Most new managers worldwide are domiciling their VC firms and funds in Delaware.
The world of Venture Capital is often described as a ‘Black Box’ by founders and entrepreneurs. However, as anyone who has ever tried to raise a VC fund knows, the complexity of fundraising is taken to new heights when dealing with domiciles, LPAs and fund structures. One of the issues faced by fund managers is…
Update on Popular Domiciles for Venture Capital / Alternative Investment Funds.
Fund domicile analysis for Delaware, the Caymans, Canada, Singapore, Hong Kong, Mauritius, the Netherlands, Luxembourg, United Kingdom and Estonia
Delaware is the top global fund domicile that is well regulated with reasonable costs and tax complexity.
Caymans is a top global fund domicile that is moderately expensive and has recently added increasing regulations.
Canada is increasingly popular fund domicile for the Americas with light regulations and reasonable costs.
Hong Kong is increasingly becoming an attractive domicile in Asia following the introduction of a new limited partnership structure with low setup costs.
Singapore is a popular fund domicile in Asia with strong regulations and extensive licensing process.
Mauritius is a common fund domicile for Africa that can be slower than alternative locations.
Luxembourg is a popular and expensive fund domicile in Europe with strong regulations.
The UK is a trustworthy fund domicile with strong regulations that has seen lower popularity after Brexit.
Estonia is low cost fund domicile alternative in Europe with some recent cost increases and slowdowns.
The Netherlands is quickly gaining popularity with new fund managers in Europe.