IBC Name Restrictions

​

BVI IBC must end with one of the following words, or abbreviations thereof – Limited, Corporation, Incorporated, Societe Anonyme or Sociedad Anonima.

It is prohibited for a BVI IBC name to contain words such as “Assurance”, “Bank”, “Building Society”, “Chamber of Commerce”, “Chartered”, “Co-operative”, “Fund”, “Imperial”, “Insurance”, “Municipal”, “Mutual Fund”, “Royal” and “Trust”.

​

Types of Companies

​

• Company limited by shares

• Company limited by guarantee

• Unlimited company

• Restricted purposes company

• Segregated portfolios company

​​

Economic Substance Requirements

​

The Economic Substance Requirement (ESR) has been introduced in the BVI in January 2019. Companies and partnership (except for partnerships that do not have the status of a legal entity) in BVI carrying out Relevant Activities will fall under the scope of ESR. If a company or partnership is a tax resident in a jurisdiction outside the BVI, it does not fall within the scope of the new rules.

The list of Relevant Activities are as follows:

 

1. Banking business

2. Insurance business

3. Fund management business

4. Finance and leasing business

5. Headquarters business

6. Shipping business

7. Holding business (pure equity holding entities)

8. Intellectual property (IP) business

9. Distribution and service centre business

Legal entity will be treated as carrying out a relevant activity in the BVI during any financial period in which it receives income from that activity. If no income is received, the legal entity will not be considered as carrying
out a relevant activity.

A legal entity that carries out the above relevant activities in the BVI while being non-resident in a jurisdiction outside the BVI must be directed and managed in the BVI, have an adequate number of suitably qualified employees who are physically present in the BVI, incur adequate expenditures and have appropriate premises. Additional requirements are imposed on companies engaged in the business of intellectual property.

Having direction and management in the BVI means having an adequate number of board meetings held in the BVI, a quorum of directors physically present in the BVI, an adequate level of expertise among board members and the keeping of board meeting minutes in the BVI.

An entity must present a tax residence certificate from the competent authority of the jurisdiction (or other document confirming payment of income tax on the activity abroad) to the BVI tax authorities for the relevant financial period. It is possible that an entity may be exempt from fulfilling the BVI legislative requirements if the company carrying out the relevant activity in the BVI is non-resident in another country and pays income tax on all its activities in that country (e.g. through a branch in that country).

​

Common uses of BVI IBCs

​

Holding of assets and properties and sometimes intellectual property rights

• International trading

• Holding of shares in companies in other jurisdictions

• E-commerce and online platform

• To own ships vessels allowing ship registration under the BVI flag

• Holding of bank accounts, investment portfolios and other financial instrument

​

Premier Services

​

Premier specialises in providing professional services whether your need is to minimize cost, grow your business or protect your wealth. We help you setting up the right structure through our associates whether it is BVI or other jurisdictions. The solutions we provide in collaboration with our close BVI associates are adapted to your needs and are smartly structured.

​

• Our expert services include:

• ​Incorporation and registration

• Directorship services

• Provision of registered office address

• Professional advisory and structuring services

• Secretarial and Administrative services

• Bookkeeping and accountancy services

• Tax Consultancy

• Re-domiciliation and migration

• Liquidation and winding Up

​