BVI companies are the investment vehicle of choice for
international business activity. There are over 465,000 active BVI
companies and, given the popularity of such companies, they are
often used in secured financing transactions. The BVI is a creditor
friendly jurisdiction and the process of taking and registering
security is straightforward. In addition, BVI legislation is robust
with a legal system based on English common law and a dedicated
commercial court. As a result, the legal system is stable and
attractive for lenders. This briefing will examine key aspects of
taking and registering security in the British Virgin Islands.
How to take effective security
Taking security over the shares or assets of a BVI company is
straightforward. Nonetheless, it is important to ensure in the
first instance that the company granting the security interest has
the requisite power and capacity and that the particular
transaction is properly approved and authorised.
