Company in the Isle of Man
Company in the Isle of Man
The Isle of Man is a typically touristic land located in the Irish Sea. It is not fully dependent on the United Kingdom, except for foreign affairs and defence, for which the UK Government is responsible. The country is also not part of the European Union, but belongs to the customs territory of the European Community, which significantly facilitates numerous international contacts. Open a business in the Isle of Man is a good investment.
Company formation in the Isle of Man
The Isle of Man’s partial dependence on the United Kingdom have mainly influenced the fact that it has the same legal system – common law. Therefore, among the legal forms of doing business in this country we can distinguish a limited liability company (LLC) or a limited partnership (LLP).
In 2006 The Isle of Man underwent a legal revolution, mainly in the field of tax law but also commercial law. This resulted in the creation of one of the offshore “tools” – New Manx Vehicle (NMV). This name is used to describe a package of changes that took place on the Isle of Man and which were related to abolishing the distinction between private and public companies, simplifying company re-registration and the merger procedure. It has also become easier to keep financial records of companies.
In addition, the name serves to define a new form of running and opening a company.
Company registration in the Isle of Man
In connection with the introduction of the Manx Corporate Vehicle, the company registration systems were modernised. Currently, the standard company registration takes about 48 hours. There is also the option of faster registration for an additional fee.
Open company in the Isle of Man form a distance
It is possible to open a company on the Isle of Man at a distance. This is facilitated by the fact that most registrations are made online. However, please note that the company must have a physical address on the Isle of Man, where the company’s books and records will be kept, and correspondence will be sent. It will be helpful in this regard to use virtual offices.
The law in the Isle of Man does not provide for an obligation to have a resident member on the board of directors. The situation changes when you want to set up a bank account for a company in one of the banks on the Isle of Man, then a resident must sit on the board of directors.
Taxes on the Isle of Man
Establishing a company on the Isle of Man will entail many tax benefits. It is a jurisdiction with a zero corporate income tax rate. Banking and insurance companies are excluded from this regulation and are taxed at the level of 10%.
In addition, the island’s regulations do not require financial statements. However, accounting records must be kept at the company’s headquarters and must allow for the preparation of financial statements if necessary.
Ready made company on the Isle of Man / purchase of a company in the Isle of Man
It is also possible to buy a company on the Isle of Man that is already registered. As a rule, a ready made company on the Isle of Man exists for a relatively short time, has not conducted any activity before and was created for its subsequent sale. It is widely recognized that buying a company that already exists and that has cash flow can be a good way to start a business on the Isle of Man.
Are you interested in establishing a company in the Isle of Man or do you want to talk about it? Entrust this task to professionals. Contact us.