Hong Kong Private Limited Company Formation

The Hong Kong Special Administrative Region of the People’s Republic of China, is an autonomous territory on the southern coast of China Home to around 7.2 million people, it is one of the world’s most densely populated regions.

Hong Kong is known as the gateway to China, it was previously under British Rule until as recently as 1997. Since coming back under Chinese Control, the Closer Economic Partnership Arrangement (CEPA), now offers preferential access to China’s Markets, making it a favourable international jurisdiction.

Hong Kong is an International Center for finance and trade, it is the third largest Financial Center in the world. Having more than a million companies incorporated, due to favourable regulatory environment and very competitive tax system. The ideal International Center of information exchange.

  • Most incorporations per annum than any other jurisdiction
  • Respected jurisdiction for business
  • Mainland China trade
  • PayPal Approved jurisdiction
  • Anonymity though nominee director/shareholder services
  • English is the main business and banking language
  • English Common Law System
  • E-Commerce Companies
  • Asset Protection
  • Tax Planning
  • Estate Planning
  • Financial Managements
  • Investment Holding
  • Leasing of other assets
  • Ownership of intellectual property
  • Yacht Registration
  • International Trading Company

A Hong Kong Private Limited Company has no trading restrictions apart from undertaking business in banking, trusts, insurance or forex activities, without the appropriate license or authorisation being granted.

It may also not solicit funds from the public or sell its shares to the public.

Completed prescribed company formation form. A few of the other requirements are the Name of the company to be incorporated (Three proposed company names, in their order of priority – in Either English, Chinese or both.)

A physical address, proof of residential addresses and certified copies of valid passports or national ID cards, such as those issued in the European Union, for each Director and Shareholder or if they are a Corporate body, the certificate of incorporation and its registered address. These need to be certified by either a Notary Public, Bank or by the issuing country’s Embassy.

Authorised share capital and par value per share as well as issued and paid up share capital and how it is divided amongst each shareholder if more than one.
The name and address of the third party who is 18 years or older, who needs to witness the shareholders signatures in the Memorandum and Articles of Association (It is also needed for them to sign the Memorandum and Articles of Association.)

The company’s proposed corporate structure and proposed scope of business.
These need to be submitted to the Hong Kong Companies Registry.

Overview
Company TypePrivate Limited
Country LawCommon Law
Company LawCompanies Ordinance (Cap 622 replacing Cap 32)
Registered Office RequiredYes
Local Registered Agent RequiredYes - Possibly for Company Secretary
Shelf Companies PermittedYes
Migration Of DomicileNo
Average Time To Form Company

1 to 10 Business Working Days

New Formations take the Maximum time

Government Fees
Minimum Government Formation Charge$295 USD
Recurring Minimum Annual Company License Fee$1200 USD
Annual Return Filing Fee$ 700 USD
Corporate Tax
Corporation Tax

Yes, 16,5% tax for profits derived in Hong Kong

No, for offshore transactions

Access to Double Taxation TreatiesYes

Hong Kong Private Limited Companies are not subject to tax on capital gains, dividends and interest earned

Directors
Minimum Required Directors1
Local Director RequiredNo
Records PublicYes
Board Meeting LocationAnywhere in the World
Corporate Directors PermittedYes
Privacy - Publicly Available RecordsYes (Although Nominee Services Can be used)

There is a minimum requirement of one Director, of which may be the only shareholder. Directors can be either individuals or corporate bodies of any nationality and resident of any country.

Company Secretary
Secretary RequiredYes
Local or Qualified PositionYes - Individual or Corporate Body but must reside in Hong Kong
Share Capital
Standard Currency

HKD Hong Kong Dollar

Pegged to the USD1.0 =H KD 7.74

Permitted Share CurrencyAny
Minimum Paid Up Shares$1 HKD
Usual Authorised$10,000 HKD
Bearer Shares PermittedNo
No Par Value Shares PermittedNo
Shareholders
Minimum Number Of Shareholders1 Shareholder
Corporate Shareholdes PermittedYes
Meeting LocationsCan be held anywhere in the world
Privacy - Publicly Available RecordsNo

Ordinary shares, preference shares, redeemable shares and shares with or without voting rights, subject to the Articles of Association.

Company Accounts
Requirements To PrepareYes
Audit RequiredNo - Only required if business is conducted in Hong Kong
Keep Financial RecordsYes - minimum 7 years
Requirement To File AccountsYes
Requirement to File Annual ReturnYes
Accounts Publicly AccessibleNo - Only Accessible if a listed company

Hong Kong Private Limited Companies are subject to a 16.5% Tax on all income derived from within Hong Kong. They also benefit from no tax on capital gains, interest on income, dividend income or withholding tax.

Hong Kong Facts
Location

Autonomous territory on the southern coast of China

Hong Kong Special Administrative Region,

of the People’s Republic of China

SizeApproximate area of 1104 sq. km
PopulationApproximately 7,234,800
Languages Spoken

Main and Official Languages are:

English

Chinese

Recognised Regional Language is:

Cantonese

CurrencyHong Kong Dollar (HK$ or HKD)
Politics

Special Administrative region of China

Economy

Main Industries:

Tourism

Offshore Incorporation and management

Offshore Banking

Captive Insurance

Fishing

Transport

Air

Road - Driving on the Left

Boat

Train

Tram

Time Zone

UCT +8

hong Kongdoes not utilize Daylight Saving Time

International Dialling Code+852
Internet TLD.hk

Contact us today to enquire about the Cost of Formation or if you have further questions regarding the application process.

Hong Kong Private Limted Company Formation Enquiry

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