Parliament has passed the Company Bill, which allows one person to establish and operate a company.
Currently, a company can only be registered by more than one person. If an individual registers a business in one's name, they must do so as a sole proprietor.
The Company Bill allows a company to have at least one member and no more than 100 members. Every private company must have at least one director at all times and every public company must have at least two directors. Every state-owned company and local authority company must have at least three directors.
Company registration fees have also been changed. The company registration fee is USD130 while the annual fee has been nullified. Company founders will also have to pay additional fees for individual changes they make while registering the company. Some additional fees include change of by-laws, change of registration address and registration of the company's seal.
Parliament passed the Company Bill with 53 votes in favour and 1 against. The Companies Act of the Maldives currently being followed was ratified 26 years ago in 1997 and will be repealed upon the ratification of the Company Bill. The bill provides a one-year deadline for companies to comply with the new laws.