Jersey Company Formation Overview
Jersey is not part of the UK or the EU and has a certain degree of autonomy, with its own parliament, legislation, and tax service, but it complies with the decisions of the English parliament.
Registering a company in Jersey is beneficial to many entrepreneurs due to its tax neutrality. Businesses registered in this jurisdiction receive many benefits: a reduced tax burden, the opportunity to develop trade relations with Europe, legalization of business in an economic zone with a reliable reputation, and the possibility of going public. In addition, the island’s government has already signed 15 double taxation agreements.
Time to register a company
to 2 days
Average register a company timeline
Authorized capital
£2,000 is recommended
The registered capital
Tax rate
0%
Сorporate tax rate
When registering a company, it is important to comply with the legal provisions set out in the Companies (Jersey) Law 1991. Most often, IBC (International Business Company) type companies are registered on the island. Among the main areas of activity are trade, investment, financial, and IT services. The main requirements for their activities include compliance with AML/KYC procedures, financial reporting, and document storage at the local office. Doing business with residents is prohibited, and some activities require a license.
Country information: Jersey
| National currency | Pound sterling (GBP) |
| Official language | English |
| Credit rating | A |
Advantages of Company Registration in Jersey
Cost optimization.
The jurisdiction is attractive due to its tax system, which does not include such key taxes as corporate tax, capital gains tax, and stamp duty.
Development of business relations.
Information technology and financial services are well developed, and businesses are provided with all the necessary technical and infrastructure conditions. Many companies seek to register on the Isle of Man because of the opportunity to enter the EU and UK markets on favorable terms.
Support for innovative businesses.
The state supports the development of innovative technologies, blockchain and cryptocurrencies, and the gambling industry. Incubators are being created, grants are being provided to start-up entrepreneurs, and a support program for gambling entrepreneurs is in place.
Fast registration.
The jurisdiction requires AML/KYC procedures to be completed and all identification documents to be provided, but once a complete set of documents has been submitted, online company registration takes several days (48 hours).
Ready to Start Your Company in Jersey?
Our experts will accompany you at every stage of the opening process, ensuring its smoothness and efficiency.
Requirements for opening a formation in Jersey
- Local office. In order to comply with FATF regulations, the authorities have made it mandatory to have a local office.
- Issuance of shares. The issuance of shares (voting and non-voting, registered) and securities is permitted, but bearer shares are prohibited.
- Initial capital. The amount is not specified by law, but most often a minimum of £10,000 is required.
- Company structure. Main conditions: one director (two for public companies) and one shareholder (two for public companies), no residency requirements; the secretary cannot be a director; data is registered in the state register and updated annually.
- License. Licensed activities include banking, insurance, and investment funds.
- Full company name. It is prohibited to use words associated with the royal family (Royal) or to indicate (Bank, Finance, Assurance, Trust) without a license. For an international company, the name must be Ltd/SARL. Company registration fees in Jersey include a fee for reserving the name itself.
Corporate information
| Ready-made companies are available for purchase | Yes |
| Legal system | Based on English common law |
| Use of Cyrillic characters in company names | No |
| Local registered office required | Yes |
| Organizational and legal forms | Private limited company, public limited company, limited liability company |
| BPA in the company name | Limited liability company (LLC) |
| Local registered agent required | Yes |
Process for Opening a Company in Jersey
The company registration process takes up to two weeks. To conduct international business, the following steps must be completed:
Selecting the type of company to be registered
When registering a company on the Isle of Man, you can choose one of the following types of companies: LP, LLC, NMV, PLC, and hybrid. Before choosing a company type, familiarize yourself with the requirements: they vary in terms of the number of directors, secretary, reporting, and share capital.
Name
When choosing a suitable name for your business, you must take into account legal restrictions, namely:
Preparing the information
Before submitting your application, you need to check that you have all the necessary documents:
Submission of application to the Registrar
The application is submitted online via the website; the registration fee depends on the registration period and ranges from £100 to £500.
License
Certain activities, such as gambling, financial and insurance services, require a license.
Corporate Account
One of the requirements for certain types of structures is to have a bank account on the island. Only a company registered on the island can open an account, and only with confirmation of registration from the tax office.
Taxes
After receiving a certificate of company registration, you must register with the tax office.
In addition, companies submit annual reports on their activities and changes in beneficiaries to the Jersey Financial Services Commission (JFSC).
