Hong Kong is primarily known for its liberal economic policies and the potential access to the massive Chinese markets. It is a route map to invest and trade with China. As per the records of World Bank, Hong Kong is ranked as the freest economy in the world for doing business. Hong Kong is an international city with advanced information and the freest harbor for trading in the world. For entrepreneur and Businessmen, Hong Kong provides the best business opportunity. Hence, Company Registration in Hong Kong is a viable option.
Benefits of Company Registration in Hong Kong
It is very convenient for the public or
potential investor to register a company in Hong Kong as Hong Kong is on new
rise of popularity for its active participation and initiative in Belt and Road
Initiative and is known for its sound legal environment and independent
execution which distinguish it from the Mainland China and adoption of English
Ease of Doing Business and Registration
choose the Name of the Business as the government allows the name of the
company to include words like foundation, association, international, united
requirement of physical office space to start and complete the company
restriction of the Business Areas, i.e. Businesses like Jewellery, treasury,
shipment, transportation, import and export and other hi-tech businesses can be
Development in Low Taxation business
environment, i.e. taxation in Hong Kong is very low.
Credit is the crucial Factor, which is the
basis in Hong Kong to develop international businesses and is readily
available, as every street of Hong Kong has banks.
Excellent Business Environment to the Entrepreneurs and Businessmen for Operating Business
barrier as English is the official business language in Hong Kong and all the
formal company documents are written in both English and vernacular language,
which provides ease of doing business.
has secured business credit and obtaining credit in relatively simple in Hong
least corrupt place in the world, it makes it easier for foreign investors to
depend on the local business laws to protect their business and assets.
Companies Formed In Hong Kong
The provisions and types of companies that can be formed in Hong Kong are relatively similar to the requirements of the Companies Act 2013. Choosing the right kind of business in a new place is an important decision to make, and there are several ways to do business and most popular is doing business through a limited company. The types of companies that can be formed in Hong Kong are:
The Company which is being registered in Hong Kong is required to deliver to the registrar the MOA and AOA of the company. The compliances of Hong Kong are similar to the compliances of the Indian Companies Act 2013. Once the company registers MOA and AOA in Hong Kong, ROC shall certify that the company has been incorporated.
Tax Exemptions for Company Registration in Hong Kong
A company incorporated in Hong Kong is legally exempt if it has no operations. The lawful tax benefits make the city attractive to the Entrepreneur and businesses.
Companies operating in Hong Kong, the Corporate Tax rate are lowest in Asia.
The companies registered in Hong Kong will benefit from the international double tax treaties signed by the authorities (Government) to minimize retaining of tax on payments outside India.
A company incorporated in Hong Kong enjoys free trade, and it does not charge tariffs on Import and Export. The further minimum procedure is kept for licensing and government registration.
Loopholes with Hong Kong Company Registration
on certain nationalities who are not eligible for a Hong Kong Investment Visa
like Afghanistan, Cambodia, North Korea, Nepal, Albania and Vietnam’s investor
cannot register their business and are not eligible for Hong Kong investment
in Employment visa due to the highly skilled and experienced entrepreneur as
the concerned person should provide the credentials of work and experience.
workspace as due to lack of space, rental costs in Hong Kong are incredibly high.
Due to very
high global demands for their services, banks of Hong Kong have become very
selective for their customer services.
of a Company in Hong Kong is guided by the Hong Kong Companies Ordinance, incorporating
a company in Hong Kong allows the foreign investors to take the benefit of
legal tax exemption. Various companies set up the subsidiaries in Hong Kong. The
labors are highly skilled with maximum literacy rate. It has also provided numerous
infrastructure opportunities for accommodation as well as for other businesses
like banking, entertainment and tourism.