Virgin Islands Law Blog

Virgin Islands Law Blog

U.S. Virgin Islands law & politics

Category Archives: Corporate & Financial Services

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EB-5 Immigrant Investor Program Offers Funding to Entrepreneurs

Posted in Corporate & Financial Services, Immigration
It’s a fairly well known fact that obtaining U.S. residency can be a process rife with difficulty, including considerable expenses and time delays. For foreign investors interested in becoming permanent American residents, one useful route involves making investments in businesses or specific employment areas, and applying for an EB-5 visa. The EB-5 visa program provides… Continue Reading

The Process of Setting up a Business in the U.S. Virgin Islands

Posted in Corporate & Financial Services
The U.S. Virgin Islands is a great place to be an entrepreneur. The Territory offers a wide range of tax incentives, and various organizations and agencies have programs available that are geared toward helping new businesses establish themselves and obtain the tools needed for growth and long-term success. However, many things need to happen before… Continue Reading

The Basics of Tax-Exempt Businesses: Nonprofit Organizations

Posted in Corporate & Financial Services
When considering the issue of taxation, one of the most common points in need of clarification is the distinction between having nonprofit status and having tax-exempt status. It’s possible for an organization to have both, but a nonprofit organization does not automatically have tax-exempt status, and vice versa. Before an organization may apply for tax-exempt… Continue Reading

S Corp Versus C Corp: The Key Differences

Posted in Corporate & Financial Services
When starting a new business or restructuring an existing one, you may choose to set up a corporation. The two most common options are the Subchapter S corporation and the C corporation. These two varieties of corporations are actually quite similar in many ways — they are structured similarly, they both offer limited liability protection… Continue Reading

Key Questions to Ask Your Business Attorney

Posted in Corporate & Financial Services
One of the most important relationships business owners and executives have is in working with their business attorney. An experienced, highly qualified legal professional can be an invaluable team member and source of knowledge, advice and wisdom. Cultivating this relationship can reap rewards many times over. A key aspect of this relationship involves open communication… Continue Reading

USVI Government to Guarantee Developer Leases

Posted in Corporate & Financial Services, Government Relations, Real Estate
A bill recently passed in the U.S. Virgin Islands Legislature would allow the Government of the Virgin Islands to guarantee up to $20 million of hotel developers’ leases for up to 25 years, a move that supporters cheered as a boon to the islands’ economic development. Under the legislation, the Public Finance Authority would have… Continue Reading

Community Event Looks at Loan Guarantees to Boost Commercial Lending

Posted in Corporate & Financial Services
At an economic roundtable hosted by Senator Diane Capehart and IBCVI & Co. in August, an investment advisor proposed using federal grants and loans to guarantee commercial bank loans, noting it would allow U.S. Virgin Islands banks to increase lending to startups and capital projects. Many commercial banks have been reluctant to lend in the… Continue Reading

Key Legal Issues to Consider in a Merger or Acquisition in US Virgin Islands

Posted in Corporate & Financial Services
Merger and acquisition transactions can be quite complicated and require both the acquiring and target companies to address the following issues in detail to avoid challenges later on: 1)      The structure of the deal. When arranging a stock purchase, asset sale or merger, it’s important to consider the transferability of liability, which is transferred to… Continue Reading

What You Need to Know About the US Virgin Islands’ Economic Development Program

Posted in Corporate & Financial Services
The Virgin Islands Economic Development Authority (VIEDA) is comprised of five main branches, each dedicated to encouraging growth in specific areas of the economy. These include the Government Development Bank, the Industrial Park Development Corporation, the Small Business Development Agency, the Enterprise Zone program and the Economic Development Commission. These branches help the U.S. Virgin… Continue Reading

The Benefits of Using Mediation to Resolve Business Disputes

Posted in Corporate & Financial Services, Litigation
If you own or operate a business, it’s possible that you will find yourself in disputes from time to time. These conflicts can quickly become very heated, but mediation is often an effective alternative to engaging in expensive and time-consuming litigation. Business disputes may be related to nonbinding verbal agreements, breach of contract and employment… Continue Reading

Top Legal Concerns Facing Hotel Owners Today

Posted in Corporate & Financial Services
As a hotel operator, your top priority is likely on making a profit and ensuring that your guests are happy with their stay. Managers work behind the scenes, handling numerous day-to-day responsibilities for all parts of hotel operations, including sales, marketing, supervising personnel, security, maintenance and food and beverages. Managing a hotel may also involve… Continue Reading

Governor Vetoes Tax Break Changes for RT Park Businesses

Posted in Corporate & Financial Services, Government Relations
In a controversial move, U.S. Virgin Islands Governor John deJongh has vetoed a bill that would have widened the variety of businesses at Kingshill’s Research and Technology (RT) Park deemed eligible for considerable tax breaks. The tax breaks are incentive benefits bestowed by the RT Park to its tenants at the park, preventing them from… Continue Reading

Recent Arrest Demonstrates US Virgin Islands’ Crackdown on Tax Evasion

Posted in Corporate & Financial Services, Tax & Estate Planning
A recent arrest made in the U.S. Virgin Islands has demonstrated the territory’s renewed dedication to enforcing tax evasion laws. In April, police arrested Johnathan Cohen, the sole owner of JKC Communications. Cohen was charged with failing to file and pay both individual and corporate income taxes for the past several years, according to the… Continue Reading

U.S. Virgin Islands Uses Tax Breaks to Lure More Small Businesses

Posted in Corporate & Financial Services
The U.S. Virgin Islands has recently begun to offer significant corporate tax breaks to small businesses in an attempt to encourage job creation and diversity within the territory’s economy, currently valued at $4.2 billion. In early March, Governor John P. deJongh toured New York with regional economic development officials to meet with investors and interested… Continue Reading

Effective Methods for Protecting Your Company’s Intellectual Property

Posted in Corporate & Financial Services
Recently, one of our firm’s clients inquired as to our protecting their intellectual property, and BoltNagi submitted to an in-depth technology audit. Large companies like Google, Microsoft and Apple use considerable resources to protect their intellectual property. An organization of any size, however, can suffer due to intellectual property theft, and small businesses in particular… Continue Reading