Because Anguilla, unlike many of its competitors, is a true zero-tax jurisdiction, this entity is free of tax although entitled to do business both within (unlike an IBC) and outside Anguilla. This may prove a desirable characteristic in the face of OECD and G7 pressures related to so-called harmful tax competition.

An ABC is exempt from many filing and reporting requirements of a public company and may also be structured to function with a trust created under the Trusts Act. The ultra vires doctrine has been excluded and nominees may be used in place of principals. Further, there is provision for redomiciliation of companies incorporated under the laws of other jurisdictions.