Guernsey at a glance
Guernsey is one of the EU jurisdictions founders most often use today, especially while the EU-wide 28th Regime (EU Inc) is still a proposal. Below are the verified essentials: company types, tax, capital, timing and whether you can set up remotely.
Company types in Guernsey
- Company limited by shares (Ltd) The standard non-cellular vehicle for trading or holding businesses, with liability limited to the unpaid amount on shares. Most sit at the 0% corporate tax rate.
- Protected Cell Company (PCC) A single entity with ring-fenced cells that segregate assets and liabilities. Guernsey invented this structure; popular for funds and insurance.
| Corporate tax | Guernsey runs the "zero-ten" regime: a 0% standard company tax covering most trading, service and holding companies, a 10% rate for specified regulated financial businesses, and 20% for Guernsey land, utilities and large retail. No capital gains or inheritance tax. From 2025, OECD Pillar Two applies a 15% minimum to large multinational groups. |
|---|---|
| VAT rate | No VAT and no GST. Guernsey does not operate any VAT or GST (a 5% GST has been proposed but repeatedly dropped). Customs and excise duties apply to imports, as the Channel Islands sit outside the EU VAT area. |
| Dividends & payroll taxes | The standard company rate is 0% (10% or 20% for specific regulated or property income), with no dividend withholding. Personal income tax is a flat 20%, and employer social insurance runs around 7%. |
| Minimum share capital | No minimum or authorised share capital; companies are commonly formed with a token amount (for example one GBP 1 share), in any currency. |
| Setup time | The registry can incorporate within 24 hours (standard), 2 hours or even 15 minutes (express), but in practice allow 1 to 2 weeks because a licensed corporate service provider must complete due diligence first. |
| Remote setup | Yes, fully remote, but incorporation can only be filed by a Guernsey corporate service provider (CSP) holding a fiduciary licence; founders cannot self-file. The CSP handles the registry application, registered office, resident agent and remote identity checks. |
| Director / residency | At least one director and one shareholder (one person can be both); no director need be Guernsey-resident, but every company must appoint a Guernsey resident agent (a resident director or a licensed CSP). No company secretary is required. |
| Banking options | Corporate accounts are opened with Channel Islands branches of major international banks, introduced through the CSP; KYC is heavy and usually the slowest step. Fintech multi-currency accounts are widely used. |
| Our formation service | from around €100 to €200 (estimated). You get a fixed quote in your free plan before you commit. |
Guernsey is a British Crown Dependency (the Bailiwick of Guernsey), self-governing and NOT part of the UK or the EU, outside the EU VAT area. It uses pound sterling and is a long-established offshore, funds and captive-insurance centre, and invented the Protected Cell Company. Its beneficial-ownership register is private.
How to register a company in Guernsey
Step by step, this is how a Guernsey formation actually runs:
- Appoint a licensed CSP. Incorporations are filed only by Guernsey corporate service providers holding a fiduciary licence; founders cannot self-file.
- Complete due diligence. Beneficial owners clear KYC with the CSP before anything is filed.
- File with the Guernsey Registry. Standard incorporation completes within about 24 hours to a few days; expedited slots exist.
- Registered office and records. The CSP supplies the registered office and keeps the statutory registers.
- Banking. Accounts open with Channel Islands branches of international banks via CSP introduction; KYC is heavy and can take weeks.
We handle each step with licensed local counsel, so the paperwork, registered address and filings are done correctly the first time.
What company formation in Guernsey costs
The registry fee is modest (around GBP 100 for standard service), but CSP formation packages typically run GBP 1,500 to 4,000 with annual administration of GBP 3,000 to 8,000. The annual validation fee adds a few hundred pounds. Substance and administration are where the money goes.
Form your Guernsey company in days
Tell us where you live and what you are building. Our formation service starts from around €100 to €200 (estimated); we confirm the right structure for Guernsey, give you a fixed quote, and form the company with licensed counsel.
Get your free planWho can form a company in Guernsey
Founders from outside the EU can own and run a Guernsey company, with the cross-border requirements handled for you. We flag any residency or local-agent rule for Guernsey up front, so there are no surprises.
Guernsey fits investment funds, insurance structures and private-wealth vehicles that want a 0% neutral base with respected regulation. Like Jersey, it is professional-grade infrastructure: overkill in cost and compliance for a normal operating business.
After registration: what Guernsey expects each year
An annual validation goes to the registry each year, beneficial-ownership data stays current with the CSP, and economic-substance rules apply to in-scope activities. The standard corporate tax rate is 0% (10% or 20% for specific regulated or utility income). Private companies do not publicly file accounts.
Guernsey and the 28th Regime (EU Inc)
EU Inc, the proposed 28th Regime, would let you register one company valid across all 27 EU member states. It is not law yet (expected around 2027-2028), so a Guernsey company is one of the ready options you can use today. Forming an EU company now also positions you to adopt EU Inc later, as we cover in how to prepare an EU Inc company. To weigh Guernsey against other countries, see company formation in Europe.