BVI Company Formation
Eastern side of Caribbean has the English-speaking dependent territory of the United Kingdom, globally known as British Virgin Island. BVI is politically stable and has a developed commercial and professional infrastructure. In 1984, with the introduction of International Business Company, the island has made an eminent position among the corporate aspirants. There are over 300,000 IBCs which are incorporated in the British Virgin Island, majority of which are incorporated for holding, investment and trading. Seeing the popularity of the BVI, government strengthened itself and put forward amendments in legislation. As a result of which there is prohibition on the establishment of offshore banks in BVI and this restriction in turn resulted in drastic reduction in money laundering activities. This modernisation of legislation doesn’t stay here, but in-fact it has made BVI, able to grasp the intention of investors and now it possess extreme popularity in the offshore market.
British Virgin Island introduced Business Companies Act in 2004. As per this act, all BBCs in island enjoys tax exemption and this exemption includes every withholding tax and capital gains tax. All BBCs are made liable to minimum reporting requirements. Due to this legislative flexibility incorporation services in BVI are cost effective and time efficient.
Requirements for Incorporation
There are certain requirements to incorporate a company in BVI, details of which is given below:
There is a minimum requirement of one director and none of the appointed directors need to be the resident of BVI. Corporate directors are allowed to be appointed. There is neither the requirement to hold director’s meeting nor to maintain and keep public director’s register. Annual meetings of shareholders or directors are also not required.
There is no minimum requirement of secretary and none of the appointed secretaries need to be the resident of BVI. But there is a requirement of resident representative for the company. Corporate secretaries are not allowed to be appointed. There is no requirement for the secretary to hold any professional qualification.
There is a minimum requirement of one shareholder in order to incorporate a company in BVI. Corporate shareholders are allowed to be appointed. There is neither the requirement to maintain and keep public shares register nor par value of shares are permitted. Authorised share capital is usually 50,000 shares with value of USD 1 each. It is allowed to have bearer shares.
Please refer to fee schedule section for proper guidance on incorporation fee. Generally, incorporation fee includes:
Once incorporation is completed, you will receive:
It generally takes 1-2 weeks to incorporate a company in BVI.
Offshore Bank Account
For the offshore bank account please see our fee schedule section.
A registered agent for the company incorporation is required. There is no need to declare beneficial ownership of the shares to authorities, where all or some shareholders are nominees. In addition to this, annual return of the company is also required.