The new Nevis Business Corporation Ordinance (NBCO 2017) is another positive step in the evolution of the Nevis international financial centre in helping to create a transparent, competitive and high quality jurisdiction for financial product/service providers. We outline some of the features of this business friendly legislation and how it may impact financial product/service providers.
Firstly, it is important to note that all existing Nevis International Business Corporations (IBCs) validly registered under the old NBCO shall continue to be registered under the new NBCO. This creates a smooth transition to the new legislative system.
The NBCO 2017 introduces new provisions with respect to the registration of charges. All entities must explicitly indicate an intention to create a charge, the amount secured by the charge, and how the interest and fees on such amount are derived. The registration of a charge is optional but it is advised as only registered charges can be used as evidence in any legal action before the Nevis High Court.
Nevis International Business Corporations have the option of becoming tax resident, wherein a tax resident certificate will be issued by the Minister of Finance.
The new NBCO still maintains the protection of directors, officers, employees and shareholders of a corporation from being held liable for any corporate debts or obligations.
The names of corporations can now be written in characters using the Latin alphabet or any other alphabet. This business friendly provision eases the incorporation process and helps to widen the scope of clientele of the jurisdiction.
Regulations relating to corporate records and reports within the NBCO bring the reporting requirements of Nevis in line with international reporting standards.
Nevis has rapidly become one of the most convenient and favoured international financial centres in the world, through the enactment of the Nevis Business Corporation Ordinance. The recently revised legislation demonstrates how Nevis continues to take steps to improve the quality of the financial products and services offered by the jurisdiction. The accommodating and open business environment have made Nevis IBCs an exceptional product due to straight forward international financial centre regulations and ease of incorporation procedures. For more information on how Nevis can work with IBCs please contact us.