Why Use an Isle of Man Company? What you need to know

Isle of Man companies provide a flexible vehicle that meet a huge variety of objectives and can be particularly beneficial under the right conditions.

Depending on the circumstances, the Ultimate Beneficial Owner (UBO) and their adviser can utilise Isle of Man companies in everything from corporate structuring and asset protection to wealth and estate planning. The Isle of Man company delivers a tax efficient and globally compliant solution.

In this article we highlight some of the good reasons to consider using Isle of Man companies:

Isle of Man Jurisdictional Benefits

The Isle of Man is an independent Crown Dependency that holds a Moody’s rating of Aa3 Negative, as at 28 October 2022, in line with the UK’s current rating. Companies registered in the Isle of Man benefit from the business-friendly Government, legislative environment and locally set tax regime. In addition, an Isle of Man company can be incorporated in 48 hours or less.

Headline rates of taxation include:

  • 0% Corporate Tax
  • 0% Capital Gains Tax
  • 0% Inheritance Tax
  • 0% Withholding Tax on Dividends
  • Isle of Man companies are able to register for VAT, and businesses in the Isle of Man fall under the UK’s VAT regime.

However, the island offers more than just tax efficiency.  It is OECD compliant and therefore not considered a tax haven and the local environment continues to provide world class professional services to those engaging in international wealth, corporate and estate planning.

You can read more about why the Isle of Man is a jurisdiction of choice, here.

The Flexibility of Isle of Man Companies

Isle of Man companies provide a large degree of flexibility in terms of their constitution and operation, particularly companies incorporated under CA 2006 – although, there can be situations where a more traditional CA 1931 company can be more attractive.

Whilst both types of company are required to maintain a Registered Office in the Isle of Man, must have a Nominated Officer etc. there is a large amount of freedom provided:

Companies Act 1931

Companies Act 2006

No restrictions on trading objects

Minimum of one Shareholder. Can be corporate.

Can have a single share, with no max. Share can hold a par value of as little as £0.01p. No thin capitalisation rules. Can be any currency.Can have a single share, with no max. Share can hold a par value of zero. No thin capitalisation rules. Can be any currency.
Minimum of two Directors. Can be non-resident. Cannot be a corporate.Minimum of one Director. Can be non-resident and can be a corporate.
Company Secretary required. Can be a non-resident and can be a Director.Requires a Registered Agent at all times. Registered Agent is a licensed Isle of Man resident.

Minimal restrictions on the management of dividends and share capital

Requirement to produced Annual Financial Statements, in line with Part 1 of the Companies Act 1982.

Subject to meeting the conditions set out in the Companies (Audit Exemption) Regulations 2007, the Members can unanimously agree to dispense of the requirement for Annual Accounts to be audited where applicable.
No requirement to produce Annual Financial Statements, but it is standard practice to produce such accounts.

No requirement for Annual Accounts to be audited.

Minimal filing and accounting requirements

There is a requirement to hold an Annual General Meeting, but private companies can dispense with this requirement in line with the Companies Act 1931 (Dispensation For Private Companies) (Annual General Meeting) Regulations 2010.No requirement to hold Annual General Meetings.

Furthermore, it is possible for a CA 1931 company to apply to re-register as a CA 2006 company and vice versa, since the commencement of the Companies (Amendment) Act 2021. This provides UBOs and advisers with ultimate flexibility with regards to the constitution of the company. You can read more about the effect of the Companies (Amendment) Act 2021 here.

You can read more about Isle of Man companies incorporated under the Companies Act 1931 here. Alternatively, you can read more about Isle of Man companies incorporated under the Companies Act 2006 here.

Dixcart have significant experience in assisting clients and their advisers with their corporate planning and can support them to make the most appropriate decisions regarding the choice of vehicle.

Isle of Man Companies and Disclosure of Beneficial Ownership

Central registers of beneficial ownership were introduced as a mandatory requirement for Member States and jurisdictions within the European Economic Area by Article 30 of the Fourth EU Money Laundering Directive (4MLD), coming into force in 2017. The Isle of Man gave affect to this Directive through the introduction of the Beneficial Ownership Act 2017.

