Advantages and disadvantages of BVI company registration
- BVI company registration is cost-effective and straight forward. There are no minimum capital requirements and the process can be completed in one week;
- BVI has one of the most flexible offshore corporate structures available to international business people because:
- BVI government has implemented a 0% tax rate on corporate taxes for offshore entities;
- There are no statutory requirements for a BVI offshore entity to state its company’s objectives or its legal structure;
- There are no mandatory requirements for filing of company’s audits, taxes or financial information.
- Only one director and one shareholder is required for registering a BVI company. Corporate shareholders are permitted, and shareholders and directors can be of any nationality;
- BVI was recently added to the OECD white list after complying with various OECD guidelines, and signing 16 tax information exchange agreements (TIEAs). The BVIs therefore benefit from a strong global reputation;
- A company in the BVIs is an excellent way for entrepreneurs to legitimately book tax-exempt international profits;
- There are minimal maintenance requirements following registration of a BVI company. These entities are not required to submit annual financial statements or tax returns to BVI authorities;
- Healy Consultants can open corporate bank accounts around the world to support BVI business registration. Healy Consultants works with world class banks such as HSBC, Standard Chartered, and Citibank;
- A BVI Business Company is not permitted to own property or trade in the BVI;
- Certain activities to be undertaken by a BVI company require a license (e.g. banking, insurance, trust management, or investment advice services). For more information on BVI licensed business activity regulations, visit the British Virgin Islands Financial Services Commission;
- BVI’s economy is largely dependent on tourism and financial sector. As a result, any entrepreneur willing to invest in an avenue other than these is likely to face numerous hurdles in the BVI market, such as i) lack of quality workforce for their required business as well as ii) an inadequate consumers base for their products, resulting in a poor market penetration.