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A Guide to Hong Kong Offshore Company Formation Services

Hong Kong is deemed to be the most liberal economy on the planet. Its tax guidelines permit foreigners to enlist business in Hong Kong, which can be lawfully excluded from corporate income tax.

Even though the nation doesn't have a particular law that administers offshore business incorporation, it is one of the most predominant jurisdictions for setting up an offshore company inferable from its low tax system, nonexistence of foreign trade controls, monetary and political steadiness, simplicity of working together as an offshore company and so on.

Offshore business arrangement in Hong Kong is ideal for directing offshore banking exercises, investment exercises, global exchange, and asset insurance. This guide will help you understand the technique to set up an offshore company in Hong Kong as a foreigner.

What is an Offshore Company?

An offshore company is a lawful business substance that is framed outside the locale where the parent company is incorporated and completes the business activities just outside the nation of its origin. It is one of the best alternatives for business development and is also viewed as a non-occupant company.

Highlights of an Offshore Company

A portion of the qualities of an offshore company are featured underneath:

  • It can be incorporated with the presence of one investor and one director
  • Holds Legal, Financial, and Taxation benefits
  • It can be incorporated at a quicker pace

Why Is Hong Kong a Great Destination for Offshore Services?

Apart from the various superficial benefits that make Hong Kong a viable destination to set up a business, here are some more factors that make it one of the best offshore destinations:

  • One of the centre explanations behind picking Hong Kong as the ideal offshore objective is the Commercial Law that depends on the English System and charges a low corporate tax of around 16.5%
  • The district of Hong Kong has got more than 36 Double Taxation Treaty Agreement (DTTA) that permits the investors to lead business exchanges across 36 nations without including an import or fare tax
  • It serves to be an ideal ground to enter the Chinese market
  • Hong Kong has been an ideal alternative that centres around Foreign Direct Investment. Few details of the Hong Kong FDI is expressed beneath:
  • FDI inward stream for 2016: 117,387 million USD
  • FDI inward stream for 2017: 110,658 million USD
  • FDI inward stream for 2018: 115,662 million USD

These are some of the additional benefits that the investor can avail of upon setting up a business in Hong Kong. But this is not all the country has to offer; refer to our blog to understand why to start an offshore company in Hong Kong.

Offshore Company Formation Types

You can open an offshore company in Hong Kong in the ways mentioned below:

Incorporating a New Offshore Company

Enlisting a new offshore company in Hong Kong gives the flexibility to begin a business with a particular name. A Private Limited Liability Company (LLC) is one of the most widely recognized structures picked by business proprietors.

Buying a Shelf Company

Craving a shelf company is the practical choice to clear out the enrollment and legitimate procedures and begin an offshore business at the most punctual. The primary assignment needed to purchase a shelf company is to introduce the appropriate arrangement of documents.

Offshore Banking in Hong Kong

To manage the offshore business exercises, holding a bank account is critical. It is encouraged to continue ahead with the offshore bank account measure at the hour of company incorporation itself.

What is an Offshore Bank Account?

An offshore bank account is directed under the International Banking License, which gives more prominent security and doesn't engage in any business exchanges with the company foundation's jurisdiction.

Advantages of an Offshore Bank Account

An offshore bank account is a command to lead business exercises at ease. A portion of the advantages that the investors can benefit from are expressed beneath:

  • Protection of assets
  • Save tax on deposits, savings, and relevant investments
  • Convenient access to funds
  • Superior lending and credit facilities
  • Access international investment opportunities
  • Foreign exchange benefits
  • There are many benefits to initiating an offshore bank account.

It ends up being great if the company incorporation process gets finished in a problem-free way. To finish the process smoothly, the majority of the business investors want to re-appropriate the consolidation cycle to specialists, with the goal that they can focus on building and executing relevant strategies. Opening an offshore bank account is also a general practice followed by people willing to open an offshore company.

How to Set Up an Offshore Company In Hong Kong

1. Selection of the Company Name and Approval

The first step in your journey of opening an offshore company in Hong Kong would be to decide on the business's name and purpose.

2. Be Handy with the Essential Documents and Submission

For the Overview Process:

  • Bank statements for the last three months
  • Skype ID, CV (LinkedIn)
  • Professional background (Professional qualification certificate)
  • Proof of existing employment

For the How to Setup Process:

  • Certified copy of passport
  • Certified proof of address (Utility Bill of Gas, Electricity or Water)- the issue date must be less than three months ago
  • Bank reference letter
  • Bank statements for the last three months
  • Skype ID, CV (LinkedIn)
  • Professional Background (Professional Qualification Certificate)
  • Proof of existing employment

3. Registration with the Inland Revenue Department

The next process would require you to get a business registration certificate that the Inland Revenue Department will issue.

4. Proceeding ahead with an Offshore Bank Account

For an offshore business to be fully functional, an offshore bank account is essential. Choose a bank of your preference and provide the requirements to the bank to obtain a fully functional offshore bank account.

It is always recommended to get the help of experts to incorporate an offshore company. Offshore company registration in Hong Kong can get tricky without proper guidance.

Where Do We Fit In?

The most well-known approach to consolidate an offshore company in Hong Kong is by employing a consultant. We at Business Setup Worldwide can enlist an offshore company in Hong Kong for you.

Our advisors will gather the necessary data and records from you with company formation in Hong Kong. At that point, we will continue with recording the enlistment reports with the Companies Registry and document for enrollment with the Inland Revenue Department for your Hong Kong Company.

You will acquire a company incorporation pack that includes a company seal, share authentications, rubber stamp, company profile, a testament of incorporation, and so forth upon viable enrollment of the Hong Kong offshore company.

We can likewise uphold you with opening a bank account, getting business licenses, acquiring a migration visa, and taking care of ongoing company compliance and administration. Contact us today to learn more.