This page outlines the criteria for businesses looking to establish in or relocate to Jersey. For information about the process, see Process for moving your business to Jersey.
The Criteria for Businesses Looking to Establish in Jersey
Jersey has a 0%-10% business tax regime which relocating businesses may benefit from, therefore the Island will look for the added value that a business and/or its employees can bring to Jersey.
Any business looking to relocate to and/or establish in Jersey will need to fulfil most of the criteria outlined below. However, this does not guarantee the success of an application, other considerations are also taken into account such as reputational concerns for the Island and relevant legislation/regulation.
Criteria for businesses looking to relocate to Jersey:
- Business income tax payable by the company. This only applies for:
- If the business does not pay business income tax (0%), then a key factor will be personal income tax payable in the Island by resident principals and staff;
- The creation of jobs for islanders; and
- Training and development opportunities for islanders; and
- Graduate and school leaver opportunities; and
- The use of Jersey firms for work required locally (IT, legal, accountancy, HR, etc.); and
- Corporate Social Responsibility (showing a commitment to the local community).
What Information is Required in your Business Licence Application
You will need to submit an application form, a supporting business plan for the Jersey business and additional supporting documents. There are a number of criteria which need to be addressed within this plan as well as specific information regarding your existing business and the proposed Jersey business, including, but not limited to;
- An executive summary;
- A brief background to the business;
- A plan for the business in Jersey (what makes the business different, why the business wants to be in Jersey, staffing, etc.)
- Audited accounts for the existing business (3 years if possible);
- The proposed financials for the new Jersey business (for years 1, 2 and 3) clearly showing turnover, staff costs and operating profit; and
- The staffing required; including those to be employed locally and any existing staff that need to be relocated (see the section below Relocating Yourself or Key Staff with the Business). You should include; job descriptions, CVs and salary levels, and whether they are recruited at start up or in years 1, 2 or 3, etc.
Relocating the Business Principal(s) and/or Key Staff
If the principal(s) of the business or staff need to move to the Island to run the Jersey company, you will need to request a ‘Licensed’ permission for the role(s). You can do this as part of the in the business licence application.
The role must be a position that cannot be filled by someone already entitled to live and work in Jersey. There is an expectation for a ‘Licensed’ individual of a salary level above the average GVA per FTE figure for Jersey which is currently £72,000. A lower salary level may be considered for certain positions in certain sectors on a case by case basis.
You need to include the Job description and the likely remuneration package. If you have already identified the individual to be relocated you should include their CV.
Each submission for a ‘Licensed’ consent is considered on its own merits but will evaluated on the skills, experience, financial and social attributes that a candidate could bring to the Island.
The ‘Licensed’ consent will allow them to live and work in the Island for this business. It also allows the individual to rent or buy appropriate housing.
A Licensed consent is granted for a role and not for an individual, therefore if the Licensed individual leaves the role for which the permission was granted, they will lose that status. They will no longer be eligible to own or occupy ‘Qualified’ housing, unless within 3 months they can move to another position with a ‘Licensed’ status attached.
The individual will be subject to the same taxes and contributions as Jersey residents.
Using Professional Service Providers
Some of the processes required to form or register a Jersey company can only be done by an appropriately authorised Jersey professional service provider. This firm or individual will act on your behalf for this process.
You may also wish to use the services of a professional service provider such as an accountant, lawyer or Trust Company for the application process and we can work with your intermediary to ensure your application is in the best possible shape.
Registering your Business Name
You must register your business name with the Companies Registry (Jersey Financial Services Commission), even if you plan to trade as your existing company and will not be forming a Jersey limited company. There are exceptions to this requirement that can be found in the Registration of Business Names (Jersey) Law 1956, for example if the company is trading in the name of a body corporate.
You are also required to have a Jersey registered address for the business, therefore it is likely you will need to engage with a local Professional Service Provider to assist with this in the short-medium term.
If you are going to establish as a sole trader and will trade in your own name, you do not need to register a business name.
Renewing Your Business Licence
The Business Licence consent is normally granted for 3 years and is renewable based on the performance of the business against the original business plan.
Once you have completed your first 3 years and it is time to renew you licence, get in touch with your Locate Jersey contact to begin the process.