A foundation is in a lot of ways similar to a trust but may enjoy legal personality and offers the administrative flexibility of a company. It can be set up by charter or by will and its objects can be non-charitable, or charitable, or both. Foundations are governed by the Foundations Act 2012 in Mauritius.

Foundations are widely used for wealth management, estate planning, asset protection, amongst others and one of its main advantages is confidentiality (information filed with respect to foundations set up by non-residents are not available for public inspection).

Principals of a foundation:

Founder
A founder is the person who endows a foundation with its initial assets.

Council (mandatory)
The council should comprise of at least one member ordinarily resident in Mauritius.

The council is responsible for administering the foundation property and carrying out the objects of the foundation.

Secretary (mandatory)
The secretary shall have to be a management company or such other person resident in Mauritius as may be authorized by the FSC.

The role of the secretary include the provision of secretarial services and registered office.

Protector (optional)
A protector may be appointed. The Charter of the foundation may determine the powers and duties of the protector.

Beneficiary
A foundation may have beneficiaries. A beneficiary is a person who shall be entitled to benefit under the foundation or in whose favour a power to distribute foundation property may be exercised.