Hong Kong Company Incorporation

Hong Kong has been ranked as the fourth-easiest country to do business by the World Bank. Its strategic location and numerous advantages make it an attractive destination for entrepreneurs looking to set up a company.

● An International Junction: Situated at the heart of Asia, Hong Kong provides access to some of the world's largest and robust economies. It serves as a gateway to the Chinese market and offers convenient connections to Asia and beyond;

● Free Trade Policy: Hong Kong benefits from the Closer Economic Partnership Arrangement (CEPA), a bilateral free trade agreement with mainland China;

● Low and Simple Tax: Hong Kong boasts a straightforward and low tax system, which is a significant advantage for businesses. With a corporate tax rate of 15% and no withholding tax on dividends and interest, it provides a tax-friendly environment. Additionally, there is no value-added tax (VAT) or goods and services tax (GST);

● Limited Liability Company (LLC) Setup: The option of establishing a Limited Liability Company (LLC) is the most popular incorporation choice in Hong Kong;

● Relatively Hassle-Free Setup: Compared to mainland China, setting up a company in Hong Kong is relatively simple and fast. Hong Kong's legal system operates separately from mainland China, based on English common law, offering an open economy and free trade;

● No Requirement for a Local Director or Shareholder: Unlike some Southeast Asian countries, such as Singapore, Hong Kong does not require companies to have a local director or shareholder.

Timeline: about 5 working days

A Hong Kong limited company has certain requirements when it comes to shareholders, share capital, directors, company secretary, and registered office address of the Hong Kong incorporated company.

The process of registering a company in Hong Kong typically involves the following steps:

● Choose a company name – This name must be unique and approved by the Hong Kong Companies Registry.

● Prepare the incorporation documents – These include the Memorandum of Association and Articles of Association, which outline the company’s purpose, share capital, and governance structure.

● Appoint directors and company secretary – The company must appoint at least one director and one company secretary, who do not need to be residents of Hong Kong.

● Obtain a registered office address – The company must have a registered office address in Hong Kong where all official communications and legal documents will be sent.

● Submit incorporation application – The company incorporation process at the Hong Kong Companies Registry (“CR”) is fast and easy.