A Complete Guide on Incorporating a Hong Kong Company in 3 Steps
December 15, 2016
Want to operate an offshore company? Why not try one of the best places in the globe; Hong Kong? Since time in history, Hong Kong has been different. It is an economy that is guided and defined by its business competitiveness.
Hong Kong, which runs as an independent region of China, has utilized its independence to form leverage for businesses that want to become multinationals and launching pads for startups. To take advantage of this special and highly potential region, you only need to register a company. This is a complete guide on incorporating company in just 3 steps.
Why venture into Hong Kong?
- The World Bank ranks Hong Kong top of the most liberal economies in the entire world. Unlike in other places, Hong Kong administration ensures that the process of incorporating a company is easy, fast, and highly convenient.
- The banking system in Hong Kong is very stable, compared to others especially in the west. By incorporating a company in Hong Kong, you are sure that the deposit will be safe and requisite resources available on demand.
- The tax system is very simple, straightforward, and meant to support business growth. You are only required to remit 17.5% in taxes on profits that are made in Hong Kong only. If your company will be handling most of its transactions (making profit) outside Hong Kong, the chances are that you can even qualify for 0% taxes.
- Hong Kong is the Gateway to doing business with mainland China. Over 50% of multinationals that do businesses (import, export, or startups) with mainland China, are incorporated in Hong Kong. Besides, it is also the main gateway to the greater South Eastern Asia.
- To incorporate and start running a company in Hong Kong is very cheap. It is indeed one of the cheapest in the entire globe.
The 3 simple steps to incorporating a company in Hong Kong
Gather the relevant documentation
The company registry requires that you prepare all the necessary documents before presenting them to the registry office. These documents include;
- Copies of passports for the shareholders and directors.
- Proof of residence for directors and shareholders.
- Articles of association.
- The first minutes authorizing the incorporation of the company.
- Company structure.
- Physical address.
- Company secretary and his contacts including Hong Kong residence address
Incorporate the company at the registry's offices
All the documents are presented at the company registry for the registration process to begin. The process will take about two weeks to be completed.
Open a bank account
Once the incorporation certificate has been issued, you will require opening a bank account so that the new company can start its operations. You have to provide the certificate of incorporation, details of company directors, company secretary and shareholders to the bank when making the request. The bank account usually takes another two weeks.
Incorporate a company with assistance of an agency
For those who cannot fly all the way to Hong Kong, find the cost too high, or are busy elsewhere, the best alternative is using an agency. Agencies are run by experts who will assist you prepare all the documents and hasten the process. Besides, the agency can also assist you to get the company secretary and business address so that the entire registration process is completed without the need to travel to Hong Kong.