Under the Beneficial Ownership Act 2017, where the UBO owns more than 25% of the legal entity the person is a Registrable Beneficial Owner, and the Nominated Officer must submit the Required Details to the Registrar to be held in the Isle of Man Database of Beneficial Ownership. The Register is not publicly available and is limited to competent Authorities and relevant organisations who conduct AML checks e.g. criminal enforcement bureaus such as the Financial Investigations Unit etc.

Further, you may be aware of a recent EU Court of Justice (CJEU) Grand Chamber ruling concerning the balancing the proportionality of achieving AML objectives and privacy rights. The judgement stemmed from a Luxembourg case, whereby a Luxembourg company and its UBO made an application to prevent information concerning beneficial ownership from being made publicly available – this was rejected by the Luxembourg RBO. Following this, the company and UBO began legal action relating to both the decision and legality of the legislative powers allowing this to take place.

The law gave affect to the Fifth EU Money Laundering Directive (5MLD). 5MLD amended Art 30 of 4MLD to make provision for any member of the general public to be entitled to access information concerning beneficial ownership. The Grand Chamber found that the legislation was indeed unlawful, and disproportionate in its derogation from the European Union’s Charter of Fundamental Rights – namely Art 7 the right to respect for private and family life, and Art 8 concerning the protection of personal data.

The Crown Dependencies’ financial regulators have released a joint statement in late December 2022 in response to this landmark CJEU Grand Chamber ruling. They intend to seek specialist legal advice regarding how to proceed in implementing 5MLD compliant legislation, given the outcome of the above case. The Crown Dependencies have stated that they intend to adopt legislation in their respective jurisdictions as soon as possible after receiving the expert legal opinion, which is expected to be completed in early 2023. Whilst the regulators are clearly committed to honouring their commitments to openness and transparency, the statement does not provide any consideration of how the judgement will affect any interpretation of 5MLD or the legality of introducing measures such as a public register. You can find the Joint Statement: Crown Dependencies on access to registers of beneficial ownership of companies here.

Redomiciling an Existing Company to the Isle of Man

If there is an existing legal entity, you may be able to redomicile it to the Isle of Man and reregister it under Companies Act 1931 or Companies Act 2006.

When an incorporated entity is redomiciled to the Isle of Man, the result is a continuation of the same body corporate with all of its assets, liabilities and obligations remaining i.e. it is not a new entity. However, once imported, the laws and regulations of the Isle of Man apply.

It is important to note that this process can only be undertaken if the jurisdiction that the legal entity is exiting has the required legislative framework in place. Of course, the Isle of Man possess such legislation. For example, conversely there is no such Statute in the UK to support redomiciliation, and therefore UK companies cannot be redomiciled to any jurisdiction.

Further, it is necessary for the UBO and/or adviser to be aware of the potential licensing requirements if they wish to continue certain business activities after redomiciliation.

Additionally, it is also necessary to ensure your company’s Registered Name, or a derivative is available – if available, it can be reserved. In such cases, we would advise contacting Dixcart in the first instance. For further information on choosing a company name, you can read the Company and Business Names Etc Act here and you can check the name’s availability here.

There is a myriad of reasons why a UBO or their adviser may seek to move their company to the Isle of Man. For example, where an entity has been incorporated in a jurisdiction that was previously attractive, but has since fallen out of favour, this can make administering the company operationally difficult owing to the implicit risks of that jurisdiction. You can find a risk rated list of jurisdictions here (Jurisdictions in Lists A, B, C and D concerning AML/CFT risks).

The Isle of Man is regarded as a compliant, stable and well-regulated jurisdiction, and is therefore considered a leading international destination for business. For example, due to the Isle of Man being well-regulated and transparent, those companies that wish to structure debt finance can be looked on favourably by banks, owing to facilities such as a public register of mortgages and other charges. You can read more about why the Isle of Man is a Preferred Jurisdiction for Corporate Structuring here.

Dixcart are well placed to assist with the redomiciliation of all incorporated vehicles.

Isle of Man Companies and Banking

From carrying out its activities to meeting its liabilities, reliable banking arrangements are essential. Where a company is not incorporated in a reputable jurisdiction, or worse a blacklisted jurisdiction, this can cause significant operational issues. Further, where the company does not bank with a trusted institution, this can also create operational issues.

