British Virgin Islands Business Company – BC (IBC) Formation

The British Virgin Islands are a British overseas territory located in the Caribbean. They offer cost effect start-up solutions for Company Formations, with favourable tax laws for Business Companies (BC’s).

Having a good commercial and professional infrastructure and recently upgraded Companies Registry and through progressive financial regulations the Government is actively encouraging the development of offshore finance businesses.

The BVI’s adopted the International Business Companies Act in 2004 which fused together offshore and onshore financial activities, affording local business opportunities to offshore IBC’s, which are now referred to as Business Companies (BC’s).

All companies must be incorporated through registered local agent.

  • Fast Formation
  • Minimum shareholders is one
  • Minimum directors is one
  • Corporate directors and shareholders are permitted
  • Highly competitive fees and costs
  • Exemption from all local taxes and stamp duty
  • Privacy – Maximum confidentiality and anonymity
  • Non-disclosure of directors, shareholders or officers, as they are not filed with the Register of companies.
  • Asset security
  • No reporting requirements
  • No statutory requirement to hold annual general meetings
  • BCs are permitted to own real estate and conduct business in the BVIs
  • Comprehensive internationally recognised company law
  • Asset Protection
  • Forex and Other Brokerage Trading
  • Professional Service Company
  • International Trading
  • Conducting Business in the BVI
  • Offshore Savings and Investments
  • Trade and Distribution Business
  • Electronic Commerce

There are no restrictions on conducting business in or buying real estate in British Virgin Islands. There are restrictions however in conducting business in Mutual Fund Management, Banking, Insurance, Trust Management and other business relating to finance and brokerages, which need authorisation or Licensing.

The use of a registered agent is required, they are given authorisation to incorporate the BC and sign all formation documents on behalf of the client, without the client needing to be physically present in the British Virgin Islands.

Through the licenced registered agent, the proposed company’s Memorandum and Articles of Association need to be filed along with a document detailing that the registered agent is agreeing to consent, to act in their capacity.
The Registered Agent shall preform a due diligence investigation and after having satisfied all the requirements put forth by the Register, they shall then produce a certificate of incorporation.

A few of the requirements are the Name of the company to be incorporated, a physical address, certified copies of valid passports or national ID cards, such as those issued in the European Union. The amount of share capital if other than the standard $50,000 USD. These need to be certified by either a Notary Public, Bank or by the issuing country’s Embassy. A Character reference may also be required.

An imprint of the company seal must also be held at the registered office as well the Register containing the names and details of Directors and Shareholders.

Overview
Company TypeBC
Country LawEnglish Common Law
Company Law

BVI Business Companies Act, 2004 ("the Act") as amended

Registered Office RequiredYes
Local Registered Agent RequiredYes
Shelf Companies PermittedYes
Migration Of DomicileYes
Average Time To Form Company3 to 5 Business Working Days
Government Fees
Minimum Government Formation Charge$350 USD
Recurring Minimum Annual Company License Fee$350 to $1000 USD
Annual Return Filing FeeNot Applicable
Corporate Tax
Corporation TaxNo
Access to Double Taxation Treaties

Yes

Switzerland

Japan

BVI Business Companies are exempt from taxes.

Directors
Minimum Required Directors1
Local Director RequiredNo
Records PublicNo
Board Meeting LocationAnywhere in the World
Corporate Directors PermittedYes
Privacy - Publicly Available RecordsNo

There is a minimum requirement of one Director, of which may be the only shareholder. Directors can be either individuals or corporate bodies of any nationality and resident of any country.

Company Secretary
Secretary RequiredNo
Local or Qualified PositionNo
Share Capital
Standard CurrencyUS Dollar
Permitted Share CurrencyAny
Minimum Paid Up Shares$1 USD
Usual Authorised$50,000 USD
Bearer Shares PermittedYes
No Par Value Shares PermittedYes
Shareholders
Minimum Number Of Shareholders1 Shareholder
Corporate Shareholdes PermittedYes
Meeting LocationsCan be held anywhere in the world
Privacy - Publicly Available RecordsNo
Company Accounts
Requirements To PrepareYes
Audit RequiredNo
Keep Financial RecordsYes - Kept Anywhere in the world - presented on request
Requirement To File AccountsNo
Requirement to File Annual ReturnNo
Accounts Publicly AccessibleNo

Documents may be maintained in the BVI or in the case where they are kept outside of the BVI, it has to be confirmed in writing by the BC to the Registered Agent in the BVI, the physical address where the records are kept and if at any time the location changes, they need to be notified immediately.

BVI BCs pays no Corporation Tax, including but not limited to, no taxes on capital gains, sales, or any value added taxes.

All dividends, compensations, rents and royalties are also exempted from BVI taxes.

BVI Facts
Location

British overseas territory

located in the Caribbean to the east of Puerto Rico.

SizeApproximate area of 153 sq. km
PopulationApproximately 28,054
Languages SpokenMain and Official Language is English
CurrencyUS Dollar
Politics

Parliamentary dependency under a constitutional monarchy.

Internally self-governing overseas territory of the United Kingdom

Economy

Main Industries:

Tourism

Financial Services

Transport

Air

Road - Driving on the Left - Mopst cars are left hand US imported

Boat

Time Zone

AST UTC -4

BVI does not utilize Daylight Saving Time

International Dialling Code+1-284
Internet TLD.vg

Contact us today to enquire about the Cost of Formation or if you have further questions regarding the application process.

British Virgin Islands Business Company (BC) Formation Enquiry

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