Incorporation & Bank
Hong Kong’s appeal as a global business centre is stronger than ever.
As a Special Administrative Region (SAR) of China, Hong Kong has a set of legal and economic systems distinct from those of mainland China.
This, combined with a legal structure based on common law and a simple tax system, makes Hong Kong a prime choice for international entrepreneurs and a preferred destination for offshore banking services.
However, setting up a company in Hong Kong can be challenging, especially for first-time entrepreneurs. To make life easier for entrepreneurs, Plizz offers a comprehensive company registration service in Hong Kong. Our team of experts will assist you every step of the way and offer post-incorporation services such as company secretarial services, registered addresses and the appointment of representatives.
Incorporation process in Hong Kong
Setting up a company in Hong Kong is a straightforward procedure that involves several key steps. Initially, you need to make choices regarding your business entity, known as the company type, and decide on an appropriate company name. A quick search on the Companies Registry website will help determine if your desired name is available.
The basic requirements for establishing a company in Hong Kong include having at least one shareholder, a minimum share capital of $1 HKD, a company secretary residing in Hong Kong, and a local office address. Once you’ve completed the name search and verified all necessary information, you’ll be required to complete a set of incorporation forms and provide copies of relevant documents. These materials should be submitted via the e-registry to the Hong Kong Companies Registry and Business Registration Office.
The duration of the entire registration process, carried out through an electronic form, may vary depending on the applicant’s experience and qualifications. Generally, it can take anywhere from 7 to 14 working days to receive your certificate of incorporation.
Why should you settle your business in Hong Kong?
Choosing Hong Kong as the location for your business is a strategic decision with many advantages. Hong Kong stands out as an excellent destination for businesses, and the reasons for its appeal are clear.
One of Hong Kong’s main attractions is its favourable tax environment, which makes it an attractive choice for foreign companies wishing to set up business. In addition, Hong Kong has a strong legal system and a business-friendly environment, both of which create fertile ground for profitable business ventures. Hong Kong also offers a highly skilled and productive workforce.
Its stable economy, strong workforce and business-friendly tax policies collectively speed up the process of setting up and running your business. This means you’ll spend less time dealing with red tape and have more time to invest in the core activities of your business.
What are the different types of legal entity in Hong Kong?
In a partnership, two or more people join to set up and run a business. Hong Kong law recognizes two types of partnership: ordinary partnership and limited partnership.
In an ordinary partnership, all partners share equal responsibility for the liabilities and debts of the business. In contrast, a limited partnership, on the other hand, consists of one or more general partners with unlimited liability and one or more limited partners with unlimited liability.
Plizz’s team of experts can help you assess the advantages of setting up a partnership and choose the type of partnership that suits your business objectives. In addition, Plizz can help you draft comprehensive partnership agreements that define mutual expectations and minimize potential conflicts.
A Limited Company is a popular choice for SMEs in Hong Kong due to its legal separation of business and personal assets. Shareholders’ liability is limited to their respective shareholding, protecting personal assets from business risks. Two types of Limited Companies exist in Hong Kong: Private Limited Companies and Public Limited Companies.
Private Limited Companies require a minimum of three shareholders, while Public Limited Companies have higher minimum shareholding requirements and can issue shares for public trading. Limited Companies come with increased regulatory requirements, such as annual financial reporting and auditing.
Plizz can support your business through the entire process of registering a Limited Company, including legal documentation, financial reporting, and regulatory compliance. With our knowledgeable team guiding you, you can confidently establish your SME as a Limited Company in Hong Kong.
Foreign enterprises looking to establish a business presence in Thailand can opt for a Branch Office or a Representative Office. A Branch Office operates as an extension of the parent company, conducting business activities in Hong Kong under the same name. While it is subject to corporate income tax, it doesn’t require separate financial reporting.
A Representative Office, however, cannot engage in profit-generating activities. Its purpose is limited to representing the parent company and conducting market research, quality control, and other non-commercial activities. Representative Offices must report their expenses to Hong Kong’s Revenue Department.
Plizz’s expertise in dealing with foreign enterprises allows us to guide you in choosing between a Branch or Representative Office and facilitate the establishment and ongoing compliance for either structure.
Is it possible for foreigners to settle down a business in Hong Kong?
Yes! Once a person or entity has successfully completed the Know Your Customer (KYC) verification process, they are permitted to register companies in Hong Kong and enjoy the financial benefits associated with a local company. Nevertheless, it is essential to bear in mind that adherence to specific requirements is mandatory under the Companies Ordinance and the Registrar of Companies (ROC).
Your company will need to have a registered office address, a verified company name and a company secretary based in Hong Kong to comply with the rules laid down by the Companies Ordinance and the Companies Registry (CR). These prerequisites are essential for conducting business in Hong Kong within the legal framework.
Why do you need a business registration certificate to develop your company in Hong Kong?
The Company Registration Certificate is an official document issued by the Company Registration Office. It contains essential information about a company operating in Hong Kong. Every company operating in Hong Kong must have a company registration certificate and a unique registration number.
If you are running a business in Hong Kong, it is compulsory to start the process of applying for a business registration certificate within 30 days of commencing business. The issuance of this certificate and the allocation of the company registration number are carried out by the Inland Revenue Department (IRD) and the Companies Ordinance, which ensures compliance with the regulatory requirements applicable to companies in Hong Kong.