The banks take a risk-based approach, considering various factors upon application e.g. jurisdictions, connected parties, source of funds and wealth, nature of activity, volume of transactions etc. all of which will influence the acceptability of the application. The resulting risk rating will also affect the level of fees payable to the bank.

In addition, high street banks will not provide services to Isle of Man companies that do not have a resident Director. Therefore, in the circumstances where the UBO and/or adviser do not wish Dixcart to provide Isle of Man Directors, other options will have to be considered – for example, do you have existing banking relationships within other jurisdictions?

Dixcart has good relationships with all of the banks on the Isle of Man and can facilitate banking services on fully managed entities. In circumstances where Dixcart are not providing Directors, we can make appropriate introductions.

Taxation of Isle of Man Companies

Tax advice is almost always essential for non-Isle of Man residents, when considering incorporating an Isle of Man company. There are so many factors at play – what activity is the company carrying out? Are there Economic Substance requirements to be met? How are foreign companies treated within the UBOs local jurisdiction? How involved can they be with the management and control of the company? Is the company conducting cross-border transactions? Etc.

Furthermore, as a compliant whitelisted jurisdiction, the Isle of Man has signed up to a number of information exchange and double-taxation agreements. There can be reporting requirements that must be taken into account.

As you can see, even considering these basic questions there are a lot of things to clarify, much of which can have complex tax implications and require professional advice. Generally, the place to start will be to take advice in the UBO’s local jurisdiction. Whilst our Isle of Man office does not provide tax advice, we have built up a network of contacts over our 30+ years of trading, and will be able to make an appropriate introduction to an adviser local to the UBO.

How Are Isle of Man Companies Used?

Isle of Man companies have a huge variety of uses, and can be an option in most circumstances where the planning allows for the use of the Isle of Man. Below, I have covered a number of areas where Isle of Man companies are commonly utilised.

Holding Companies

A large range of capital, from participations in other companies to investment portfolios and luxury assets, can benefit from being owned via an Isle of Man company, due to the local legislative environment and tax regime. In such situations it is particularly important to ensure that placing the assets with the Isle of Man company will not attract any unintended taxation or liabilities – this needs to be considered at outset. Often the question can be whether the cost of maintaining and administering an Isle of Man company will outweigh the benefits or vice versa.

Below I have noted some of the most common types of Isle of Man holding companies:

  • Equity Holding: Isle of Man companies offer a great vehicle for holding participations in other companies. This can take the form of a personal portfolio of stocks and shares, or even the Isle of Man company acting as TopCo of a group of companies. Regardless, the UBO will need to confirm whether the Isle of Man company’s activity falls within a Relevant Sector for the purposes of Economic Substance legislation – contained in Part 6A Income Tax Act 1970.

Under Economic Substance, if an Isle of Man company’s sole function is to acquire and hold controlling equity positions in other companies i.e. more than 50% of the company’s share capital, then the company is considered a Pure Equity Holding Company. A Pure Equity Holding Company must demonstrate that its Core Income Generating Activities (CIGA) occur on the Isle of Man. The required CIGA is usually met through the provision of Directors and other management services in the Isle of Man, enabling Adequate Substance to be met.

However, if the Isle of Man company meets these requirements but has no income i.e. no dividends are paid up from the equity holdings, then it falls out of Economic Substance.

You can find the latest guidance on Economic Substance here.

  • Real Estate Property Holding: Isle of Man companies are often used to purchase, develop and/or generate income from Real Estate. This option is particularly attractive in circumstances where the UBOs are in a number of geographic locations or outside of the jurisdiction being invested into.
  • Yacht Holding: Isle of Man companies are often used for the management of luxury assets. We have particular expertise in Superyacht management structures, whereby we work with industry professionals to deliver a ringfenced and efficient corporate ownership structure. You can read more about our superyacht services here.
  • Honourable Mentions: as noted above, in the right circumstances it can be beneficial to hold almost any asset via an Isle of Man company. Other typical assets held by Isle of Man companies include; intellectual property, aircraft, and tangible investment property such as works of art, wine etc.

