Explore Countries for Living & Doing Business
Find and compare the best jurisdictions for your business
Find and compare the best jurisdictions for your business
Compare with other jurisdictions or get in touch for expert guidance.
Channel Islands jurisdiction for funds and captive insurance
Region
WESTERN EUROPE
Corporate Tax
0%
Setup Time
2 weeks
Currency
GBP
Guernsey, a Crown Dependency in the English Channel, has developed substantial financial services and investment management industries. The island's company registration framework and regulatory environment support sophisticated business setup for wealth structuring.
With a population of 63,000, Guernsey offers island living with British character. English is the primary language, with Norman French officially recognized. The maritime climate is mild but variable.
Healthcare is provided through public services with UK emergency arrangements. Safety is excellent with minimal crime. The cost of living is high, with housing particularly expensive. The small community offers quality of life but limited amenities.
The island attracts financial services professionals and those seeking Channel Islands lifestyle.
Corporate tax is 0% for most companies, with 10% for regulated financial services and 20% for property income. Personal income tax is capped at 20%. No VAT, capital gains tax, or inheritance tax applies.
The Guernsey pound is at parity with sterling. The economy depends heavily on financial services, insurance, and investment management. The Guernsey Financial Services Commission provides respected regulation.
Company registration through the Guernsey Registry is efficient. Various structures serve different purposes including standard companies, cells, and protected cell companies. Foreign ownership is unrestricted.
Company formation completes within days. Minimum capital requirements are minimal. Annual compliance includes filing returns.
The GFSC has established regulatory frameworks for virtual asset service providers. Guernsey was among early jurisdictions providing clarity for crypto license applications within appropriate risk frameworks.
The approach is regulatory but proportionate, attracting established crypto businesses seeking legitimacy.
The Alderney Gambling Control Commission (part of the Bailiwick though on Alderney specifically) provides gambling licensing, not Guernsey itself. Operators seeking gambling license access the Alderney framework.
Geographic limitations and small population mean Guernsey suits specific financial services operations rather than general commerce. Air connections are limited. The cost of doing business is significant.
Banking access is available through Channel Islands banks and UK institutions with CI presence. Professional services are highly developed for financial services.
Guernsey suits investment funds, insurance, and wealth management structures seeking regulatory quality for their business setup.
Local: LLC
Local: Ltd
Local: Foundation
Local: Trust
| Corporate Tax Rate | 0% |
| Personal Income Tax Rate | 20% |
| VAT / Sales Tax | 0% |
| Capital Gains Tax | 0% |
| Withholding Tax | 0% |
| Reduced Corporate Tax Available | No |
| Non-Resident Withholding Exempt | Yes |
| Tax Treaty Network | Yes |
| Banking Access | HIGH |
| Financial Privacy | HIGH |
| Currency Controls | NONE |
| Local Bank Account Required | No |
| Non-Resident Bank Account Allowed | Yes |
| Physical Presence for Banking | No |
| Banks Restrictive (High Risk) | No |
| AML Officer Required | No |
| MLRO Required | No |
| Compliance Officer Required | No |
| Data Protection Officer Required | No |
| Bookkeeping Frequency | Annual |
| Local Bookkeeping Required | No |
| Mandatory Audit | No |
| License Required | Yes |
| Local Director Required | No |
| Local AML Director Required | No |
| Local Legal Address Required | Yes |
| Local Physical Office Required | No |
| Capital Maintained in Account | No |
| Compliance Program Required | Yes |
| Travel Rule Compliance | FATF Travel Rule |
| Business Plan Required | Detailed business plan with risk assessment required |
| Personnel Required | Directors, MLRO, Compliance Officer |
| Insurance Required | No |
| Remote Incorporation Possible | Yes |
| 100% Foreign Ownership | Yes |
| Min. Shareholders | 1 |
| Min. Directors | 1 |
| Shareholder/Director Same Person | Yes |
| Registry Public | No |
| Registry Access | GFSC maintains private register of licensees |
| Renewal Period | Annual |
| Accounting Filing Required | Yes |
| Accounting Filing Frequency | Annual |
| Financial Statement Required | Yes |
| Financial Statement Frequency | Annual |
| Accounting Audit Mandatory | No |
| Compliance Audit Mandatory | Yes |
| Technical Audit Mandatory | No |
| Corporate Income Tax Applicable | Yes |
| Dividend Tax Applicable | No |
| Capital Gains Tax Applicable | No |
