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Small Business Agencies

NCENTIVES AVAILABLE

Section 7

(1) Subject to the provisions of the Act, the Minister may grant an approved small business one or more of the incentives specified in subsection (3) where he is satisfied that the business will be of significant or substantial socio-economic benefit to Barbados.

(2) Where any approved small business is one of a group of companies or is associated or affiliated with or controlled by another body corporate only one such approved small business shall be eligible to receive any of the incentives specified in subsection (3).

(3) Subject to subsection (2) and notwithstanding any enactment to the contrary, an approved small business is entitled to any one or more of the following incentives subject to such conditions as are specified in this section:

(a) the payment of corporation tax at the rate of 25% on the profits of the business;

(b) exemption from import duty on plant and equipment imported for use in the business;

(c) exemption from withholding tax on dividends and interest earned on investment in an approved small business or in any fund approved for investment in small businesses;

(d) exemption from the payment of stamp duty under the Stamp Duty Act on all documents related to the business where the registration of those documents is required by law; and

(e) a deduction of corporation tax of an amount equal to 20% of the actual expenditure incurred in respect of the use of technology, market research and any other activity that is, in the opinion of the Commissioner of Inland Revenue, directly related to the development of the business.

Section 8 (1)

An approved small business may apply for a loan guarantee cover under the Credit Guarantee Scheme through any one of the following:

(a) any commercial bank operating in Barbados by virtue of a licence issued under Part II of the Financial Institutions Act;

(b) any financial institution other than a bank to which access to the Credit Guarantee Scheme has been granted by the Central Bank; or

(c) any other institution or organisation approved by the Central Bank as being eligible to access the Credit Guarantee Scheme.

Section 9

(1) The Cabinet may designate any government department, agency or approved private sector organisation as a provider of technical assistance in the form and manner specified in subsection (2), for the purpose of assisting approved small businesses to commence, continue or to expand operations.

(2) The technical assistance to which subsection (1) refers, includes:

(a) the development of product design;

(b) the development of package and label design;

(c) the provision of assistance in the development and maintenance of quality control;

(d) the provision of marketing assistance for the local and export market;

(e) the provision of assistance to businesses seeking to participate in overseas trade shows;

(f) the preparation of business plans to facilitate the initial financing and management of the business;

(g) the financing of feasibility studies relating to the development of new businesses or products;

(h) the provision of assistance in managerial accounting or budgetary analysis; or

(i) the provision of assistance in general or production management.


Applicants May Be Involved In Any of the Following Activities:

i. Agriculture, Forestry and related service activities.

ii. Arts and Cultural activities.

iii. Construction services

iv. Entertainment services

v. Financial services

vi. Fishing, operation of fish hatcheries and fish farms and service activities incidental to fishing.

vii. Health Care services.

viii. Hotel, Restaurant and other Tourism related services.

ix. Manufacturing.

x. Personal care services.

xi. Real Estate, renting and other related business services.

xii. Repair of personal and household goods and vehicles.

xiii. Sanitation, sewage and refuse disposal services.

xiv. Sporting and Recreational services.

xv. Transport, storage and communication services.

xvi. Wholesale and Retail trade.