International Structuring

The Isle of Man provides a great non-EU base from which to structure companies that operate internationally. There are several instances where this makes particular sense:

  • Geographic diversity – The company may have Shareholders, workforce or activities that are located within multiple jurisdictions or trade areas;
  • Restructuring – An Isle of Man company may be established for the purposes of carrying out acquisitions and mergers. Further where a TopCo needs to relocate to a well-regarded jurisdiction, the Isle of Man company offers a great option for redomiciliation.
  • Equity Finance – The company and or its subsidiaries may wish to commoditise their assets to attract new investment i.e. converting immovable assets, such as land and real estate, into shares or debt instruments. New investors would purchase positions within the new TopCo, thereby providing the group of companies with a source of capital for growth etc.
  • Access to markets – As a well-regulated and reputable jurisdiction, the Isle of Man provides a platform for certain types of regulated business to attain and manage licenses to provide international activities e.g. eGaming.

Estate Planning

Trusts have been the mainstay of estate planning for generations, delivering a degree of certainty and protection to Settlors and their assets. However, a Trust is not an incorporated entity and therefore has no separate legal personality and limited liability – the Trustees hold legal title of the assets and are responsible for the Trust’s liabilities. Additionally, the Trust cannot engage in commercial activity, and must do so via a company. Further, Trusts are not recognised in all jurisdictions, and therefore predominantly attractive to Settlors from Common Law jurisdictions. You can read more about Isle of Man Trusts in this series of articles, and this accompanying video presentation.

In recent times, many offshore jurisdictions, such as the Isle of Man and Channel Islands, have introduced legislation to support the use of Foundations. Foundations provide an incorporated vehicle that is comparable to a Trust but possesses separate legal personality and limited liability – albeit there is no share capital. The Foundation is traditionally used within Civil Law jurisdictions. Therefore, the tax treatment of a Foundation is less certain within Common Law jurisdictions such as the UK, and seems to be assessed on a case-by-case basis – in part governed by the purpose of establishment i.e. if formed to carry out company activities it may be treated as per a company. As with the Trust, the Foundation cannot engage in commercial activity, and must do so via a company. You can read more about Isle of Man Foundations in this series of articles, and this accompanying video presentation.

Isle of Man companies, incorporated under the CA 2006, can be used as a viable alternative to both Trusts and Foundations. Delivering an entity with separate legal personality, limited liability and share capital. Further, companies, unlike Trusts, are recognised as legal structures throughout the world and can engage in commercial activity directly. Therefore, given the right circumstances, an Isle of Man company can present a more efficient option than a Trust or Foundation.

The UBO, or Founder, transfers their assets to the Isle of Man company. Transferring those assets to the Isle of Man company can have tax implications and as such will require tax advice within the Founder’s jurisdiction of domicile and tax residency.

Through the issuance of different classes of share, various powers and rights can be attributed to different parties. For example, issuing a class of shares to the Founder can provide them with voting rights and therefore increased control during their lifetime. This mechanism can also provide the beneficiaries with access to income and/or capital and the appointed Directors with management rights. The class rights would be detailed within the Articles of Association. It is important to note that where the Founder possesses voting rights, this can have tax implications, even though there is no right to participate in income or capital.

Dixcart can provide for the provision of Trustees, Council Members and Directors as required by the client and their adviser, and are well placed to assist in all international planning.

How Dixcart Can Help

Our Isle of Man office has been providing effective structuring and efficient administration for companies for over 30 years and is well placed to assist with all Isle of Man planning.

We have developed an extensive range of offerings which can be tailored to meet the needs of  clients and their advisers. Our in-house experts and senior employees are professionally qualified, with a wealth of experience – this means that, from pre-incorporation planning and advice to the day-to-day management of the company and troubleshooting issues, we can support your goals at every stage.

Additional Information

If you require further information regarding the use of Offshore Trusts, or Isle of Man structures, please feel free to get in touch with David Walsh at Dixcart: advice.iom@dixcart.com

Alternatively, you can connect with David on Linkedin.

Dixcart Management (IOM) Limited is Licensed by the Isle of Man Financial Services Authority

Why Use Isle of Man Professional Trustees?

We have had an extended period of global uncertainty including highlights such as a pandemic, economic disruption, massive inflation and the threat of a new cold war. In such volatile times, how do you plan for future generations? Whilst there will always be market disruption, when it comes to estate and succession planning, you can take heart from the steadfast reliability of licensed and properly regulated Professional Trustees.

