Business Setup in Hong Kong

Business in Hong Kong

Located on the south-eastern coast of China and in the heart of rapidly developing East Asia, Hong Kong is one of the most densely populated regions in the world. Especially known for its business milieu, Hong Kong has one of the freest economies. It is a very popular place for company incorporation by foreign investors and businesses because it is near China and has a simple tax system with no VAT, minimal government market intervention, and an established international business market. Hong Kong Stock Exchange is the 7^th largest in the world. This is one of the factors that makes Hong Kong China’s global financial centre.

Hong Kong is a preferred destination for international company headquarters. As of now, over 8,000 mainland and overseas companies have their offices in Hong Kong. Furthermore, Hong Kong has developed into a launch pad for start-ups, because of sundry private and public initiatives introduced to nurture start-ups. These include government funding schemes, seed capital providers, business development support, promotion platforms, co-working spaces, and incubation programmes.

Company Incorporation in Hong Kong

A company in Hong Kong can be incorporated as one of the following legal entities.

• Sole Proprietorship: A sole proprietorship is the simplest legal business entity in Hong Kong, and also the easiest to set up. It is owned and conducted by 1 person (referred to as the sole proprietor) who bears unlimited liability, i.e., is liable will all one’s assets.
• Partnership: A partnership in Hong Kong is owned by 2 or more people. They share the entirety of the profits. In a general partnership, the partners bear unlimited liability, i.e., are liable for the debts of the partnership. In a limited partnership, not all the members are fully liable for the debts of the business; the liability of a limited partner is only limited to the amount of one’s capital investment.
• Private Limited Company: A private limited company has legal identity separate from that of its members, who can range from 2 to 50 in number. The liability of its members is limited only to the amount of their respective investment in the company, and a member’s personal assets cannot be held in liability if the company goes into bankruptcy. This type of structure is suited for small and medium sized companies.
• Public Limited Company: Like a private limited company, the identity of a public limited company is separate from its members. The number of shareholders in it can be more than 50. Such a company is usually listed on the Hong Kong stock exchange and thus has to follow specified regulations for public disclosure of information. This type of structure is suited for large businesses.
• Branch Office: A branch office is meant for a company incorporated outside Hong Kong that sets up a place of business in Hong Kong. It must register with the Companies Registry as a ‘Registered Non-Hong Kong Company’ within 1 month of its establishment. Unlike a subsidiary limited company, a branch office is not a separate legal entity from the parent company, and can leverage funds off the credit rating of its owner.
• Representative Office: A representative office is meant for an establishment looking to fulfil limited functions, as it cannot engage in profit-making activities. It can be used for performing market research and exploring the Hong Kong market.

Benefits of Company Incorporation in Hong Kong

Setting up a company in Hong Kong in beneficial from the following standpoints:

• Hong Kong is one of the most liberal economies in the world. Company formation here is simple, quick and inexpensive.
• Hong Kong is a prime financial centre and, and incorporating your company here entitles you to open a multi-currency business bank account at a bank recognized worldwide.
• The taxation system in Hong Kong is simple, with corporate tax as low as 16.5%.
• 100% foreign ownership is permitted for a Hong Kong company.
• Hong Kong has a reputation as being the best route to begin doing business in China for western countries.
• Hong Kong is a developed nation with a highly advanced business infrastructure.
• Hong Kong is rated as one of the least corrupt countries.

Who We Are

Business Setup Worldwide is a platform to help you set up your business. Right from incorporation, registration and licensing to establishing your office space, we facilitate the formation of your company through counselling and incubation.

Strong commitment to high quality professionalism, comprehensive capability across varied segments of disciplines, proactive and continuous learning in the ever-changing global environment and ability to conceive innovative strategies and provide comprehensive support in executing such strategies distinguish Business Setup Worldwide, and provide the competitive edge in ensuring growth.

Why Us?

Company setup in Hong Kong envisages huge earning potential, tax exemptions, world-class infrastructure, modern amenities, and liberal business policies. Business Setup Worldwide helps global investors, businessmen, and corporates set up company in Hong Kong to optimally utilize all the advantages that a developing economic hub provides. Our experts take care of the entire Banking, Visa, Legal, and Licensing formalities, and allow corporates to enjoy their company formation process without worrying about the bureaucratic red tape and legal formalities.

Business Setup Worldwide's proprietary business design techniques, combined with its specialized industry knowledge and global reach, enable companies to anticipate changes in customer priorities and the competitive environment, and then design their businesses and improve operations to seize the opportunities created by those changes.