Guernsey or Malta: where should you start a business?
Guernsey ranks higher in the index, 02 against 09. Which suits you depends on where the owners live, what the company is for and how it will be run.
Pillar by pillar
Doing business, side by side
Tax
The standard rate is 0%, with 10% on banking, fiduciary and some financial services and 20% on land, utilities and large retail. There is no GST or VAT.
The headline rate is 35%. Trading profits reach about 5% effective only through shareholder refunds on distribution. VAT is 18%.
Set-up
Standard incorporation costs £100 and takes 24 hours, with faster paid services. The annual validation fee ranges from £260 to £1,050.
Registration can take 24 hours once the file is complete. Fees start at €100 and the annual return at €85, both rising with authorised capital.
On the ground
Incorporation is only through a licensed fiduciary, and a company needs a registered office and resident agent in Guernsey. Substance depends on the activity.
A registered office in Malta and a company secretary are mandatory. Authorised capital must be at least €1,164.69, with 20% paid up.
Ownership
The beneficial ownership register is not public. It is open to relevant authorities, and obliged entities have been able to request information since August 2025.
General public access to the beneficial ownership register was suspended after a November 2022 EU court ruling; others must show a legitimate interest.
Residence
An entrepreneur visa is available with a Population Management permit, which anyone living and working there needs. No threshold is published.
The Start-up Residence Programme requires at least €25,000 invested in a Malta company and a business plan approved by Malta Enterprise.
Living and working
Currency
Pound sterling and the Guernsey pound, at par.
Euro.
Time zone
UTC+0, or UTC+1 in summer.
UTC+1, or UTC+2 in summer.
Personal tax
Flat 20% income tax with a £15,200 personal allowance (2026 Budget) and a tax cap. No capital gains, inheritance or wealth tax.
Top rate 35% on income above €60,000 (single, 2026). Capital gains tax applies, but there is no inheritance or wealth tax.
Flights
Malta International Airport served 109 destinations in 2024; Delta flies to New York three times a week from June to October 2026.
Language
Maltese and English are official languages. The courts use Maltese, although Parliament can provide for the use of English.
Guernsey vs Malta: common questions
Guernsey: The standard rate is 0%, with 10% on banking, fiduciary and some financial services and 20% on land, utilities and large retail. There is no GST or VAT. Malta: The headline rate is 35%. Trading profits reach about 5% effective only through shareholder refunds on distribution. VAT is 18%.
Guernsey: Standard incorporation costs £100 and takes 24 hours, with faster paid services. The annual validation fee ranges from £260 to £1,050. Malta: Registration can take 24 hours once the file is complete. Fees start at €100 and the annual return at €85, both rising with authorised capital.
Guernsey: Incorporation is only through a licensed fiduciary, and a company needs a registered office and resident agent in Guernsey. Substance depends on the activity. Malta: A registered office in Malta and a company secretary are mandatory. Authorised capital must be at least €1,164.69, with 20% paid up.
Guernsey: The beneficial ownership register is not public. It is open to relevant authorities, and obliged entities have been able to request information since August 2025. Malta: General public access to the beneficial ownership register was suspended after a November 2022 EU court ruling; others must show a legitimate interest.
Guernsey: An entrepreneur visa is available with a Population Management permit, which anyone living and working there needs. No threshold is published. Malta: The Start-up Residence Programme requires at least €25,000 invested in a Malta company and a business plan approved by Malta Enterprise.
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