The Isle of Man provides first class financial, corporate and fiduciary services and robust corporate governance. A Manx Hybrid Company combines elements of a company and a trust or foundation. It is a straightforward corporate structure, which is cheaper to establish and maintain than traditional trusts and foundations.
A Manx Hybrid Company is limited by guarantee but also issues share capital. As a result, it has two classes of membership: a guarantee member and a shareholding member.
A guarantee member agrees to pay a certain amount towards the capital of the company if the company becomes insolvent or goes into liquidation. A shareholding member contributes to the company's share capital, benefits from voting rights and may or may not have the right to receive income or capital from the company.
Manx Hybrid Companies are an established part of Isle of Man corporate structuring and have been in use since 1865. They are often chosen by private family foundations for estate planning purposes, and by clubs, charities and trade associations. Hybrid Companies are particularly useful in civil law jurisdictions that do not recognise or accept trusts.
To find out more, please click here.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
