BVI incubator fund: sourced answers
7 answers to specific questions — each with a verbatim quote from an official source and a link to it.
Every answer is checked against a verbatim quote from a stored copy of its source and has passed an independent review. This is reference information, not legal advice: rules change, and the outcome depends on your circumstances.
Legal form in a country
What annual state (regulator) fee does the structure pay
BVI: incubator and approved funds pay US$1,800 on application and US$1,200 for annual renewal of approval
«[Gazetted 25th January, 2023] The Cabinet, acting on the advice of the Financial Services Commission and in exercise of the powers conferred by section 62 of the Financial Services Commission Act, Revised Edition 2020, makes these Regulations. Citation and commencement 1. (1) These Regulations may be cited as the Financial Services (Fees) (Amendment) Regulations, 2023. (2) Subject to subregulation (3), these Regulations shall come into force on the 1st day of April, 2023. (3) Item No. (xi) of the Schedule shall come into force on the date that the Virtual Assets Service Providers Act, No. 17 of 2022 comes into operation. Schedule substituted 2. The Schedule to the Financial Services (Fees) Regulations, Revised Edition 2020, is revoked and substituted with the following»
Source: bvifsc.vg · source copy as of 2026-10-02
«Section of Nature of Fee Fee (US$) No. Enactment (vii) Securities 5(5) Certificate evidencing status of an incubator fund or 200 and approved fund Investment 7(1) Application for approval of Business (Incubator (a) an incubator fund 1,800 and (b) an approved fund 1,800 Approved 7(2) Annual renewal of approval of Funds) Regulations, (a) an incubator fund 1,200 Revised (b) an approved fund 1,200 Edition 2020 (Regulation 2) Item Enactment Section of Nature of Fee Fee (US$) No. Enactment (viii) Mutual 7(2) Application by a private or professional fund to be 600 Funds exempted from appointing a custodian or fund Regulations,»
Source: bvifsc.vg · source copy as of 2026-10-02
«ces Commission Act, Revised Edition 2020, makes these Regulations: Citation and commencement 1. (1) These Regulations may be cited as the Financial Services (Fees) (Amendment) Regulations, 2025. (2) These Regulations shall come into force on the 2nd day of January, 2025. Schedule amended 2. The Financial Services (Fees) Regulations, Revised Edition 2020, is amended in the Schedule (a) in table (a) (Financial Services Commission Act and Subsidiary Legislation made thereunder), (i) by numbering the enactment “Financial Services Commission Act, Revised Edition, 2020” as item (i); and (ii) in item (i), by inserting in its appropriate numerical order in column 3 and the related references in columns 4 and 5, the following: 2 “34(8) Application for approval of 500 Commission of the appointment by a licensee of a person as both Money Laundering Reporting Officer and compliance officer in a single application Approval of Commission of 1,000”; …»
Source: bvifsc.vg · source copy as of 2026-10-03
Applies when: fee payable to the regulator
US$1,200 a year
«[Gazetted 25th January, 2023] The Cabinet, acting on the advice of the Financial Services Commission and in exercise of the powers conferred by section 62 of the Financial Services Commission Act, Revised Edition 2020, makes these Regulations. Citation and commencement 1. (1) These Regulations may be cited as the Financial Services (Fees) (Amendment) Regulations, 2023. (2) Subject to subregulation (3), these Regulations shall come into force on the 1st day of April, 2023. (3) Item No. (xi) of the Schedule shall come into force on the date that the Virtual Assets Service Providers Act, No. 17 of 2022 comes into operation. Schedule substituted 2. The Schedule to the Financial Services (Fees) Regulations, Revised Edition 2020, is revoked and substituted with the following»
Source: bvifsc.vg · source copy as of 2026-10-02
«Section of Nature of Fee Fee (US$) No. Enactment (vii) Securities 5(5) Certificate evidencing status of an incubator fund or 200 and approved fund Investment 7(1) Application for approval of Business (Incubator (a) an incubator fund 1,800 and (b) an approved fund 1,800 Approved 7(2) Annual renewal of approval of Funds) Regulations, (a) an incubator fund 1,200 Revised (b) an approved fund 1,200 Edition 2020 (Regulation 2) Item Enactment Section of Nature of Fee Fee (US$) No. Enactment (viii) Mutual 7(2) Application by a private or professional fund to be 600 Funds exempted from appointing a custodian or fund Regulations,»
Source: bvifsc.vg · source copy as of 2026-10-02
«ces Commission Act, Revised Edition 2020, makes these Regulations: Citation and commencement 1. (1) These Regulations may be cited as the Financial Services (Fees) (Amendment) Regulations, 2025. (2) These Regulations shall come into force on the 2nd day of January, 2025. Schedule amended 2. The Financial Services (Fees) Regulations, Revised Edition 2020, is amended in the Schedule (a) in table (a) (Financial Services Commission Act and Subsidiary Legislation made thereunder), (i) by numbering the enactment “Financial Services Commission Act, Revised Edition, 2020” as item (i); and (ii) in item (i), by inserting in its appropriate numerical order in column 3 and the related references in columns 4 and 5, the following: 2 “34(8) Application for approval of 500 Commission of the appointment by a licensee of a person as both Money Laundering Reporting Officer and compliance officer in a single application Approval of Commission of 1,000”; …»