Types of companies in Jersey
This jurisdiction offers a fairly wide range of company types.
Each enterprise, taking into account the requirements for the structure and characteristics of its activities, can create:
- application for registration;
- proof of payment of the state fee;
- certificate of name reservation;
- Memorandum and Articles of Association, or in the case of a partnership, a Partnership Agreement;
- passport details of directors and founders with proof of residence;
- order appointing the manager/director;
- Minutes of the shareholders’ meeting;
- confirmation of the company’s address in the jurisdiction;
- business plan describing future activities.
Director and secretary
| Minimum number of directors | 1 |
| Residency requirement for directors | None |
| Director of legal entities permitted | Yes |
| Information provided to local agent | Yes |
| Information disclosed in the public register | Yes |
| Secretary required | Yes |
| Residence requirement for secretary | No |
| Qualification requirements for secretary | No |
| Legal entity as secretary | Yes |
Ready to Start Your Company in Jersey ?
Our experts will accompany you at every stage of the opening process, ensuring its smoothness and efficiency.
Jersey Companies Legislation
Company registration and compliance are governed by the Companies (Jersey) Law 1991, which has been amended many times to better regulate the process.
The Business Names Registration Act (Jersey) 1956, as amended in 1998, defines the possibilities and prohibitions for companies when choosing a business name.
The Financial Services Commission (Jersey) Law 1998 (the Commission Law) was enacted to enable the Jersey Financial Services Commission (JFSC) to supervise the financial market.
Separate legislation governs each type of company:
- The Limited Liability Companies (Jersey) Law 2018.
- The Limited Partnerships (Jersey) Law 1994.
- The Funds (Jersey) Law 2009.
Taxation in Jersey
This territory attracts investors with the following indicators:
- Corporate tax – 0%, but 10% for financial companies, 20% for real estate agents and those involved in mining, utilities, banking, trusts, and investment funds.
- There is no tax on capital gains, dividends, or inheritance.
- VAT is 5%, but only if the income is earned on the island.
Taxation
| VAT | 20 |
| Basic corporate tax rate | 0% for most businesses; 10% for the banking sector and retail trade |
| Capital gains tax capital | None |
| Exchange control | No |
| Detailed information on corporate tax rates | No capital gains tax or inheritance tax |
| Stamp duty | Yes |
Shares and share capital
| Standard currency for shares | Pounds sterling/US dollars |
| Beneficiary information disclosed | No |
| Minimum issued capital | 1 pound sterling |
| Bearer shares permitted | No |
| Authorized capital | £1,000 |
| Terms of payment of capital | No restrictions |
| Nominal value of shares | £1 |
| Possibility of issuing shares without par value | Yes |
Shareholder and beneficiary
| Minimum number of shareholders | 1 |
| Data entered in the public register | No |
| Residency requirement for shareholders | No |
| Beneficiary information disclosed | No |
| Beneficiary information disclosed to local agent | No |
| Legal entities are permitted as shareholders | Yes |
Reporting
| Reporting required | No |
| Open access to reports | No |
| Mandatory audit requirement | No |
| Annual declaration required | Yes |
| Public access to annual report | No |
| Reporting requirements | No |
Trademark registration
| Comprehensive TM training fee | £150 |
| Trademark registration fee | £300 |
| Trademark registration certificate fee | £350 |
| Additional registration fee per class | £250 |
FAQ about a Company formation in Jersey
How do I set up a company in the Isle of Man?
Company registration can be completed within a few days or even hours after submitting all documents and paying the fees.
How much does it cost to set up a company in the Isle of Man?
The cost of setting up a company depends on the type of company being registered. The amount of the fee can be found on the Registrar’s website.
How long does it take to register a company in the Isle of Man?
Standard company registration takes two days, but if you pay a higher fee, your business can be registered in as little as 2 hours.
Why do companies set up in the Isle of Man?
This jurisdiction is attractive to businesses because of its numerous advantages, including minimal tax charges, the ability to trade with the EU without paying customs duties, the legalization of gambling, and the use of cryptocurrencies.
What are the requirements for an Isle of Man company?
In accordance with local legislation, the Companies Act 1931 and the Companies Act 2006, the requirements for companies vary depending on the type of company, but the main ones include: identification of managers and owners, a mandatory registered office on the island, and a licensed agent.
