate and service companies to make doing business easier. We also have a fantastic climate, are only one hour away from America by plane, and we have no direct taxation, although we do have a consumption tax in the form of duties which many feel are extremely fair. We are as one well known leader in his field is fond of saying, “a very very safe oasis in a troubled world”.
Setting Up An Office
Commercial Office Space
Historically, there has been a limited market supply of office and retail space for lease that meets the requirements of most corporations. What is available varies widely in quality, location, age and therefore price, and of course availability depends on the timing of your move. Pricing is generally fairly competitive with worldwide office space rates. Class A office space in downtown George Town and quality out-of-town corporate developments lease for a minimum of US$50 per sq. ft. per annum, whilst just securing a parking space will cost in the region of US$200 per sq. ft. for land in downtown George Town if you can find it. Class B space, less centrally located or in lower quality buildings between 5 to 10 years old, rent for US$40 per sq. ft. per annum as a reasonable medium average. All other basic space costs between US$30 to US$40 per sq. ft. per annum and again depends on the four main factors – size, age, use and location.
Maintenance charges or Common Area Maintenance fees (CAM) typically vary from US$10 to US$14 per sq. ft. per annum and include such things as the building insurance, electricity costs, outside cleaning, landscaping and security. The biggest factor in CAM is building insurance, which has doubled in the last few years.
Office Space Availability
There is no oversupply in the market right now and for the next 12 months supply may be limited. Large projects coming on-line in late 2007 include Camana Bay with 400,000 sq. ft., which will be made up of a combination of retail, offices and rental apartments, all of a very high standard – a good location for both George Town and Seven Mile Beach. Other projects include phase 2 of the Citrus Grove Building in George Town (73,000 sq. ft.); a new Government Administration Building of 7 stories due for completion in 2009; the redevelopment of Coconut Place, to be renamed Park Place (which is located 265 yards from the Ritz-Carlton on West Bay Road), and the redevelopment of the old Atlantic Building site on North Church Street, which will be renamed Atlantic Towne Square. However, of all these developments most have their office space pre-leased.
The Process of Setting Up an Office
Depending upon the finished condition of the premises and how closely this meets a corporation’s requirements, offices can be set up in as little as eight to twelve weeks. More often, however, by the time your office design has been finalized, interior finishes have been chosen, furniture ordered, IT systems specified and work permits and licences granted, a set up period of 4-6 months is more usual. Tenants may also be required to submit fit out plans to the Planning Department for building code approval in advance.
Costs to Prepare Office Space
This depends on a number of factors including the existing condition of the space and the quality of the final product. Well fitted out existing office space, with partitioned walls and internal offices, a suspended ceiling, fluorescent lighting, a/c and power grid already in place, but in need of reconfiguration, can be prepared for as little as US$50 per square foot. Finding such space is limited. Finding a new space with only perimeter walls, one to two hour fire rating separation walls and an a/c unit with an electrical panel sufficient for the tenants requirements is the norm. For space like this you will likely spend between US$150 and US$200 per sq. ft. to prepare it to a reasonably high quality fit-out. Some landlords will offer a standard fit out package or a fit out allowance in the region of US$10 to US$25 per sq. ft. depending the location and the landlord.
Fitting Out Your Office
Telephone & Internet
Among other things, you will need to source and install a telephone system and an Internet and dial tone service from a local carrier. The Cayman Islands is well served with a number of local service providers for both Internet and voice service. Choosing among them can prove to be challenging as there are different delivery methods (wired, wireless), rates and interconnection choices. Choosing the right combination can make a quite a difference in the monthly service bills.
Telecommunications standards differ somewhat to those in North America where the T1 line type is the standard for delivering high density call traffic. Here in Cayman the E1 (European standard) line type is the connection of choice. This has the advantage of supporting more simultaneous calls over the same dedicated line.
Local Data Network and Personal Computer Equipment
Electrical and wiring standards generally follow those of North America so installing and configuring standard telecommunications and computer equipment should present no problems. Power is the standard 120V AC, 60 cycle with standard plug style (dual bladed with ground).
Internationally known names such as HP, CISCO, Checkpoint and Mitel are represented on the Island and you will find that local vendors can meet all of your VoIP (Voice over IP), networking, storage (NAS and SAN), data security and disaster recovery needs.
Office Furniture
If your company uses a particular furniture supplier or a global alliance (such as Steelcase) you will find professional dealerships in Cayman who can assist in all aspects of your furniture requirements.
Office Staff
Hiring qualified staff from the local market can be difficult as there is virtually no unemployment in Cayman and well qualified Caymanians can pick and choose their jobs. Using a professional recruiter to weed through CVs and do initial interviews will save you much time and effort and Cayman has a wealth of professional recruitment companies. Cayman’s ‘roll-over’ policy will also have an impact when determining staffing plans. See the Immigration section for more information.
Island Considerations
While the Island is well served via both air and sea routes, special consideration should be made for keeping spare parts for critical equipment. It will be very difficult to have something flown in overnight as an emergency replacement as any parts arriving on the Island will have to be processed by the Collector of Customs and this will take some time. If your business absolutely depends on the correct functioning of certain devices, you will want to have local spares for those devices.
Your local IT and telephony vendor will also be able to offer you sparing options, in secure facilities, which will eliminate the need to obtain the spares yourself. You will also find that this is a very cost effective way of providing you with piece of mind.