Source: bvifsc.vg · source copy as of 2026-10-03
Which statute (act) establishes the legal form
the Securities and Investment Business Act 2010 (SIBA), the dedicated Securities and Investment Business (Incubator and Approved Funds) Regulations (as amended 2020), and the SIBA Incubator and Approved Funds Guidelines (BVI FSC)
«3 INTRODUCTION Under the Securities and Investment Business Act, 2010 (“SIBA”), the Financial Services Commission (“the Commission”) offers a range of investment business licences and allows for the registration of public funds and recognition of private and professional mutual funds. These licences allow BVI business companies, partnerships and trusts to carry out financial services activities using BVI regulated entities. In order to provide more flexibility to smaller and start-up financial services businesses, the Commission has created two new categories of regulated funds: incubator and approved funds. Under the new fund categories, managers and principals of smaller, open-ended funds may be approved to conduct business within a lighter regulatory framework. An advantage of the new fund categories is that they provide an opportunity for smaller funds that may not typically qualify as private or professional funds to conduct business and make investment offerings to qualifying persons. 2. These Guidelines have been developed to provide guidance on the application process for incubator and approved funds. …»
Source: bvifsc.vg · source copy as of 2026-10-03
«Securities and Investment Business LAW OF 90 (Incubator and Approved Funds) Regulations VIRGIN ISLANDS [Statutory Instrument] Revision Date: 1 Jan 2020 (2) For purposes of subregulation (1), an applicant shall, in submitting an application, provide the following information— (a) the constitutional documents specifying whether the applicant intends to be an incubator fund or approved fund; (b) a written description of the investment strategy of the proposed incubator fund or approved fund; (c) a written warning which the incubator fund or approved fund will issue to investors or potential investors as provided in regulation 4; and (d) such other information as may be required in the prescribed form. (3) For the purposes of this regulation, an application is not complete if— (a) it does not satisfy all the requirements of this regulation; and (b) the application is not accompanied by the fee required pursuant to regulation 7. Investment warning 4. (1) No offer or invitation shall be made to»
Source: bvifsc.vg · source copy as of 2026-10-02
«“Act” means the Securities and Investment Business Act; “applicant” means a person who has applied to the Commission to be approved as an incubator fund or approved fund; “approved fund” means a fund that is deemed as such under regulation 5(1)(b) and satisfies the requirements of regulation 11(1) and (2); “Commission” means the Financial Services Commission established under 3(1) of the Financial Services Commission Act; “fund property”, in relation to an incubator fund or approved fund, means the assets of the fund; (Inserted by S.I. 83/2019) “incubator fund” means a fund that is deemed as such under regulation 5(1)(a) and satisfies the requirements of regulation 10(1) and (2); “offering document” means a document that contains an invitation or offer to investors or potential investors to purchase or subscribe for fund interests in an incubator fund or approved fund, and includes an amended offering document and a term sheet as may be prescribed; “prescribed” means prescribed by the Commission; “private fund” has the meaning assigned under section 40(1) of the Act; “professional fund” has the meaning assigned under section 40(1) of the Act; …»
Source: bvifsc.vg · source copy as of 2026-10-02
What is the maximum duration of the structure (where limited)
Two years, extension for no more than twelve months
«Validity period of an incubator fund and approved fund 13. (1) Subject to regulations 7, 10(3)(b) and (c) and 12, the period of validity of an incubator fund is 2 years. (2) Subject to regulations 7, 11(3)(b) and (c) and 12, the validity period for an approved fund is unlimited. (3) An incubator fund may, at least 1 month prior to the end of its period of validity, (or such shorter period as the Commission may approve) submit a written application to the Commission requesting an extension for an additional period not exceeding 12 months. (4) Where the Commission receives an application under subregulation (3), it may grant the request for extension if it is satisfied that— (a) the incubator fund’s investments or total number of investors do not exceed the specified threshold and the fund has complied with all of its obligations under these Regulations; and (b) it is not against the public interest to grant the extension. Conversion of incubator fund 14. …»
Source: bvifsc.vg · source copy as of 2026-10-02
Two years, extension of no more than twelve months
