BVI Corporate Law Is Very Friendly

By Mark Murray


The number one destination on earth for doing business is the British Virgin Islands. It ranks high in terms of business friendliness. Every year, millions of companies usually incorporate in BVI. That is because of BVI corporate law. This jurisdiction has the friendliest legal stipulations on earth. These have not been set to frustrate businesses. Instead, they exist for the sole reason of making business and commerce to happen in the most seamless manner possible. In many countries, businesses are frustrated by a myriad of legal issues that do not only make it hard to incorporate but also frustrate the daily running of business.

BVI taxation law is popular because of its friendliness. There is no one on earth who loves taxation. As a matter of fact, there are people who compare taxation to death. It should be noted that both of them are unavoidable so long as an individual is living on planet earth. America and most European nations have very unfriendly taxation rates.

In the British Virgin Islands, the taxation system is very business friendly. That is the reason why many businesses are migrating from different parts of the world to this jurisdiction. There are a number of taxation privileges that will be enjoyed by a BVI business. First and foremost, there is zero corporate taxation. Also, withholding taxation does not exist.

Virgin Islands incorporation laws favor businesses of all kinds. It has been said by the leading business authorities in the world that these islands offer the best place to incorporate a business. That is due to the fact that the whole affair does not take weeks or months. As a matter of fact, it takes a number of days.

One can start a limited company. This is the most popular type of business formation in Europe. The company will need to have a number of directors. There should also be minutes. Before a company is formed, there are some documents that will need to be presented to the registrar of companies. A memorandum of association is a must have document.

There is nothing like a one man company. A company needs to have at least two people. The most beautiful thing about the company is the limited liability aspect. This sets out the company as a different entity from the shareholders. Thus, no one will be sued for business debts. Other business formations in Virgin Islands are sole proprietorship and partnership.

The corporate law of BVI does not only deal with incorporation and taxation. The issue of contracts is also clearly addressed. There is no business that can exist in the world without entering into contracts. As a matter of fact, a contract is a legally binding agreement. The party who fails to honor the contract will need to pay the other party damages.

One should not deal with legal issues all by himself especially if he is not a legal expert. Doing so will lead to regrets at the end of the day. To be on the safe side, one should involve a competent and highly experienced attorney every step of the way. This professional will offer much needed legal guidance and advice.




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