What is the 60/40 rule in Bermuda?

The 60/40 rule is Bermuda’s local-ownership requirement for companies operating in the domestic economy. Any business serving the Bermudian market (retail, restaurants, hospitality, professional services to locals) must be at least 60 percent owned by Bermudians (or status holders) and have at least 60 percent Bermudian directors. The rule is meant to protect local commercial ownership against offshore capital. Exempted companies (the international business sector, including reinsurance, captive insurance, and offshore finance) are not subject to 60/40 because they cannot trade in the local economy. For foreigners considering moving to Bermuda to start a local-economy business, 60/40 is a hard constraint: practical workarounds usually involve partnering with a Bermudian majority owner. For the broader cost picture, see our Bermuda cost of living page.