«Validity period of an incubator fund and approved fund 13. (1) Subject to regulations 7, 10(3)(b) and (c) and 12, the period of validity of an incubator fund is 2 years. (2) Subject to regulations 7, 11(3)(b) and (c) and 12, the validity period for an approved fund is unlimited. (3) An incubator fund may, at least 1 month prior to the end of its period of validity, (or such shorter period as the Commission may approve) submit a written application to the Commission requesting an extension for an additional period not exceeding 12 months. (4) Where the Commission receives an application under subregulation (3), it may grant the request for extension if it is satisfied that— (a) the incubator fund’s investments or total number of investors do not exceed the specified threshold and the fund has complied with all of its obligations under these Regulations; and (b) it is not against the public interest to grant the extension. Conversion of incubator fund 14. …»
Source: bvifsc.vg · source copy as of 2026-10-02
Term limit: up to 2 years with extension to 3 years in incubator regime; no term limit under BVI Approved
«Restrictions in relation to investments: incubator fund 10. (1) Investment in an incubator fund is restricted to sophisticated private investors only and the fund shall not have investments that exceed $20,000,000 in net assets or its equivalence in any other currency. (2) The total number of investors in an incubator fund at any one time shall not exceed 20. (3) Where the amount of the investments or the total number of investors exceeds the threshold prescribed in subregulation (1) or (2) respectively over a period of two consecutive months, the incubator fund shall, within 7 days of the end of the second month— (a) notify the Commission in writing of that fact outlining the reasons therefor; and (b) submit an application to the Commission for the conversion and recognition of the fund as— (i) a private fund or professional fund in accordance with the provisions of the Act and the Mutual Funds Regulations; or (ii) an approved fund in accordance with the provisions of these Regulations, unless if, at the time of notification, the incubator fund no longer exceeds the amount of the investments or the total number of investors; …»
Source: bvifsc.vg · source copy as of 2026-10-02
«Restrictions in relation to investments: approved fund 11. (1) An approved fund shall not have investments that exceed $100,000,000 in net assets or its equivalence in any other currency. Securities and Investment Business LAW OF VIRGIN ISLANDS (Incubator and Approved Funds) Regulations 95 Revision Date: 1 Jan 2020 [Statutory Instrument] (2) The total number of investors in an approved fund at any one time shall not exceed 20. (3) Where the amount of the investments or the total number of investors exceeds what is prescribed in subregulation (1) or (2) respectively over a period of two consecutive months, the approved fund shall, within 7 days of the end of the second month— (a) notify the Commission in writing of that fact outlining the reasons therefor; and (b) submit an application to the Commission for the conversion and recognition of the fund as a private fund or professional fund in accordance with the provisions of the Act and the Mutual Funds Regulations, unless if, at the time of notification, the approved fund no longer exceeds the amount of the investments or the total number of investors; …»
Source: bvifsc.vg · source copy as of 2026-10-02
«Validity period of an incubator fund and approved fund 13. (1) Subject to regulations 7, 10(3)(b) and (c) and 12, the period of validity of an incubator fund is 2 years. (2) Subject to regulations 7, 11(3)(b) and (c) and 12, the validity period for an approved fund is unlimited. (3) An incubator fund may, at least 1 month prior to the end of its period of validity, (or such shorter period as the Commission may approve) submit a written application to the Commission requesting an extension for an additional period not exceeding 12 months. (4) Where the Commission receives an application under subregulation (3), it may grant the request for extension if it is satisfied that— (a) the incubator fund’s investments or total number of investors do not exceed the specified threshold and the fund has complied with all of its obligations under these Regulations; and (b) it is not against the public interest to grant the extension. Conversion of incubator fund 14. …»
Source: bvifsc.vg · source copy as of 2026-10-02
its term runs two years extendable by up to 12 months
«Validity period of an incubator fund and approved fund 13. (1) Subject to regulations 7, 10(3)(b) and (c) and 12, the period of validity of an incubator fund is 2 years. (2) Subject to regulations 7, 11(3)(b) and (c) and 12, the validity period for an approved fund is unlimited. (3) An incubator fund may, at least 1 month prior to the end of its period of validity, (or such shorter period as the Commission may approve) submit a written application to the Commission requesting an extension for an additional period not exceeding 12 months. (4) Where the Commission receives an application under subregulation (3), it may grant the request for extension if it is satisfied that— (a) the incubator fund’s investments or total number of investors do not exceed the specified threshold and the fund has complied with all of its obligations under these Regulations; and (b) it is not against the public interest to grant the extension. Conversion of incubator fund 14. …»
Source: bvifsc.vg · source copy as of 2026-10-02
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