STATUTORY REQUIREMENTS OF A NEVIS COMPANY

Purpose and business restriction

1.   Nevis BC may be organized for any lawful business purposes, including, without limitation, the rendering of professional services by or through its members, managers, officers or agents, subject to and licensing or registration requirements applicable in any jurisdiction in which the services are rendered or in which such persons are licensed or registered.

2.   Company should not conduct banking, trust, insurance, mutual fund business unless it was properly licensed.

3.   Nevis BC can be used as a private Trust company (PTC) in – trustee in a Nevis Trust

4.   Company should not conduct any business within the jurisdiction of Nevis.

5.   There are no restrictions on doing business outside of Nevis except illegal activities or such activities that require additional licenses.

Powers of Company. A Cayman Islands Exempt company has all the powers of a natural person.

Legal System.  The legal system of Nevis is founded on English Common Law. However its corporate law is based on both Common Law and on the corporate legislation of Delaware (USA).   Nevis company law is Nevis Business Corporation Ordinance of 1984.

Registered Office Required. The company must maintain a registered agent on the island, who must be licensed by the Financial Services Regulatory Commission to provide such services.   A registered office address is also required.

Name Restrictions.  Name may be registered in any language, with your choice of suffix such as Inc, S.A., Limited, BV, SARL, KFT etc. BC name has to be in Latin characters.  The name may not be the same as or confusingly similar to an existing company.  Special permission is required for certain names, typically those implying a connection with financial services.

Suffixes to Denote Limited Liability.  There is no requirement to utilise a suffix to denote limited liability, although normally companies are incorporated to include the suffixes Limited, Incorporated, Corporation or their abbreviations.

Disclosure of Beneficial Ownership to Authorities.  No requirement.

Authorised and Issued Share Capital.  Nevis BC can issue registered shares, shares of no par value, bearer shares, preference shares, redeemable shares and shares with or without voting rights.

Nevis BC shares with par value may be denominated in any currency. Standard authorized capital of Nevis BC is US$100,000. However, there are no restrictions on the minimum or maximum authorized capital amount.

Managing Director.   Nevis BC managing directors may be only natural persons of any nationality and residency.

Directors.  Nevis BC directors may be either natural or legal persons of any nationality and domicile.

Secretary.  Nevis BC secretaries may be either natural or legal persons of any nationality and domicile.

Shareholders.  Nevis BC shareholders may be either natural or legal persons of any nationality and dmicile.

Taxation.  All BC's are tax exempt. There are no Nevisian taxes on dividends, income or capital distribution or wages whatsoever. Moreover, unlike many onshore jurisdictions, Nevis does not tax a BC for accumulated (but undistributed) earnings. The wealth of your BC can grow continually and will be free from Nevisian tax.

Financial Statements Required. 

Nevis BC must keep reports, including, where applicable, contracts and invoices. Reporting must reflect:

1.    All amounts received or expended by the company, and the reasons of income or expense.

2.    All purchase and sale transactions, as well as other transactions, assets and liabilities of the company.

3.    Reports of the Company must.

4.    Correctly explain all the transactions.

5.    Allow to determine the company's financial condition at any time and with sufficient accuracy.

6.    Allow to prepare complete reports.

Reporting should be kept for 5 years from the date of its preparation.

Reporting of the Company must be kept at the office of registered agent or in any other place.

The Company shall keep all minutes of meetings of shareholders, and records of actions taken by the decision of shareholders, minutes of directors' meetings and records of actions taken by them.

Reports should be kept in written or any other form, which can be converted into written within a reasonable period.

Audit is not required.

Economic Substance Requirements.  There is no economic substance requirements.

Whilst every effort has been made to ensure that the details contained herein are correct and up-to-date, it does not constitute legal or other professional advice. We do not accept any responsibility, legal or otherwise, for any error omission.