Overview:
British Virgin Isalnd (BVI) is the leading offshore jurisdiction with over 750,000 offshore companies incorporated since 1984.
British Virgin Islands (BVI) is one of the oldest and most respected offshore financial centres in the world.
BVI is widely considered as a benchmark, which the other offshore tax havens strive to emulate.
Law:
The BVI Business Companies Act (No 16 of 2004) is the principal statute of the British Virgin Islands relating to British Virgin Islands company law, regulating both offshore companies and local companies.
It replaced the extremely popular and highly successful International Business Companies Act.
Company Set-up Requirements:
| Company Registration Requirements | |
| Minimum Shareholder | 1 |
| Minimum Director | 1 |
| Corporate Directors and Shareholders | Permitted |
| Local Secretary required | No |
| Local Registered Office | Yes |
| Minimum Paid Up Share Capital | US$1 |
| Annual Reporting and Audit | Not Required |
| Local Tax on Foreign Income | Exempted |
** Shareholder(s),Director(s) and Corporate Secretary can be the same individual or a corporate entity.
Steps to register a BVI Company:
| Steps | |
| 1 | Prepare due diligence documents and forms for incorporation; |
| 2 | Reserve company name at the Registry of Corporate Affairs; |
| 3 | Submit signed incorporation documents; |
| 4 | Receive registration approval |
| 5 | Receive registration approval; |
| 6 | Open corporate bank account |
| 7 | Apply for financial license at the Financial Services Commission. |
Types of Companies:
- A company limited by shares (preferred corporate structure)
- A company limited by guarantee that is not authorized to issue shares
- A company limited by guarantee that is authorized to issue shares
- An unlimited company that is not authorized to issue shares
- An unlimited company that is authorized to issue shares
Advantages of setting up a BVI Company;
- 0% corporate income tax
- 100% Asset Protection
- Exemption from all local taxes
- Cost Effective and fast formation procedures
- Low cost for annual renewal
- No accounting and audit requirements
- Citizens of any country can register a BVI BC
- Companies registered in any other jurisdiction may be transferred to BVI
Best uses of a BVI Company
Financial Service Companies due to:
- Transparent laws and regulations;
- Ease of company setup;
- Transparent tax laws
- Good reputation amongst popular offshore jurisdictions
- Good infrastructure available.
