The British Virgin Islands (BVI) are a colony of the British Crown, and include about 40 islands. They are located in the Caribbean about sixty miles east of Puerto Rico. The main island is Tortola, whose capital is Road Town.

According to the Constitution of 1976, the BVI are independent from the United Kingdom, except for foreign affairs, defense, internal security, civil services and the administration of justice, for which the UK has kept the responsibility.

The BVI are a recognized international offshore center. Many other offshore jurisdictions were based on the laws of the BVI to draw up their own corporate laws.

In the BVI, there are two forms of offshore companies: the British Virgin Islands Business Company (BVI BC) and the British Virgin Islands Ordinary Resident Company whose regulation is closer to European standards.
The BVI BC is the most common type of offshore companies and is equivalent to a limited company by shares. Its development is regulated by the International Business Act. The company director has to be appointed within 30 days of its creation, and there is no requirement of residence and nationality of the shareholders and managers. It does not require a minimum capital, but there are costs for the creation of enterprises that depend on the company’s capital. A BVI IBC can not conduct business in the territory of BVI, except for special services (accountants, lawyers, …).

To conduct business directly in the BVI, it is advisable to opt for the British Virgin Islands Ordinary Resident Company which is authorized to carry out internal activities. This type of company is resident when most of the directors live in the BVI; it must have also a compulsory license.

The BVI are a place offshore in an absolute sense and allow any international operation (outside Europe). This area is popular for more than 30 years, however the rules came into

force in recent years to fight against tax havens has made the BVI place more challenged by the European tax services. Billing in Europe with the BVI should therefore be avoided .

The creation of a company in the BVI generally requires few days and does not require any minimum capital. The various companies that may be set up are:
• Limited Company by shares (the most common type in the BVI)
• Limited Company are not authorized to issue shares this is often the model of non-profit
• Limited Company authorized to issue shares: more flexibility
•Unlimited Company authorized to issue shares: consider the antity more “transparent”
• Unlimited Company not authorized to issue shares

Formation expenses : 1’200 – 3’000 CHF