Substance & Local Representation
Genuine economic substance and local representation services across 60+ jurisdictions — meeting regulatory requirements without compromising operational efficiency.
Request a ConsultationEconomic Substance and Local Presence — Properly Implemented
Economic substance legislation has fundamentally changed the offshore landscape since 2019. Enacted across BVI, Cayman, Jersey, Guernsey, Isle of Man, Bahamas, and most other significant offshore jurisdictions in response to OECD and EU pressure, substance requirements demand that companies conducting relevant activities demonstrate genuine economic activity in their jurisdiction of incorporation.
A registered office address and a nominee director are no longer sufficient. Elaris provides a full suite of substance and local representation services — giving companies a genuine, defensible economic presence in the jurisdictions they need it.
Substance & Representation Services
Registered Office & Agent
Licensed registered office and registered agent services across all jurisdictions in which we operate — providing the mandatory local address and agent required for legal existence and regulatory correspondence.
Nominee Director Services
Professional nominee director services — individuals with genuine qualifications and experience who attend board meetings, review and approve resolutions, and provide the local directorship required for substance compliance and banking relationships.
Local Management & Administration
Provision of local management infrastructure — local employees or secondees, office facilities, local bank account management, and operational expenditure in the jurisdiction — meeting the core income-generating activity requirements of the applicable substance legislation.
Economic Substance Reporting
Preparation and submission of annual economic substance reports to the relevant regulatory authority — including assessment of whether the company conducts a relevant activity, documentation of the substance facts, and filing of the required return.
Virtual Office Services
For companies requiring a local presence short of full economic substance — virtual office services including a prestigious local address, mail handling and forwarding, telephone answering in the company name, and meeting room access for board meetings.
Substance Gap Analysis
Assessment of an existing company’s substance position against the applicable legislation — identifying gaps, assessing risk, and recommending the minimum additional substance required to achieve compliance without unnecessary cost.
The Consequences of Inadequate Substance
Non-compliance with economic substance requirements carries serious consequences in most offshore jurisdictions. Financial penalties — ranging from USD 5,000 to USD 400,000 depending on the jurisdiction — are imposed for each year of non-compliance. Persistent non-compliance can result in spontaneous exchange of information with the tax authorities of the beneficial owner’s home country, regulatory strike-off of the company, and in the most serious cases, criminal liability for directors.
Elaris conducts an annual substance review for all companies under our administration and provides advance notice where a company’s activities or structure have changed in a way that affects its substance obligations. We do not allow clients to inadvertently fall into non-compliance.
Ready to Begin?
Speak to an Elaris advisor about your specific requirements. Initial consultations are complimentary and without obligation.