Below are some of the responses to our most Frequently Asked Questions.
Under the BEDC Act 1980, a “small business” is defined as: Bermudian-owned and managed, operating locally, having an annual gross payroll not exceeding five hundred thousand dollars ($500,000) and having annual sales revenues of less than one million dollars ($1,000,000).
Under the BEDC Act, a “medium sized business” is Bermudian owned & owner operated – business enterprise with at least three of the following attributes: a. Gross annual revenues between $1 million and $5 million b. Annual payroll between $500K and $2.5 million c. A minimum of 11 and a maximum of 50 employees d. In operation for a minimum of 10 years e. Net Assets of less than $2.5 million
The BEDC is legally prohibited from revealing to anyone details of the business affairs of its clients, except as may be necessary to discharge its functions. In fact, we take the confidentiality of our clients seriously and are happy to sign a confidentiality agreement if the client so desires.
Any small or medium business that has no other means of collateral may contact the BEDC and apply for assistance or use any of its services.
The only employee benefit that you are required to pay to operate legally is the payment of payroll tax if you are working more than four hours a week. You need to register your company at the Tax Commissioner’s Office, which is located in the F.B. Perry building on Church Street, right next to the Hamilton Market Place. As you are already employed full-time, that negates the need for your part-time company to cover your social insurance, health insurance and private pension. Please consult the BEDC’s Four Compulsory Employee Benefits information sheet for more information. Since you are planning to operate from your residence, however, you need permission from the Department of Planning to do so. This will allow you to have a legitimate home-based occupation. The Development Application team (at 297-7756) will assist you in the process.
BEDC client names and other key information is protected by law under the Small Business Act of 1981 (amended 1989, 2007) and cannot be divulged without the client’s consent or through the other clauses outlined in the Act. You may, however, consult the Island’s online directories (such as the Bermuda Yellow Pages at www.bermudayp.com or Bermuda Communications Directory for a listing of the retailers you require.
The Bermuda Government offers exclusive concessions to those individuals who meet the criteria for managing such facilities. This process is managed by the Parks Department, which can be contacted at 236-4902 or P.O. Box HM 20, Hamilton, Bermuda HM AX.
Before you start your website/e-commerce business, there are a few things that you will need to accomplish. First, review the Four Compulsory Employee Benefits information sheet to see if they apply to you. If they do, then you will need to comply with these obligations before you do anything else. You can also refer to the e-Business local Guide. Next, contact the Ministry of ICT Policy & Innovations at 294-2774 to ask if you require anything specific to accomplish your website objectives. There may be a few other items that you may want to consider depending on your business idea. Feel free to give us a call at 292-5570 for an appointment, so that we can discuss your idea further.
