Planning an undertaking for investment or international trade? If you want a share-based business structure, a Nevis Corporation, also known as a Nevis Offshore Corporation or IBC, may be a convenient structure for this purpose. Study the Nevis Business Corporation Ordinance 2017 and later amendments to discover the relevant legal basis.
Need foreign ownership? It is allowed. Your shareholders and directors don’t need to live in Nevis, either. You won’t need to establish and maintain your company locally by yourself; this is a mission officially entrusted to licensed local providers. You will need a local office, too, but the provider’s office will solve the problem.
Key Takeaways
- Find one shareholder and one director, and you can start forming the corporation.
- An individual or corporate shareholder can be based anywhere in the world and remain eligible. The same applies to directors.
- A Nevis company without a licensed registered agent and registered office is a no-go.
- What about beneficial ownership information? Don’t worry: it’s not part of the public register. Still, your local service provider will keep this information.
- A successful start of an international business or an asset holding undertaking is possible, but mind its tax position. It depends on what your business actually does; the tax residence of owners may play a role, too.
- Current basic formation package: from EUR 3,300.
How a Nevis Corporation Is Structured
A Nevis Corporation is owned by shareholders and managed by directors. Don’t confuse it with a Nevis LLC, where members run the show under an operating agreement.
The shareholder-and-director model is more traditional, and this is what we call a corporation. So when your investor or business partner expects to deal with a familiar corporate structure, a Nevis Corporation will be just right. An LLC may raise more questions.
The corporation has a document where you will find all the basic information, such as corporate name or authorized shares. It’s called the Articles of Incorporation (not to be confused with the LLC’s operating agreement).
You, as a foreign owner, will entrust the whole procedure of company formation to a licensed trust and corporate service provider. That’s very convenient: all filings with the Registrar of Corporations are handled without you lifting a finger.
Key Benefits of a Nevis Offshore Corporation
With dozens of offshore jurisdictions available, international entrepreneurs still find Nevis very attractive. Why so?
Flexibility adds to its business appeal a lot. Want to be a shareholder and director at the same time? You’re welcome. Want your friend’s company based somewhere in the Netherlands to hold shares in your Nevis corporation? The law supports your move.
Privacy, one of the most sought-after benefits, is too often confused with anonymity. But what happens if you refuse to tell your registered agent who owns and controls the company? They won’t be able to work with you. Be prepared to share this information with competent authorities as well if they require it. Want more anonymity? Well, not in Nevis.
Shares and corporate management can be very rigid, but Nevis keeps them flexible. You can issue different classes of shares and attach different rights to them, and authorized share capital can be expressed in a recognized currency.
In the present-day world, business people are too busy to travel half the world to Nevis just to set up a company, so remote incorporation is definitely an asset. Have your offshore company set up without stepping away from your day-to-day work.
Nevis Corporation Formation Requirements
How will your corporation work after the registration is over? There are aspects you should think about in advance.
Corporate Name and Registered Agent
Name is important. You can’t duplicate an existing corporate name or choose one that is confusingly similar to it. The name must also contain a corporate ending such as Corporation, Incorporated or Limited to show each authority and business partner what they’re dealing with.
Want something less ordinary? Use a non-Latin alphabet: this is allowed. However, don’t forget to provide an authenticated translation along with the documents.
The registered agent enters the picture at this stage to reserve the name you’ve chosen and file the Articles of Incorporation. The agent does play a role beyond an address on paper: they actually connect your offshore company with the local registry.
Your registered office, the mandatory official local address of the business, will be the agent’s office.
Your Articles of Incorporation state how many shares the company can issue, as well as their class and par value. The good news is that you can express your company’s authorized share capital in any recognized currency.
Planning bearer shares? That’s where bad news comes in: they are prohibited, so ownership has to be recorded instead.
You can name initial directors in the Articles if you want to. The formation documents will also specify who the incorporator and registered agent are.
