The most common form is a limited liability company (LLC). For sole owners of an LLC, liability is unlimited.
Partnership - two or more partners. It can be general (unlimited liability) or limited (limited liability for some partners).
Registration process
It takes from 1 to 4 weeks remotely (depending on the speed of providing documents and information):
Choosing a company name.
Preparation of documents and information.
Passing the KYC procedure.
Registration of the company.
It is mandatory to have a company secretary (must reside in Hong Kong or be a legal entity based in Hong Kong), as well as a registered office in Hong Kong (the address must be real, a P.O. box is not allowed).
A shareholder may be a director. There is no requirement to pay him a salary.
The business registration certificate must be obtained within one month from the date of commencement of business. It is valid for one or three years with the possibility of renewal.
If you register a company with us, we will help you fulfill all the requirements on a turnkey basis.
Bank account
Opening an account requires physical presence. The requirements differ significantly depending on the bank. Some banks allow you to complete the process remotely.
Taxes
Income tax:
8.25% - up to HK$2 million; and
16.5% - from HKD 2 million.
There is no tax on capital gains and VAT, dividends.
Tax liabilities are based on the source of income principle.
Annual reporting
Annual declaration to the Company Register.
Annual audit of financial statements.
Income tax return to the Department of Internal Revenue.
Hired labor
If you have staff, you must comply with Hong Kong labor laws, including mandatory Provident Fund (MPF) contributions, minimum wage requirements, and statutory benefits.
Protection of intellectual property (IP)
Hong Kong has a robust IP protection regime. We recommend registering your trademarks and patents to protect them in the Hong Kong market.
Entrust this matter to us, as we have many years of experience in protecting IP in many countries around the world.
Data protection
Compliance with the Personal Data Protection Ordinance (PDPO), which regulates the processing of personal data, is mandatory.
Currency control
None. Companies can freely exchange and transfer funds to and from Hong Kong without restrictions.
Visa requirements
Non-residents wishing to relocate to Hong Kong for business may apply for an investment visa under the General Employment Policy, subject to certain criteria, including making a significant contribution to the economy.
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