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Company Formation In Hong Kong

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Looking to start a company? Company formation in Hong Kong comes with a lot of perks, mainly because of its business-friendly vibe, strong legal system, and great location. Here are a few key benefits:

Advantages of Company Setup in Hong Kong

Strategic Location

Hong Kong sits in a perfect spot. It’s right by China and near other big Asian markets, making it great for global trade. From here, businesses can easily reach tons of customers.

Free Market Economy

Hong Kong is well-known for having a free market with hardly any government interference or regulations. This attracts foreign investors to its business-friendly environment.

Simple Tax System

The tax system in Hong Kong is really business-friendly. There are no taxes on dividends or interest, corporate tax rates are low, and they don’t tax foreign income.

Advanced facilities

The city has great infrastructure, with good transport and communication systems. Plus, its port is one of the busiest in the world. All this makes it easy for companies to reach global markets.

Robust Legal System

Hong Kong’s legal system is based on English common law and is set up to protect businesses and intellectual property. The courts are independent, so companies can feel secure operating here.

Financial Hub

The country’s thriving financial services sector is ideal for efficient fundraising and management.

Ease of Doing Business

Company setup in Hong Kong is pretty simple, with only a few bureaucratic hassles. In fact, the government provides resources to help businesses get started.

Gateway to Mainland China

Hong Kong offers a special gateway to China because of the "One Country, Two Systems" approach. Through CEPA, local businesses benefit from reduced tariffs and simpler market access to China.

InteliumLaw Company Registration in Hong Kong Services

Company Incorporation

From name approval to the submission of necessary documentation, we assist with the entire company registration in Hong Kong. This includes writing the Memorandum and Articles of Association for the company and helping with setting up the corporate bank account.

Continuous Legal and Tax Consultation

Even after your business is set up, we’re here to give legal and tax advice, help with tax planning, and make sure you’re following Hong Kong’s filing rules.

Contract Preparation and Review

We take care of drafting, reviewing, and negotiating your key business contracts, like shareholder and partnership agreements.

Legal Compliance and Risk Management

We help your business stay compliant with local laws and manage risks, making sure everything runs safely. We keep things simple so you can focus on actually running your company.

Company Formation Hong Kong Categories

Entrepreneurs and investors looking to set up in Hong Kong have a lot of different business types they can choose from.

Private Limited Company

This is the most popular setup for company formation Hong Kong. It limits shareholders’ liability to whatever they put in the business and makes it easy to transfer ownership. But you need a local company secretary and a registered address to start.

Public Limited Company

A public limited company allows you to sell shares to the public. But there are stricter rules, so it’s usually a better option for bigger businesses looking for public investment.

Partnership

Two or more people can join together to run a business as partners. There are two types: general partnerships, where everyone is fully responsible for the debts, and limited partnerships, where each partner’s risk is only up to what they invested. Both options allow people to share the business.

Branch Office

A branch office is basically an extension of a foreign company, and it operates under the same name. Any liabilities it has are tied to the parent company as well.

Representative Office

This option is great for foreign businesses that want to explore the market or promote products without actually making money. However, it can’t sign contracts or earn income, though.

Paperwork for Company Setup Hong Kong

These typically include:

  • Proposed Company Name. Make sure the name you want is available and not already taken by another company or violating any copyrights.
  • Incorporation Form. This form gives all the essential details about the company, like its official address, what it does, who’s in charge, and who owns it.
  • Articles of Association. This document lays out how the company will be managed internally.
  • Proof of Identity and Address. Directors and shareholders need to provide valid IDs and recent proof of where they live.

Steps to Hong Kong Company Registration

  1. Decide on the Company Name and Category
    Choose a company setup Hong Kong offers. Then, choose a unique name that’s available and doesn’t violate any copyrights.

  2. Supply Paperwork and Pay fees
    You need to provide important documents like the registration form, memorandum, and articles of association. Don’t forget to pay the incorporation fee, too.

  3. Receive Certificates
    With Hong Kong company formation processes concluded, you’ll receive Certificates of Incorporation and Business Registration.

  4. Obtain Required Permits
    Sometimes, you may be required to get an additional license or permit, depending on your business category.

Taxation in Hong Kong

Hong Kong uses a territorial tax system, which means your company only pays taxes if it’s doing business and making profits inside Hong Kong. If your company conducts activity in Hong Kong it is subject to tax, despite the fact if this income derived from Hong Kong or not.

The tax setup has two levels:

  • The first HKD 2 million in profits is taxed at 8.25%.
  • Anything above that gets taxed at 16.5%.

There are no taxes taken out on dividends, interest, or rent. But, if you’re paying for intellectual property outside of Hong Kong and it’s tax-deductible, it’s taxed at 16.5%.

To have a business that will not be subject to tax in Hong Kong it is important to consult with experts and structure your activity properly. Please contact Inteliumlaw on this matter.

Costs of Registering a Company in Hong Kong

Here’s what forming a company will cost:

  • Registration Fees. This covers name approval and filing with the Companies Registry.
  • Professional Fees. If you hire lawyers, accountants, or corporate service providers, there will be extra costs.
  • Secretarial Services. You’ll need a local secretary by law, which adds more fees.
  • Licenses and Permits. Depending on what your business does, you might need extra paperwork that costs more.

For more info on our services and prices, just reach out to us today.

Incorporate your New Hong Kong Company Now

If you decide to register a Hong Kong company, contact us via form, and we’ll get in touch to talk about your situation and come up with a solution that works for you.

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FAQ

How to check Hong Kong company registration?

You can look up details of registered companies and check document records through the e-Services Portal of the Companies Registry.

What is the degree of difficulty in forming a corporation in Hong Kong?

Overall, setting up a corporation in Hong Kong is pretty easy. You can do the whole process online, so there’s less need for physical paperwork.

Can a non-native act as a director in a company based in Hong Kong?

Yes, a foreigner can be a director in a Hong Kong company, but you do need to have a local secretary.

What is the duration of company registration?

The registration could be completed as quickly as two days or could last up to 10 days, depending on varying factors.

What is the significance of a Business Registration Number?

A BRN, or business registration number, is a unique number given to a registered company by the IRD. It’s recognized as the official tax ID number for the company.

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The accumulated experience and tracking of future changes in this area allow us to be proactive
for our clients and develop the most adapted business structures to modern conditions.

By submitting this form, you hereby authorize Inteliumlaw to process your information for the purpose of addressing your inquiry. You retain the right to revoke this consent at any point. For further details, please review our Privacy Policy.

LEAVE A REQUEST FOR A SERVICE

The accumulated experience and tracking of future changes in this area allow us to be proactive
for our clients and develop the most adapted business structures to modern conditions.

By submitting this form, you hereby authorize Inteliumlaw to process your information for the purpose of addressing your inquiry. You retain the right to revoke this consent at any point. For further details, please review our Privacy Policy.