Jersey-Registered Limited Liability Companies (LLCs) In Financing Transactions

Key takeaways

• Limited Liability Companies ("LLCs") offer flexibility and familiarity to investment fund, corporate and finance industry participants, particularly those in the US market.

• US federal tax 'check-the-box' treatment is possible.

• LLCs are expected to become more common in fund finance transactions over time.

Introduction

Jersey's position as a sophisticated leading international financial centre is underpinned by its flexibility to adapt and evolve to reflect the needs of industry participants. Limited liability companies ("LLCs") are a clear example of such flexibility, having been adopted into the Jersey corporate landscape in September 2022.