How to Register a spa in Maldives under new regulations

How to Register a Spa in Maldives Under the New Regulations

The Maldives’ Government recently launched spa regulations by the name of “SPA (Registration and Operation) Regulations”. They were introduced and published in the government gazette on 21 February 2023. A week later, the government brought further updates to those regulations in the form of an amendment.

All spas that are in operation prior to the introduction of the regulations are to regularize themselves within 90 days from the date of the regulations.

Registration Requirements

Any party who runs a spa (as a business activity) can only do so if that party is registered under the Business Registration Act as one of the three business vehicles recognized by it: sole trader, partnership, or company.

A spa can only be operated after registering that activity as a business activity. Every registration of a resort spa has a maximum life of 5 years. Renewals are allowed and may be applied for a month ahead of the expiry of existing registration.

The registration process begins by applying to register a business activity via the business portal of the Ministry of Economic Development and choosing the appropriate business classification.

Some of the requisite details for a successful application for registration would include: proposed name for the activity; business registration number of the applicant vehicle; services to be provided; address at which services are to be provided; and declaration that the premises meet the Schedule 2 criteria.

Persons Denied Registration

Even if an applicant is a registered and recognized business vehicle, the application to register a spa as a commercial activity may still be denied, if during the past 5 years, any action is taken (or an investigation is underway) against the business or any of its promoters, directors or partners for violating the Business Registration Act, Employment Act, or the Trafficking of Persons Act or any regulations made pursuant to it.

Cessation of Business

If a registered spa ceases business, the spa must apply to the Ministry of Economic Development to deregister the business activity within 14 days of its cessation. A fine of MVR 1000.00 will be levied if the deadline is breached.

Levy of Fees

For inspections carried out under these regulations, an inspection fee of MVR 1000.00 is levied. A registration fee of MVR 5000.00 is levied at every spa registration and also at every renewal of the license. The fee is payable to MED or MIRA.

Read the Explanation of the New Spa Regulations 

Version of article originally published on Nasheeds Commercial Lawyers

Featured Image: Hilton Maldives Amingiri Resort & Spa