Overview of a Labuan Protected Cell Company (PCC)

A Labuan Protected Cell Company (PCC) offers a dynamic structure that seamlessly integrates flexibility and security. A Labuan PCC, whether established as a Labuan company or converted from an existing Labuan company, operates as a limited liability entity with a legal entity that has the ability to form distinct cells.

The cells of a Labuan PCC may comprise:

  • A core for holding non-cell assets or general assets; and
  • Any number of cells with the intention of segregating and protecting the assets of each respective cell.

These cells, while not separate legal entities, maintain full independence and are capable of conducting business activities independently, sheltered under the “umbrella” of the Labuan PCC.

 

Labuan is the sole jurisdiction in Asia offering both conventional PCCs and Shariah-compliant PCCs, positioning itself as a unique and versatile jurisdiction for organisations seeking tailored and diverse structuring solutions.

See Also

Labuan PCC's Regulatory and Compliance Standards
Comparison of Labuan with Other Jurisdictions
FAQs on Labuan Protected Cell Companies

Exploring the Functions of a Labuan PCC

Within a Labuan PCC, cells serve to segment and safeguard assets, presenting an ideal vehicle to hold varied classes of assets, catering to diverse investor objectives. This structure retains the autonomy of each cell, ensuring segregation and protection of individual assets while facilitating collective investment objectives.

A Labuan PCC is allowed to conduct:

  • Labuan captive insurance business
  • Labuan captive takaful business
  • Business as a mutual fund
  • Business as an Islamic mutual fund

Why Choose Labuan

Strategic location to tap into the Asia Pacific market

Shared time zone with major Asian cities for seamless interaction

Excellent infrastructure and regulations within the Labuan IBFC

OECD whitelist jurisdiction status

Recognised by prominent exchanges for entity listing (such as Hong Kong, Singapore, Malaysia, Australia, and Dubai Exchanges)

100% foreign ownership with a minimum requirement of 1 shareholder and 2 directors

Low corporate tax rate of 3%

Absence of withholding tax, stamp duty, GST, import duty, sales or service tax, capital gains tax, inheritance tax

Void of tax on dividends to shareholders

Void of tax on director fees for foreign directors

FA Advisory offers one-stop application solutions for your Labuan Protected Cell Company, encompassing:
  • Consultation on eligibility and procedural guidance tailored to your profile.
  • Profiling, due diligence and guidance on documentation preparation.
  • Preparation of Business Plan, Financial Forecast and Operation Manuals.
  • Submission and supervision of the application process until approval.
  • Acting as your liaison and contact point with LFSA, arranging for interviews (if any).
  • Tracking the license approval and handling all queries from LFSA.
  • Advisory services on the appropriate company structure post-approval.
  • Assistance in setting up onshore and offshore bank accounts.
  • Assistance in establishing operational and marketing or co-located offices.
  • Staff provision and office space rental.
  • Internal audit and compliance advisory.

About FAA Advisory Limited

Comprising a team of seasoned professionals well-versed in Labuan's business landscape, FAA Advisory Limited extends a comprehensive suite of services covering corporate services, private wealth management, and licensing compliance administration, all tailored to meet the unique needs of our clients.

At FAA Advisory Limited, our expertise lies in delivering Labuan insights that facilitate business expansion, simplifying intricate processes, and offering valuable information to guide you through various facets of your journey.

Choose FAA Advisory as your trusted partner in navigating the dynamic business landscape of Asia. With our commitment, we are your gateway to success in Labuan and beyond.

Email: advisory@finarkasia.com | Phone number: +6010-931 6678