Options for registering companies in Guernsey
Guernsey is a leading international finance centre known for its robust regulatory framework and fiscal neutrality. The standard corporate income tax (CIT) rate for most Guernsey resident companies is 0%, making it an attractive jurisdiction for international business. Companies and other legal entities are registered with the Guernsey Registry.
Guernsey offers international companies the following legal structures for establishing a local presence:
Limited liability company (Guernsey registered company)
- A private limited company is the most popular and flexible structure, suitable for most business types. It offers limited liability and tax efficiency.
- As a foreign owned company, it is a legal entity allowing full control by foreign investors or shareholders.
- This company is most often an LLC offering limited liability, ability to repatriate profits and maintaining parent company control.
- The liability of shareholders is limited to their share capital contribution.
- Can make use of Guernsey’s incorporation incentives for small to medium enterprises and foreign investors.
Foundation
- A Guernsey foundation is a distinct civil law structure, possessing separate legal personality like a company, but operating in a similar way to a trust.
- This legal arrangement where assets are held and managed for beneficiaries offers privacy, estate planning, tax benefits and protection of assets under fiduciary rules.
- Foundations are structured to meet Guernsey’s trust, tax, and inheritance regulations. They are often used for wealth management, succession planning and philanthropic purposes.
- It is administered by a Council, which owes its duty to the foundation itself, not to the beneficiaries.
Incorporated cell company (ICC)
- An ICC is a specialised entity allowing separate assets and liabilities for distinct cells.
- Unlike a Protected Cell Company (PCC), an ICC's cells are each a separate legal entity with their own constitutional documents and board of directors, providing enhanced protection for investors and contractual segregation.
- The structure is typically used for collective investment schemes, umbrella investment funds, and insurance vehicles requiring strong legal separation between different assets.
- The entity is compliant with Guernsey’s regulatory framework for financial services or insurance.
- The legal and regulatory framework governing cell companies is complex, requiring written consent from the Guernsey Financial Services Commission before incorporation.
Comparison of the common types of companies in Guernsey
Information verified against Guernsey Registry