Starting a fund for the first time can be daunting, but choosing the right jurisdiction can make all the difference.
Guernsey stands out as a jurisdiction of choice for first-time fund managers, offering a unique blend of benefits that streamline the fund establishment process and provides a robust framework for growth.
Regulatory Excellence and Flexibility
Guernsey boasts a globally recognised regulatory environment that is both robust and adaptable. The Guernsey Financial Services Commission (GFSC) offers various fast-track regimes, ensuring a swift and efficient registration process tailored to different investor / fund manager needs. This flexibility is crucial for first-time managers seeking to navigate regulatory requirements with ease.
Tax Efficiency
Guernsey provides a tax-neutral platform for investment funds, making it an attractive destination for international investors. Guernsey does not levy any VAT, capital gains tax or inheritance tax* so fund managers can focus on growth, subject to meeting certain criteria.
Experienced Service Providers
Guernsey is home to a wealth of world class service providers, including legal counsel, administrators, and auditors. This expertise is invaluable for first-time fund managers needing guidance and support in setting up and running their funds efficiently.
Speed to market
Guernsey’s regulator is pragmatic and efficient, processing registration requests within, typically, just two weeks.
Competitive Fees
Understanding the cost structure is essential for first-time fund managers.
Here’s a breakdown of the typical fees associated with establishing and maintaining a fund in Guernsey, assuming a regulated, closed-ended GP / LP structure*:
| On-boarding / One-Off fees (for FY 2024, subject to RPI) | GBP |
| Guernsey legal counsel: | TBC |
| Onshore legal counsel: | TBC |
| Tax advice: | TBC |
| Administration on-boarding fee: | TBC |
| Guernsey Registry incorporation fee – General Partner (limited company): | £100 |
| Guernsey Registry establishment fee – Fund (limited partnership): | £350 |
| GFSC Application fees – General Partner (limited company): | £2,925 |
| GFSC Application fees – Fund (limited partnership): | £4,550 |
| Bank account opening fees (bank dependent): | TBC |
| Annual service fees (for FY 2024, subject to RPI) | GBP |
| Administration Fees: | TBC |
| Registry Annual Validation fee – General Partner (limited company): | £1,000 |
| Registry Annual Validation fee – Fund (limited partnership): | £500 |
| GFSC Annual Fee – General Partner (limited company): | £2,095 |
| GFSC Annual Fee – Fund (limited partnership): | £4,020 |
| ODPA fee: | £50 |
| Audit fee: | TBC |
| Bank charges: | TBC |
| Non-executive director fee: | TBC |
| Insurance premium: | TBC |
Proven Track Record
Guernsey has a long history of successfully supporting investment funds, providing a stable and reliable environment for fund managers.
Why Guernsey for First-Time Fund Managers?
Choosing Guernsey as your fund domicile ensures a seamless setup process and provides a solid foundation for growth.
#GuernseyFinance #InvestmentFunds #FirstTimeFundManagers #FundManagement #RegulatoryExcellence
*This is not advice, please seek an independent opinion from a professional tax advisor
*This fee breakdown is non-exhaustive, other fees may be applicable depending on your type of structure
References:
https://www.guernseyregistry.com/companyfees
https://www.guernseyregistry.com/article/4483/Limited-Partnership—Fee-Information