In this short article we will discuss some of the key reasons you should be considering a Professional Trustee for your Trust structuring:

  1. What is a Professional Trustee?
  2. Why is a Lay Trustee sometimes the wrong choice?
  3. What do I need to consider when choosing a Professional Trustee?
  4. How can Dixcart help with my Trust planning?

1. What is a Professional Trustee?

You cannot have a Trust without Trustees, but what is a Trustee and what is the difference between a Lay Trustee and a Professional Trustee?

A Trustee is appointed by the Settlor / Donor of a Trust and is the party that holds legal title to the property and assets that form the Trust Fund. The Trustee must administer the Trust Fund in line with the Trust Deed, their various duties and in the interests of the Beneficiaries. You can read more about the various parties to a Trust and more, here.

Lay Trustees are non-expert Natural Persons, typically family or friends, who are appointed as Trustee by the instigator of the Trust. They will act as Trustee for the lifetime of the Trust, or until incapacitated, death or replacement.

A Professional Trustee can be either a Body Corporate or Natural Persons but is typically a corporate entity such as a Private Limited Company. Professional Trustees are normally qualified experts who will undertake their duties for a fee. The Professional Trustee contracts with the Settlor / Donor to provide services for whole lifetime of the Trust or until they are replaced. 

Trusts do not have separate legal personality and therefore ALL Trustees are jointly and severely liable for their actions under a Trust. Additionally, both Lay Trustees and Professional Trustees owe a blend of Common Law and Statutory duties to the Beneficiaries. These duties include responsibilities such as to exercise reasonable care and skill, to fully understand their obligations under the Trust, to avoid conflicts of interest, to act within their powers under the Trust Instrument and to act with impartiality.

Further, as the Trust does not possess separate legal personality and all liabilities linked to the Trust Fund fall onto the Trustees, Trustees can incur tax liabilities within their respective jurisdiction, including having to meet any reporting requirements etc.

Importantly, the nominated party must be willing to act as Trustee, but as you can see, being appointed as a Trustee is a serious undertaking that can be complex and carries a great deal of responsibility.

2. Why is a Lay Trustee sometimes the wrong choice?

All animals are equal, but some are more equal than others…’

Orwell’s famous line from Animal Farm seemed to be an appropriate way to open this section – but what do I mean by this?

Whilst the Courts will hold Lay Trustees to account for their actions under the Trust Deed and in line with the Trustee and Fiduciary duties owed, Professional Trustees will be held to a higher standard of care.

For instance, in determining professional negligence, the Court would consider the Professional Trustee’s state of mind / knowledge in line with that of a reasonably competent Professional Trustee, replete with all the knowledge and expertise that a Professional Trustee could be expected to have – including any specialist knowledge that they held themselves out to possess.

Further, whilst UK Professional Trustees are generally not regulated, Isle of Man Professional Trustees must possess a Class 5 License and are regulated by the Isle of Man Financial Services Authority under the Financial Services Act 2008.

The effect of this is threefold:

  1. Family and/or friends who are appointed as Trustee will be personally liable for their actions, including any potential losses or misinformed actions; and
  2. If Professional Trustees are engaged, they will be held to a higher standard of care regarding fulfilling their duties under the Trust; and
  3. All Isle of Man Professional Trustees must maintain a license and are regulated. This provides further protection and quality assurance that the client and their beneficiaries can take comfort from.

When a Lay Trustee is appointed, the Settlor / Donor will not necessarily benefit from any additional protections, and they will not be held to a Professional Standard. There are many more reasons that can help determine whether a Professional Trustee is right for you in the circumstances.

Cons of Appointing a Professional Trustee

Appointing a Professional Trustee is not without its considerations. The main drawback of appointing a Professional Trustee is of course the implicit fees. The size of the Trust Fund will determine whether Professional Trustee services are viable or not.

