GUERNSEY OFFSHORE COMPANY INFORMATION

Guernsey is somewhat overshadowed by its neighbour Jersey. Guernsey provides a base for many of the world's respected financial institutions. This type of company can be used for all types of purposes including investment and holding. Disclosure of the beneficial owners is required to the Guernsey authorities.

For a full copy of our datasheet please do not hesitate to contact us on telephone number +350 200 76651 or simply click here to email us.

ADVANTAGES	Although in some respects overshadowed by its close neighbour, Jersey, Guernsey provides a base for many of the world's most respected financial institutions, particularly in the banking and trust field. Guernsey enjoys a high degree of respectability in the world's financial circles. Recently introduced legislation allows exempt companies to be managed and controlled from the island
CORPORATE LEGISLATION SOURCE	The Companies (Guernsey) Laws 1994 to 2001
COMPANY STATUS	Resident - Taxed at 20% of profits Exempt - Taxed at flat rate of £600 p.a.
USUAL MINIMUM CAPITAL	£2.00
COMPANY NAME	Prior approval required. Many words sensitive eg Bank, Trust etc. Must end 'Limited'
TIME TAKEN TO INCORPORATE	7- 13 days
ARE SHELF COMPANIES AVAILABLE	No
CAPITAL DUTY	0.5% (With a minimum of £50)
MINIMUM NUMBER OF SHAREHOLDERS	Two
ARE BEARER SHARES / SHARES OF NO PAR VALUE POSSIBLE?	No / No
DIRECTORS: MINIMUM NUMBER / CORPORATE DIRECTORS ALLOWED / LOCATION	One / Yes / No restriction
SECRETARY: MANDATORY / CORPORATE SECRETARY ALLOWED / LOCATION	Yes / Yes / No restriction
IS THERE A REQUIREMENT FOR A REGISTERED OFFICE / REGISTERED AGENT	Yes / No
IS THERE A REQUIREMENT BY THE AUTHORITIES PRIOR TO INCORPORATION OR PRIOR TO TAX STATUS BEING GRANTED	Beneficial ownership must be disclosed to the authorities prior to incorporation
INFORMATION AVAILABLE ON PUBLIC FILE	Directors, Shareholders, Registered Office, Share Capital
DOCUMENTS TO BE KEPT AT REGISTERED OFFICE	Register of Directors / Members / Secretaries / Minute Books
CORPORATE BOOKS AND SEAL	Both required and usually retained at the Registered Office
ACCOUNTS REQUIRED / FILED	Resident - Yes / Only for revenue authority Exempt - Yes / No
ANNUAL RETURN REQUIRED	Yes
WHERE ARE MEETINGS TO BE HELD	No restrictions
ANNUAL FEES PAYABLE TO THE GOVERNMENT: TAX / ANNUAL RETURN FILING FEE	£600 / £100
DOUBLE TAX TREATIES	UK and Jersey only
GOVERNMENT DUTIES PAYABLE	Exempt duty of £600 becomes due on 31 January as well as the Annual Return which has a fee of £100 with a late filing penalty of £10 in February, £30 in March and an additional £50 for each month thereafter. Strike off for non-payment will take place on 31 July of the same year

GUERNSEY CELL COMPANIES

There has been substantial growth in the use of captive insurance companies based in offshore locations with a strong regulatory framework. The captive insurance company insures the risk of its parent company and other members of the group. This idea meets the needs of groups wishing to have intra-group insurance arrangements.

In certain cases a company wishing to provide for itself an in-house captive insurance facility is not large enough to warrant its setting up. Hence the use of the Cell Company. The share capital of the company is divided into cells and other like-minded companies each take a cell. Severally their business would not warrant the use of a stand alone captive insurance company, together however, they form a viable operation.

The international separate arrangements avoid cross-liability of one shareholder to the other shareholders.

The main characteristics of a Protected Cell Company are as follows:

1. A Protected Cell Company is a single legal entity. The creation of a protected cell does not create a separate legal person from the company.

2. Protected cells are created within the capital structure of the Company in order to segregate and protect the assets within that cell from claims which are unrelated.

3. In addition to protected assets it will also have general assets unrelated to particular cells.

4. Creditors who have contracted with the Protected Cell Company in respect of one particular cell only will, either: (a) only be able to make claims against the assets of that cell or (b) be able to make claims both against the assets of that cell and against the general non-cellular assets of the company.

5. If the Protected Cell Company does not stipulate that it is contracting in respect of one (or more) cells only, its general assets may be called upon to meet its obligations.

6. It is the responsibility of the Protected Cell Company to inform all persons with whom it enters into contracts that they are dealing with a protected cell company.

From a regulatory perspective it must be emphasised that all insurance-related Protected Cell Companies will be covered by the Guernsey Insurance Business Law. They will therefore still be subject to the normal capital, solvency and regulatory requirements. Each Protected Cell Company will need to demonstrate adequate and acceptable assets to supports its overall retained exposures and premium volume. Beyond solvency the main regulatory concerns will be to fully understand each such operation and to be able to have complete confidence in the management of each company to carry on its business in accordance with the plans filed with the Superintendent of Insurance.

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