Can your structure be changed later on? Absolutely. However, it’s usually much better to get the basics right from the start than deal with numerous amendments later on. Think of who will own the shares and manage the business, as well as the rights you want company shares to carry.
What Changes After Incorporation?
The certificate is issued; now the less glamorous part begins.
Does It Matter Where You Run the Company?
Do you manage and control your company in Saint Kitts and Nevis? In this case, the company is tax resident there, and the worldwide income assessed for tax purposes falls within the local tax system. Things are different if your company is managed and controlled from another country; if so, local taxation is generally limited to profits attributable to a permanent establishment in Saint Kitts and Nevis.
At present, the general corporate income tax rate is 25%. And be especially careful if your company had no transactions during the year: you still need to file an annual corporate income tax return.
Don’t forget about your own country of residence. It’s great if you have no reporting or tax obligations there, but it’s bad if you do and are unaware of it. Check it separately to sleep well at night.
What Records Have to Be Kept?
Thinking of throwing invoices and contracts into a digital drawer just to forget about them? Don’t. You should keep proper records that explain the financial position of the business clearly enough. The records should also show the company’s assets and liabilities clearly.
An offshore company may be associated with zero paperwork, but that is wrong thinking. Keep the shareholder register and minutes of shareholder and director decisions. Don’t discard your corporate records for at least five years. Tax-supporting records occupy a special place: the Inland Revenue Department wants you to keep them for at least six years after the relevant return was due.
You are under no obligation to keep your records in Nevis, which is convenient. However, give your registered agent and regulator access to them upon request.
Do You Need Formal Meetings?
Not necessarily.
You don’t want to gather all shareholders and directors around the same table? You don’t need to: just act by unanimous written consent. Written proxies are permitted, too.
All this definitely makes your international structure easier to manage, but paperwork is still there: make sure to properly document all decisions.
Nevis Corporation Incorporation Process and Timeline
Filing starts with KYC package preparation, and we can help you double-check each detail to avoid delays.
Going to be an individual owner? You will submit a passport and proof of address, as well as information about the source of funds or wealth and details of the business you are planning.
A corporate shareholder is associated with more paperwork, which may include incorporation documents and registers. Be ready to provide information about beneficial owners, too.
Certification or notarization? Sometimes required, and you can entrust this part to us. If your file is complete, registration is easy. You can usually become a company owner within just six days.
Once the process is over, the incorporation documents and certificate will be sent to you. If you need additional legalization or banking paperwork, expect a longer timeline.
Nevis Corporation Formation and Annual Costs
Need a basic company at an affordable cost? Here is the breakdown:
| Service | Current Cost |
|---|---|
| Basic Nevis Corporation formation package | From EUR 3,300 |
| Annual service from the second year | EUR 2,200 |
| Additional banking or special corporate services | On request |
When you buy a basic package, you actually pay for company registration, government fees, preparation of documents, a registered agent and office for the first year, and document translation/apostille where required.
Want a more complex structure or banking assistance? The bill can grow.
Conclusion
A Nevis structure can work well when you need a traditional share-based company for international activities. The important part is to match the structure with the way the business will actually be managed, taxed and maintained.
Want us to handle the formation and ongoing corporate services? Contact our team, and we will help you choose the setup and prepare the documents.
Frequently Asked Questions About Nevis Corporations
Can foreigners establish a Nevis Corporation?
Yes. Foreign individuals and corporate entities can own a Nevis company, and there is no general requirement for shareholders or directors to relocate to the island.
One shareholder and one director are enough. The same person may hold both roles, which makes the structure suitable for a single owner as well as a larger business.
Beneficial ownership information is not part of the ordinary public register. However, the licensed service provider must keep ownership and control information and make it available to competent authorities when legally required.
How long does incorporation take?
The current estimated registration time is about six days once the provider has received a complete KYC file. Certification, legalization, banking arrangements or missing documents can extend the overall process.