Where the Trust Fund is below a minimum size, Professional Trustee fees can disproportionately diminish the assets. For example, a Settlement of £100k that incurs Professional Trustee fees of £10k per annum must achieve over 10% growth per year to meet its Professional Trustee costs alone – there can of course be third party fees also (e.g. investment managers, Custodians, Property Managers etc.) – this is of course not viable. Comparatively, a Settlement of £1m with the same £10k Professional Trustee fee will only need to achieve over 1% growth per annum, a much more achievable hurdle.

Therefore, Professional Trustees are typically engaged where the Trust Fund will be valued in the millions+. In such circumstances, the costs of the Professional Trustee and any third parties can be met whilst still experiencing healthy growth via the income, gains and interest accrued.

In such instances, the client is also transferring control of their Settled assets to people they may not have an existing relationship with. However, this concern can be allayed by some of the questions we consider in section 3.    

Cons of Appointing a Lay Trustee

Conversely, the main benefits of appointing a Lay Trustee are that the Settlor / Donor will have a prior relationship with them i.e. they will be a known person. The other key benefit is that they will normally act as Trustee for free.

However, there are many important features that make a Lay Trustee a less attractive solution where the Trust Fund and planning allows for a Professional Trustee to be engaged. This includes considerations such as:


Unfortunately, unlike Professional Trustees who act via a corporate entity, Lay Trustees can die or lose capacity. This can cause issues for the efficient and effective administration of the Trust and incur costs to remedy. Successor Trustees can be named in the Deed, but the same issues remain, plus there is reliance on proper record keeping and a good handover – as they will not necessarily be stored in a central location, unlike Professional Trustees’ offices.

Lay Trustees’ circumstances are also subject to change. For example they may emigrate for work etc. Where this is the case, apart from the issue of remoteness, as noted previously, it can cause unintended liabilities. The Trustee can pull the Trust into that new jurisdiction’s tax regime, and this may in turn have tax consequences.

A Professional Trustee delivers permanence and certainty with regard to the treatment during their tenure. Further as the company can continue in perpetuity, this feature allows the service provider to have an in depth understanding of the arrangement, the Settlor / Donor and where appropriate the Beneficiaries throughout the whole term of the Trust, which assists in the effective management of the Trust.


As Lay Trustees are persons known to the Settlor / Donor such as family or friends, they very often have ‘skin in the game’ so to speak i.e. they often have an interest – whether directly or indirectly. As previously noted, this is one of the legal duties owed by Trustees.

Where there is an issue with impartiality, conflicts of interest etc. this can compromise the arrangement, be the root of legal action and may even see deviations from the objectives of the Settlor / Donor. Further, Lay Trustees can often fall out, making administration of the Trust harder still.

A Professional Trustee is independent of inter-family relationships and always ensures an unbiased approach to carrying out their duties under the Trust – always actioned in the Beneficiaries best interest and in line with the wishes of the Settlor / Donor.


Acting as Trustee can be a time consuming, complex and sometimes unwieldly undertaking. This can result in the role being overwhelming and potentially stressful for Lay Trustees, particularly where the Trust Fund comprises significant assets.

Whether carrying out the day-to-day administration, keeping accounts or dealing with third party experts, your Trustees will be taking on an onerous responsibility. Keep in mind that Lay Trustees will often be juggling this role alongside their work and home lives.

Appointing a Professional Trustee, such as Dixcart, outsources this burden to consummate professionals who have dedicated themselves to delivering quality service, keeping your loved ones free of the aches and pains of Trusteeship.

Knowledge & Expertise

Understandably, the majority of Lay Trustees simply do not possess the required knowledge and expertise to optimally administer a Trust. In today’s world, the environment is subject to regular updates, for instance in reporting requirements e.g. FATCA and CRS, registration requirements e.g. the Register of Overseas Entities and changes in the tax, legal or regulatory treatment etc.

Often qualified professionals, such as Dixcart, will have an in-depth knowledge of all pertinent areas and maintain an awareness of best practices.

Indeed, specialist knowledge may be needed and therefore a Professional Trustee may be required. For example, it is not uncommon for businesses or groups of companies to seek to implement specialist Trusts, such as Employee Benefit Trusts or Employee Ownership Trusts. In such instances good governance is essential and therefore Professional Trustees can be very beneficial.

The knowledge and expertise of your Professional Trustee can even aid the Trust Fund to meet its targets over time, providing value and cost savings beyond simple administration.

