In 2004, Anguilla enacted the protected cell company act (PCC) which allowed a corporate entity to have separate cells which can function separately from each other. Moreover, the debt and or liabilities of one cell cannot be attributed to another cell without the express permission of the other cell owners. This is an attractive and useful feature for insurance/captive insurance companies, mutual funds and asset protection structures. However, PCC Companies are subject to specific licensing requirements. The license must be obtained prior to incorporation.

Anguilla PCC Key Features

  1. Companies engaged in insurance and other business as approved by the Commission are able to apply to be registered as protected cell companies
  2. An application for registration as an Anguilla PCC must include the company’s name, incorporation date, nature of business, and a statement from the articles of association stating that the company is a PCC, the name and address of the PCC’s registered address, a statement indicating that the company intends to administer protected cell accounts
  3. Anguilla protected cell companies must designate an Anguilla based registered agent and office
  4. Anguilla protected cell companies are allowed to create and issue more than one class of security for securities related to a particular protected cell account
  5. Protected cell companies which are not mutual funds are able to distribute assets or liabilities between two or more protected cell accounts and the company’s general account.

Anguilla PCC Legal Requirements

Anguilla PCC

Corporate Details

General

  • Type of entity:

PCC

  • Type of law:

Hybrid

  • Number of Cells

Unlimited

  • Registered Office

Yes

Share capital or equivalent

  • Standard currency:

US$

  • Minimum paid up:

10% of the Authorized capital

  • Shares types

Cellular and non-Cellular

Directors

  • Minimum number:

Two

  • Corporate Director

Not Allowed

  • Local required:

No

Company Secretary

  • Required:

Yes (must be a Anguilla Corporate Service Provider)

Annual Accounts, Audit, Return

  • Requirement to file accounts:

Yes, to the Commission

  • Requirement to file annual return:

Yes, to the commission

  • Permitted Business Activities

1. Insurance

2. Mutual Funds

3. Any other business activity approved by the commission

Anguilla PCC Tax Treatment

  1. An Anguillan PCC is exempted from stamp duty in respect of properties, shares and all transactions relating to its business
  2. Not liable for business tax on income derived outside Anguilla

Anguilla PCC Duration for Set up

Around 2 weeks

Advantages

  • Anguilla PCC as part of business structure is ideal for use in umbrella funds and captive insurance structures, because the losses of one cell will not have an adverse effect on the other cells
  • Anguilla PCC can limit the creditor exposure, the cells are independent and the assets of a particular cell can be applied to the liabilities of that particular cell only
  • Anguilla PCC is cost effective compared to forming various subsidies for different businesses
  • Anguilla PCC has an unlimited number of cells.

The Valsen Advantage

  1. End to end comprehensive service
  2. Speedy and efficient service
  3. Expert advice on structuring options
  4. Dedicated ongoing compliance support
  5. Extensive network pool of service providers