BVI company bank account in Singapore: A gateway to international business

Singapore has earned long-standing recognition as a global financial hub, drawing businesses from around the world. Its robust banking system, stable economy, and favorable business environment make it an ideal location for companies to establish their presence. In recent years, businesses have increasingly embraced the trend of incorporating offshore companies, with a popular choice being a BVI (British Virgin Islands) company. This article examines the advantages of setting up a BVI company in Singapore, with a particular focus on the benefits and setup costs.

Overview about BVI company bank account in Singapore

Facts about BVI company bank account in Singapore

The BVI (British Virgin Islands) boasts a well-regulated financial services sector, supervised by the BVI Financial Services Commission. This oversight extends to various financial activities, including banking and insurance, ensuring the integrity and stability of the industry.

The BVI's reputation as a global leader in international finance can be attributed, in part, to the introduction of the International Business Company Act in 1984. This legislation has solidified the BVI's position as a prominent international financial center, attracting businesses from around the world.

Facts about BVI company bank account in Singapore

In terms of banking, the BVI maintains strict control over bank licensing. As a result, there are currently six commercial banks and one restricted licensed bank operating in the jurisdiction. Among these institutions, the FirstCaribbean International Bank stands out as a popular choice for offshore ventures and businesses seeking reliable financial services.

Some convincing reasons to consider Opening a Business Bank Account in BVI

1. Convenience: When it comes to opening a business bank account in BVI, personal visits or signatory travel are not required. This streamlined process eliminates the need for physical presence, making it easier and more convenient for businesses to establish banking relationships.
2. Reasonable Deposit: BVI banks typically require a reasonable deposit for offshore bank applications. This reduces the financial burden on businesses and makes banking services more accessible, particularly for startups and small to medium-sized enterprises.



Reasonable Deposit

3. Fast Approval: The BVI banking system is known for its efficient approval process. Businesses can expect a prompt response when applying to open a business bank account, allowing them to swiftly commence their operations and manage their finances effectively.
4. Versatility: Opening a business bank account in BVI is straightforward, whether your company is involved in trading, consulting, or functioning as a holding company. The system accommodates various business activities, providing flexibility and ease of operation.
5. High Reputation: BVI companies enjoy a strong reputation, which is particularly beneficial when working with Electronic Money Institutions (EMIs). These institutions often prefer partnering with BVI companies due to their solid standing and credibility in the international business community.

In conclusion, the BVI banking system offers numerous advantages for businesses looking to establish a presence in this renowned international financial center. From the convenience of remote account opening to reasonable deposits and fast approvals, the BVI presents an attractive option for companies seeking reliable and versatile banking services. Furthermore, the jurisdiction's high reputation enhances its appeal as a trustworthy partner for Electronic Money Institutions and other financial service providers.

Setting up a BVI company in Singapore

The procedure of establishing a BVI business in Singapore is simple and incorporates the benefits of both jurisdictions. Engaging the services of a reputed corporate service provider with knowledge of offshore company incorporation is the first step. They will lead you through the required steps while making sure you follow all local rules and regulations.

Step 1: Preparation for Establishing a BVI Company in Singapore

To initiate the process of setting up a BVI company in Singapore, Singaporean residents can reach out to our office through various means of communication, including email, phone, website, or by simply clicking on the following link: https://www.offshorecompanycorp.com/about-us.

Our experienced advisory team will provide guidance on selecting the appropriate type of British Virgin Islands (BVI) company that aligns with your business activities. They will also verify the eligibility of your desired company name and provide information on the United Kingdom's obligations, taxation policies, and financial year.

Step 2: Selection of Type and Services for Your BVI Company

Choose the most suitable entity type for your business objectives and consider availing the recommended services for your BVI company. These services may include:

• Bank account setup
• Nominee services
• Serviced office solutions
• IP (Intellectual Property) & Trademark registration
• Merchant account setup
• Bookkeeping services

Our team will assist you in understanding the benefits and relevance of each service option to ensure they meet your specific requirements.

Step 3: Payment and Ownership of Your Preferred BVI Company

Once you have made your selections and finalized the services you wish to avail, you can proceed with the payment process. Upon completion of the payment, you will gain ownership of your chosen BVI company, allowing you to commence your business operations confidently.

In summary, the process of setting up a BVI company in Singapore involves three key steps. The initial step involves preparation, wherein our advisory team assists with selecting an appropriate BVI company type and providing essential information. The second step entails choosing the desired services for your BVI company, tailored to your business needs. Finally, the third step involves making the necessary payment to officially establish and own your preferred BVI company.