In conclusion, given the correct circumstances, the appointment of an Professional Trustee, such as Dixcart, can mitigate otherwise unwarranted liabilities and provide peace of mind for all parties involved.

3. What do I need to consider when choosing a Professional Trustee?

If you and/or your adviser believes a Professional Trustee is a suitable solution, you may be wondering how to best identify a good Professional Trustee. There are many factors to consider, but below are a few questions that indicate a good quality Trust and Corporate Service Provider:

Is the Trust and Corporate Service Provider Well Established?

The client will want to consider those firms that have a heritage in the industry and who have operated continuously without issue. This displays the service provider’s commitment to operating sustainably and in a compliant manner. A service provider with extensive experience in trust and corporate services will have a deeper understanding of the complexities involved in managing entities. Their experience can help you navigate potential pitfalls and challenges, which can be value-adding. Therefore, the term of trading is an indicator of permanence and reliability.

The Dixcart Group have now been trading for over 50 years and remains privately owned by the same family. Further, Dixcart Isle of Man has been in operation since 1989, which represents a deep and varied knowledge of Trust and Corporate administration. This means that we do not have the same commercial pressures that private equity service providers experience, we only ever undertake compliant structuring and therefore have a quality rather than volume focus.

Does the Trust and Corporate Service Provider have Professionally Qualified and Experienced Staff?

A reliable Trust and Corporate Service Provider should have a team of professionals with relevant qualifications and expertise, such as Accountants, Lawyers, STEP qualified Trustees, Chartered Secretaries etc. They will generally be members of recognised industry bodies and associations.

When dealing with your Trust and Corporate Service Provider you should feel confident that the staff you interact with are well informed, can provide the answers you need and are ideally professionally qualified.

Further, it is also important to have direct contact with senior team members and Directors. When you want something actioned – it needs to be treated as a priority. This is a good indicator of service standards.

At Dixcart your day-to-day matters will be dealt with by professionally qualified senior employees. Additionally, our Directors are aware of every entity that we onboard and fully engage in the services delivered.

Does the Trust and Corporate service provider have a Transparent Fee Structure?

Most admin and compliance carried out by Trust and Corporate Service Providers is typically delivered on a ‘time-spent’ basis, meaning that a pro-rated hourly rate applies. The level of fees due will be in line with the levels of activity required to run the entity. Further the hourly rate that applies to any task will depend on the complexity of the task and expertise required.

When considering your Trust and Corporate Service Provider, you need to ensure that the fees are transparent and that you will never be billed without understanding what it is you are paying for. There also needs to be flexibility built-in, so that regular reviews are undertaken, and the relationship can remain fair for all parties involved.

We will always be open and honest with clients and advisers when it comes to fees, always giving prior warning and attaining client sign-off before actioning anything. At Dixcart we believe that trust is a fundamental building block in developing our relationship with clients and their advisers.

Will you Have a Dedicated Point of Contact?

A good Trust and Corporate Service Provider ensures continuity of service, which in turn minimises potential disruption. Therefore, it is very important that you are able to build long term relationships of trust and understanding with dedicated team members. A low turnover of staff and infrequent changes in you contacts indicate the kind of reliability and stability you will want for any long term planning such as a Trust.

Dixcart’s Isle of Man office has a very low churn rate of employees, with many of our team members being with us for 5+ years and a number serving for circa 20 years.

4. How Can Dixcart Help with My Trust Planning?

Dixcart have extensive experience in all offshore entities and can assist with the setup and ongoing administration of your private client planning and corporate structuring. This includes all forms of Trust and any underlying Special Purpose Vehicles or corporate entities.

Over the last 50 years, we have developed strong working relationships with some of the world’s leading advisers. If you have not yet engaged a professional adviser, we can make an introduction as appropriate.

Get in Touch

Click here to view a video presentation that provides a simple overview of the key principles of offshore trust planning and who they may be appropriate for in today’s world.

If you would like to discuss Professional Trustee services, or Estate and Succession Planning, please feel free to get in touch with David Walsh at Dixcart: advice.iom@dixcart.com

Alternatively, you can connect with David on Linkedin.

Dixcart Management (IOM) Limited is Licensed by the Isle of Man Financial Services Authority