Five Things You Should Know About the St. Maarten Economy Before You Start a Business

Five Things You Should Know About the St. Maarten Economy Before You Start a Business

For many years, St. Maarten was known for its high tourist footfall and as a leading vacation destination in the Caribbean. While the country still enjoys its rank among the top tourist attractions in Central America, recently St. Maarten has also developed one of the highest GDPs in the region.

For this reason and many more, foreign nationals like Americans, Canadians, and Europeans are keen to set up an offshore company or start a business in St. Maarten. Many have moved to this Dutch-French-owned Caribbean island to enjoy the sunny side of life.

If you’re looking to start a business in St. Maarten, then you’re reading the right blog on the internet. We’ll tell you five key factors that everyone should know before starting a business on the ‘Friendly Island.’

The Leading Industry – Tourism

St. Maarten’s economy is heavily influenced by tourism. After all the scenic beaches, the diverse cultures, and the exotic cuisine makes it one of the most amazing places for recreational trips. This is why St. Maarten’s tourism industry accounts for 80 percent of the country’s total revenues.

If you’re looking to start a profitable business in St. Maarten, consider opening a hotel, restaurant, photography business, tour guide, or any tourism-related entertainment business.

The Up and Coming Opportunities

Historically, St. Maarten was known for its sugar and salt exports. Then came the era of tourism, which is still dominant. However, with technological infrastructure, e-commerce, and freelancing becoming a norm, St. Maarten is also pacing up in the IT business sector.

A guavaberry emporium

The Taxes and Benefits

St. Maarten has territorial taxes on the income. This means that whatever you’re earning within St. Maarten will be taxable up to 20 percent. Additionally, there are no taxes on capital gains, property, exchange of personal assets, and imports other than petrol.

This makes St. Maarten a duty-free Caribbean country and one where having an offshore company will be highly profitable.

The Economy

The latest per capita GDP of St. Maarten was reported at US$29,495 in 2021. The Caribbean country is known for one of the highest GDPs in the Caribbean region and is expected to improve its business climate further. Tourism-related businesses contribute almost 45 percent of the St. Maarten’s GDP.

The Currency, Banking, and Permits

Albeit Euro is the central currency of St. Maarten; US dollars are also usable. So if you’re an American setting up a bank account in St. Maarten, you will not need to worry about exchange rates. Further, getting a work permit in St. Maartenis fairly easy, and an expert business consultant like BrightPath Caribbean can help you through it through.

If you wish to know more about starting a business in St. Maarten or relocating to any other Caribbean country, reach out to us at BrightPath Caribbean. We also offer a free Zoom consultation for an initial assessment of your case.

Disclaimer: Our articles are not intended as (legal) advice and do not take your personal circumstances into consideration. BrightPath does not accept any liability for damages resulting from using the provided information. We highly recommend you to seek personalized advice from us or before you act or fail to act because of the content of our articles. BrightPath is a privately-owned consulting firm that assists clients with filing applications for residence permits and/or business licenses at the relevant government departments. None of our directors, employees or agents hold or have held any position with the government of Sint Maarten and our service does not provide for any preferential treatment with regards to any application. All information provided and statements made only serve to provide you with a general understanding of immigration, residence and business incorporation procedures on Sint Maarten.
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