| Territorial Tax Regime | No |
| VAT Applicable | No |
| Regulators | Guernsey Financial Services Commission (GFSC) |
| Licensing Fee Details | Part III VASP license under LCF Law 2022; fees under consultation for reduction in 2026 |
| Permitted Business Models | Exchange, Custody, Wallet services, Transfer services |
| Permitted Activities | Crypto-fiat exchange, crypto-crypto exchange, virtual asset transfers, custody/wallet services, fund administration |
| Restricted Activities | Privacy coins and assets designed to obscure transaction flow or parties are prohibited |
| Cross-Border Service Allowed | Yes |
| Physical Inspection Required | No |
| Derivatives Allowed | No |
| RWA Tokenization Allowed | Yes |
| App Store Listing Allowed | Yes |
| Crypto Custody Allowed | Yes |
| License Required | Yes |
| Local Director Required | No |
| Local AML Director Required | Yes |
| Local Legal Address Required | Yes |
| Local Physical Office Required | No |
| Required Share Capital | $0 |
| Capital Maintained in Account | No |
| Compliance Program Required | Yes |
| Travel Rule Compliance | N/A |
| Business Plan Required | Comprehensive business plan with compliance framework required |
| Personnel Required | Executive Director, MLRO, Key Individuals Certificate holders |
| Insurance Required | No |
| Remote Incorporation Possible | Yes |
| 100% Foreign Ownership | Yes |
| Min. Shareholders | 1 |
| Min. Directors | 1 |
| Shareholder/Director Same Person | Yes |
| Registry Public | Yes |
| Registry Access | https://www.gamblingcontrol.org - AGCC public register of licensees |
| Renewal Period | Annual |
| Accounting Filing Required | Yes |
| Accounting Filing Frequency | Annual |
| Financial Statement Required | Yes |
| Financial Statement Frequency | Annual |
| Accounting Audit Mandatory | Yes |
| Compliance Audit Mandatory | Yes |
| Technical Audit Mandatory | Yes |
| Corporate Income Tax Applicable | No |
| Dividend Tax Applicable | No |
| Capital Gains Tax Applicable | No |
| Territorial Tax Regime | No |
| VAT Applicable | No |
| Regulators | Alderney Gambling Control Commission (AGCC) |
| Licensing Fee | $17,500 |
| Licensing Fee Details | Category 1 (B2C): £17,500 first year, £35,000 annual renewal (banded by NGY up to £400,000 max). Category 2 (B2B): £17,500 first year, £35,000 annual. Investigation deposit £10,000. Associate Certificates: £35,000 first year, £50,000 renewal |
| Permitted Business Models | B2C (Category 1), B2B (Category 2), Associate Certificates for foreign entities |
| Permitted Activities | Online casino, sports betting, poker, bingo, lottery, all forms of remote gambling |
| Cross-Border Service Allowed | Yes |
| Physical Inspection Required | No |
| Player Fund Segregation | Yes |
| B2B/B2C Separate Requirements | Yes |
| License Required | Yes |
| Local Director Required | No |
| Local AML Director Required | Yes |
| Local Legal Address Required | Yes |
| Local Physical Office Required | Yes |
| Capital Maintained in Account | No |
| Compliance Program Required | Yes |
| Travel Rule Compliance | FATF compliant |
| Business Plan Required | Comprehensive 3-year business plan required |
| Personnel Required | Directors (fit and proper), MLRO, Compliance Officer, Company Secretary recommended |
| Insurance Required | Yes |
| Insurance Details | Professional indemnity insurance may be required depending on license type |
| Remote Incorporation Possible | No |
| 100% Foreign Ownership | Yes |
| Min. Shareholders | 1 |
| Min. Directors | 1 |
| Shareholder/Director Same Person | Yes |
| Registry Public | Yes |
| Registry Access | GFSC maintains public register of licensees at gfsc.gg |
| Renewal Period | Annual |
| Accounting Filing Required | Yes |
| Accounting Filing Frequency | Annual |
| Financial Statement Required | Yes |
| Financial Statement Frequency | Annual |
| Accounting Audit Mandatory | Yes |
| Compliance Audit Mandatory | Yes |
| Technical Audit Mandatory | No |
| Corporate Income Tax Applicable | Yes |
| Dividend Tax Applicable | Yes |
| Capital Gains Tax Applicable | No |
| Territorial Tax Regime | No |
| VAT Applicable | No |
| Regulators | Guernsey Financial Services Commission (GFSC) |
| Licensing Fee Details | Fees vary by license type; GFSC 2026 fees under consultation with 3.9% proposed increase. Banking/investment/fiduciary licenses available. No specific EMI/PI regime - would fall under general GFSC licensing |
| Permitted Business Models | Banking, Insurance, Fiduciary, Investment Management, Fund Administration |
| Permitted Activities | Banking, custody, fund administration, investment management, insurance, fiduciary services |
| Restricted Activities | Full banking requires specific authorization; certain activities require multiple licenses |
| Cross-Border Service Allowed | Yes |
| Physical Inspection Required | Yes |