Applying For Business Licences
(A) Required Corporate Licences
This will depend largely on where the corporation intends to transact its business: in the past, many corporations have chosen to form Exempt or Non-Resident companies which are typically limited to transacting their business internationally and are prohibited from doing so with local residents. Non-resident companies are the most appropriate vehicles for holding title to Cayman Islands property.
Financial Services licences are subject to full vetting and approval at an early stage from the Cayman Islands Monetary Authority. A trade and business licence may also be required but will only be forthcoming after CIMA approval.
In order for an individual, local company, local strata corporation or foreign company registered to do business in the Cayman Islands to carry on business in the Islands, application must be made to the Trade and Business Licensing Board for the grant of a Trade and Business Licence. A company wishing to carry on business in the local market and which does not have a Caymanian 60% partner will require a Local Companies (Control) Law Licence (LCCL). In addition, all companies whether local or foreign will require work permits for their non-Caymanian staff. Normally your local legal counsel or company managers will advise upon and help obtain the necessary licences, the application and granting period for which takes approximately 1-2 months.
(B) Registration Process
If you wish to establish a Cayman Islands company an application must be made to the Registrar of Companies for company incorporation. The paperwork and forms can be downloaded from the Cayman Islands Government www.immigration.gov.ky.
Applications should be delivered in person to the Registrar of Companies, Ground Floor, Citrus Grove Building, Goring Avenue, George Town, Tel: 946 7922.
Application Process:
●Call the Registrar of Companies and enquire if the company name you want is available;
●Fill out a) Memorandum of Association; b) Articles of Association; and c) a cover letter providing details of the proposed business;
●Provide a minimum of 2 sets of copies of both these signed forms (you may need a certified copy for a bank account);
●Submit paperwork with a filing fee payable to the Cayman Islands Government for CI$200 for ordinary resident companies.
●Processing time is approximately three to four working days.
Ordinary non-resident and Exempt companies are required to have a licensed corporate service provider maintain the company’s registered office.
(C) Paperwork for the Trade and Business Licensing Board
Once the company has been incorporated the following must be delivered to the Trade and Business Licensing Board (which is located on the left hand side of the Immigration Building on Elgin Avenue, George Town) together with the listed corporate documents:
●Application form duly completed with a short cover letter giving details of the proposed business
●The appropriate fees (see Schedule to the Law. Many of the scheduled fees have changed over time and applicants should, where necessary, inquire at the offices of the Board as to the current applicable fee)
●Certificate of Incorporation
●Memorandum and Articles of Association
●Return of Shareholdings under Section 7 of the Local Companies (Control) Law (1999 Revision)
●Register of Directors
●Proof that at least 60% of the shareholders and at least 60% of the directors of the company are Caymanian
●Every non-Caymanian director and shareholder must provide the following: (i) A personal reference
(ii) A financial reference from a bank where an account has been maintained for not less than 3 years.
(iii) A police clearance certificate (iv) Copy of the picture page of the passport. All documents supplied to the Board as copies must be certified.
This process usually takes approximately one to two months.
Please note that registration and annual fees for any company, be they exempt, resident or non-resident is dependent on the size of the authorized share capital. Also worth noting is that licence fees are due annually but the Cayman Government does not “remind” you of them being due. Every company is responsible for paying these annual fees and if you do not pay them for a number of years, the Government will simply strike the company off the register. It is possible, if you were ignorant of the fact that annual fees are due, that your company could be struck off without you knowing. This is one of the benefits of using a corporate services company as they will process the annual paperwork and remind you of the amount and timing of annual fees being due.
Corporate Services
The following are a few of the local corporate service providers who can assist you with the incorporation process. The usual fee for their services is between CI$800 - $1200, including the Government filing fees.
Appleby Corporate Services
PO Box 1350
Clifton House, 75 Fort Street
Grand Cayman KY1-1108
Tel: (345) 948 4900 Fax: (345) 949 4901
Email: info@applebyglobal.com
Bodden Corporate Services
PO Box 10335
Grand Pavilion Commercial Centre
West Bay Road,
Grand Cayman KY1-1003
Tel: (345) 945 0400 Fax: (345) 945 0345
Email: info@bcsl.ky
Britannia Corporate Management Ltd.
PO Box 1968
Plantation House, 196 Raleigh Quay Road
Grand Cayman KY1-1104
Tel: (345) 949 2700 Fax: (345) 949 0716
Email: gfoakley@candw.ky
Foreshore Corporate Services Ltd.
PO Box 1994
4th Floor, Queensgate House
South Church St, George Town
Grand Cayman KY1-1104
Tel: (345) 949 7366 Fax: (345) 949 8652
Email: fcs@rc.com.ky
International Management Services (IMS)
PO Box 61
4th Floor, Harbour Centre
George Town
Grand Cayman KY1-1102
Tel: (345) 949 4244 Fax: (345) 949 8635
Email: ims@candw.ky
Mourant Cayman Corporate Services
PO Box 1348
3rd Floor, Harbour Centre
George Town
Grand Cayman KY1-1108
Tel: (345) 949 4123 Fax: (345) 949 4647
Ogier Fiduciary Services (Cayman) Limited
PO Box 1234
Ansbacher House
20 Genesis, | 