BVI company setup cost

The expenses associated with establishing a BVI company in Singapore are influenced by various elements, including professional fees, government charges, and continuous maintenance costs. It is vital to collaborate with a reliable corporate service provider who can offer a clear breakdown of the expenses involved. Generally, the setup costs for a BVI company in Singapore may encompass the following:

1. Incorporation Fees: These fees encompass the procedures involved in registering the BVI company in Singapore. They include the preparation of essential documents, government charges, and administrative expenses.
2. Corporate Service Provider Fees: Engaging the services of a corporate service provider is essential to ensure a seamless company incorporation process. Their fees generally cover professional guidance, document preparation, and ongoing support for compliance and administrative tasks.
3. Registered Office and Secretary: A registered office and secretary are mandatory requirements for a BVI company operating in Singapore. The costs associated with these services may vary depending on the chosen provider and the location of the office.
4. Annual Maintenance Fees: Ongoing compliance obligations, such as filing annual returns, preparing financial statements, and paying filing fees, involve additional costs. It is important to consider these maintenance fees when evaluating the overall setup cost.

It is advisable to consult with a reputable corporate service provider who can provide a detailed breakdown of the costs specific to your BVI company setup in Singapore. They can guide you through the process and help ensure compliance with all relevant regulations.

Benefits of setting up a BVI company

Many advantages of the BVI are shared by other jurisdictions, such as the use of the English language, absence of currency exchange controls, adoption of the US dollar as currency, stable democracy, and a common law legal system with final appeal to the Privy Council in London. However, the BVI offers additional advantages:

1. Taxation: The BVI has no income tax, corporation tax, capital gains tax, wealth tax, or similar fiscal laws. Utilizing a BVI company as an intermediary holding company can create tax-neutral layers within the corporate structure, providing tax optimization opportunities.
2. Speed: Subject to meeting the necessary KYC requirements, BVI companies can be incorporated swiftly through licensed registered agents using the BVI's online electronic interface, usually within two days.
3. Names: BVI companies can be incorporated with foreign character names (e.g., Chinese names) in addition to their English names.
4. Cost: BVI companies are comparatively affordable compared to other premium jurisdictions like Cayman and Bermuda, as well as mid-shores like Hong Kong or Singapore. The incorporation of a standard BVI company typically costs around US$1,750, inclusive of disbursements.
5. Confidentiality: The BVI does not require the public filing of the register of directors or the share register of a company. While corporate confidentiality safeguards exist to prevent abuse in relation to money laundering and international crime, law-abiding companies can operate with privacy.
6. Corporate Flexibility: BVI company law provides maximum flexibility consistent with common law legal systems. BVI companies can undertake any lawful act or activity, with no strictures regarding corporate benefit. The economic substance regime mandates entities undertaking relevant activity, not tax resident outside the BVI in a suitable jurisdiction, to maintain adequate substance in the BVI.
7. Capitalization Requirements: The BVI does not impose "thin capitalization" rules or general maintenance of capital requirements. As long as a company maintains cash flow and balance sheet solvency, there are no limitations on distributing assets to shareholders through dividends. A BVI company is explicitly empowered to provide financial assistance to a third party for acquiring its own shares.
8. Joint Ventures: BVI companies can adopt specific provisions in their corporate constitutions to abrogate the common law duties of directors to act in the best interests of all shareholders in a joint venture. This flexibility has made BVI holding companies an attractive choice for structuring international joint ventures.
9. IPO Ready: BVI companies are widely used as listing vehicles in international capital markets. Shares in BVI companies are listed on stock exchanges in London (LSE and AIM), New York (NASDAQ and the Big Board), Toronto, Hong Kong, Singapore, and other major markets.
10. Debt Financing: BVI offers a quick and simple system for secured creditor registration, facilitating the leveraging of assets when necessary to raise capital. The BVI also has a well-developed insolvency system, which is crucial for banks considering funding.



Debt Financing

11. "Light Touch" Regulation: Apart from specific industries such as investment funds, banking, and insurance, BVI companies generally do not require regulatory approval to conduct their affairs. The BVI aims to provide "light but effective" regulation to minimize unnecessary burdens. Investment funds are the most common regulated businesses, with specific carve-outs reducing the regulatory burden for low-risk funds.
12. Innovative Trust Structures: BVI trust law has been modified extensively to remove uncommercial common law provisions. The popularity of trusts has been driven by new and innovative products like VISTA trusts and private trust companies. Rules refining restrictions on applicable non-charitable purpose trusts and against remoteness of vesting have further enhanced the appeal of BVI trusts.
13. Commercial Court: The BVI Commercial Court efficiently handles company and high-value commercial disputes. Known for delivering high-quality judgments within an accelerated time frame, it avoids the delays and inconsistent decisions seen in jurisdictions lacking a dedicated dispute resolution center. The final level of appeal lies with the Privy Council in London, composed of UK Supreme Court Judges.
14. FinTech and Cryptocurrency: The BVI has become an attractive jurisdiction for initial coin offerings, crypto funds, and FinTech transactions. To encourage the development and utilization of innovative FinTech within a light-touch regulatory environment, the BVI has launched a regulatory sandbox.

While offshore structuring depends on the specific transaction or structure, the dominance of the BVI in the market suggests that BVI structures can cater to a wide range of needs for many individuals and businesses.