Archive for December 2017

A Guide To Starting Your Company In Hong Kong

To incorporate of an organization, it’s important to register it with Hong Kong registry of companies under the Businesses Ordinance. Nevertheless, as an initial step, the entrepreneur must decide the type of firm that he/she wants to start. Essentially, there are two types of companies: private and public. An private company is created for running a small business, and its features are there are restrictions on the how to transfer its shares; the number of members is limited to 50, which do not include employees and past workers; and the public are not able to subscribe for shares or debentures. A public company, however, has none of the above limitations. Private companies far outnumber the number of public companies. Furthermore, most companies are limited businesses, implying that the responsibility of the shareholders is bound for their respective shareholdings. In case there are any financial issues, where fact the company gets into high debts and financial obligations, the property of the business might be utilized to repay the creditors, however the shareholders from the company wouldn’t be required to pay the money if there are inadequate funds to keep all the financial obligations. A potential entrepreneur would have to decide the kind of company to include in discussion with a specialist consultant who can also help you in including your company in the Hong Kong registry of companies.

Company Formation Process

The necessary services for establishing the business are verified by Hong Kong registry of companies after they have collected the mandatory diligence. The legal, accounting, and tax implications of business are resolved with this company. The company name is definitely reviewed. After this, you will fill the corporate structure for starting the new company. This structure includes the amount of directors and shareholders. The consultancy firm then provides the incorporation

When the company has been created, the business owner will need to open a business bank-account, get corporate and trade financing and vendor accounts, and look for an appropriate local office or a virtual office. It is simple to open multicurrency accounts online. Many international banking institutions run in Hong Kong, and business owners can chose them for starting their corporate bank accounts. Since there are zero currency requirements or restrictions, operating a global business from an office in Hong Kong will have no problems at all. The other requirements for beginning a business, such as starting a company site, a logo and search engine marketing, are often done late. Among the main advantages of managing a business from Hong Kong is that it is the best gateway to China, which is world’s third largest economy.

Company Structure

The structure of the business must always have the following components: in least one shareholder; one director; a company secretary; a Hong Kong address; auditors from an accountants company in HK; and a business certificate. It is possible for one person to act as a director, shareholder, and secretary, but when there is just one director, he cannot also act as a manager. There is no minimal requirement for share capital.

It is recommended to find a HK Hong Kong registry of companies agent for opening accounts and fulfilling the formalities, because you might not know must be done.

Your decision to create a company in HK should, nevertheless, be taken after considering all the benefits and drawbacks. It could also good to get a specialist opinion from offshore experts who will provide a third-party perspective and a clear image of your chances of success.

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