BVI Hedge Funds
BVI Fund Structures – BVI Business Companies
Most BVI investment funds are established as companies limited by shares. A separate legal entity from its investing shareholders, a BVI business company requires only limited liability for investors. The shareholders of a BVI business company have no direct legal or beneficial interest in any of the assets of the company which are instead legally and beneficially owned by the company itself.
Several benefits come along with structuring an investment fund as a BVI Business Company. The fund structure is very flexible, with no concept of “authorised capital” or “share capital” under BVI law. Additionally, shares do not need to have any par value or capital attributed to them. The directors may also designate different series of shares within each class of shares without the need to amend the fund’s constitutional documents. This gives flexibility to funds wishing to use series accounting techniques to achieve equalisation of performance fee allocations among shareholders.
The BVI Business Company Act (BCA) also allows private, professional or public funds to be structured as Segregated Portfolio Companies (SPC). An SPC is a single company with the benefit of statutory segregation of assets and liabilities between segregated portfolios established within the company. SPCs are popular for multi class or umbrella funds in which two or more segregated portfolios use different investment strategies.
Our fund services
Our Business Development Managers will guide you through the whole process – from choosing which jurisdiction is best for you, to obtaining your fund license and day-to-day management.
Our services include:
- Advice and assistance in setting up your offshore fund
- Ongoing support, from day-to-day administration to assistance with corporate, legal and tax matters
- Fund accounting and valuation
- Risk management and compliance services
- Domiciliation and office rental (if required)
- Audit services