Isle of Man retains reputation as great place start a new company

02/07/2009

Despite several challenges this year, the Isle of Man has retained his reputation as a great place to do business, invest or register a company.

One challenge the jurisdiction overcame in the last 12 months was the collapse of Kaupthing, Singer & Friedlander (KSFIOM) in October 2008. In response, the Manx government upped its deposit compensation limit to £50,000 and put a further £150 million aside for further compensation to safeguard its reputation with investors and savers. The government says that 75 per cent of KSFIOM customers have already received full compensation for their savings.

An additional challenge could have come in the form of the crack-down on 'tax havens' by the G20. However, the Isle of Man agreed to comply with European Savings Directive regulations years before the summit insisted upon this.

The government has commissioned a report to be carried out on how the crown dependencies function as financial centres. The Isle of Man is expected by analysts to pass with flying colours in terms of its financial stability and strength.

Some 70 per cent of firms that operate in the Isle of Man claim they expect to report a profit this year, while a third expect to take on more staff.