Interview with Philip Scales, Managing Director of IOMA (Isle of Man Assurance) Limited
By: Liz Corlett
31 January 2009
What sort of growth in that percentage do you envisage over the next 5 years?
It is impossible to say at the moment. There are very few launches at present on the AIM market. However, the success of this market and the popularity of the IOM as a jurisdiction from which to administer these structures means, I’m sure, that once the global economy starts to recover, we will again see a number of new listings.
Can you give examples of the sort of companies choosing AIM listing?
AIM is not for everyone but it has a ‘lighter regulatory touch’ than the main market. Its flexibility attracts start-up businesses and smaller companies, as well as certain types of niche market operators. In the past, property funds have been very popular, as have environmental and renewable energy funds. The one imperative is that to raise funds for AIM structures, the product has to be attractive to investors, with a strong pipeline of business that will substantiate the returns projected.
What are the chief factors which makes the Isle of Man an ideal place to incorporate?
The Isle of Man is historically an attractive jurisdiction, combining strong but fair regulation with a depth of infrastructure expertise found in administrators, non-executive directors, advocates and accountants. We can deal with a majority of the requirements of a listing.
How does the Island’s Zero corporate tax rate impact on the growth of this area of business?
Before Zero corporate tax, there were tax exemption structures, so being a low tax jurisdiction has always been an attraction of the Island. However the taxation changes and initiatives introduced recently all contribute to the ability of the Island to sustain its reputation as an internationally known supplier of excellent services and products.
What do you perceive to be the challenges to the Island’s success in AIM listing in the future?
The challenge facing the Isle of Man and everyone else are the problems in the global economy. There are very few new launches at present. However, we are confident that the Isle of Man is robust enough to weather the storm.