Marcus Cake

My previously article “The Isle of Man New Manx Vehicle - simple, more flexible, offshore and part of the EU for VAT purposes” provided an overview of the Isle of Man. It highlighted the attributes of the jurisdiction for internet businesses and the introduction of the “New Manx Vehicle” corporate structure (”NMV”). The NMV was designed to compete more effectively with the corporate structure offered by the British Virgin Islands. In 2004, the BVI incorporated 60,000 companies and the Isle of Man just 2,593.

The NMV will be available for incorporation from the 1st November 2006. Apparently, there is significant interest in the NMV. A ballott is being conducted to award the honour of being the first NMV  incorporated. Further information is available below.

Early interest in The New Manx Corporate Vehicle, Financial Services Commission, Press Release 13th October 2006

Extract:

Subject to Tynwald approval, the Companies Act 2006 will come into force on 1 November 2006.

The Financial Supervision Commission has decided to allocate the number 1 to an applicant for incorporation under the Companies Act 2006, selected randomly at a draw on the morning of 1 November 2006. Each incorporated company is allocated a number and considerable interest has been expressed in being the first company to be incorporated under the new legislation.

Mr John Aspden Chief Executive of the FSC, said “It is very exciting to see the level of prospective interest being shown in the new Manx corporate product. We thought the fairest way of allocating the first number was to pick the applicant randomly from a hat. This will happen on the day when the new Act comes into operation.”. Mr Aspden added that “it is difficult to gauge how many of the new style companies will be formed at the outset. However new incorporations of existing companies (under the Companies Act 1931) have recently been over 35% up on the same period last year, so the indications are very positive.”

The Commission will not be able to receive incorporation papers before the 1 November 2006 since the new legislation will at that stage not be in operation. However applications which are to be included in the draw will need to be submitted to Companies Registry by 10am on the day itself.

Further information on the launch of the new vehicle will be made via the Commission’s website, www.fsc.gov.im