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| Establishing a Business in Hong Kong | |||||||
Establishing a business in Hong Kong is a secure, long-term and tax efficient way to accomplish global business. Several important points to consider when establishing a business in Hong Kong include: | |||||||
1.
| The process of establishing a business in Hong Kong is simple and efficient, confirmed by the World Bank's ranking of Hong Kong as the world's 3rd easiest place in which to do business in it's Doing Business 2010 Survey. | ||||||
2.
| Establishing a business in Hong Kong is completed through the Companies Registry. The cost to register a company with the CR is US$550. After company establishment, the company details (for example full shareholders' and directors' information), are available for public viewing on the online public register.
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3.
| After establishing a business in Hong Kong, the company is not required to register for goods & sales tax (GST) as Hong Kong enjoys the absence of GST and value added tax (VAT), as well as capital gains tax. | ||||||
| 4. | Inward foreign investment into Hong Kong in 2006 was US$41 billion (US$34 billion in 2005), Asia’s second-largest recipient of foreign direct investment after China. | ||||||
5.
| Rising numbers of international investors are establishing a business in Hong Kong, often as a regional or global headquarters. In fact, more than 4,000 companies have chosen to make Hong Kong their global headquarters.
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6.
| The Hong Kong Companies Ordinance of 1997 governs company establishment. Corporate regulations for establishing a business in Hong Kong include the requirement of a director, and at least one shareholder, who can be local and international. Both individual and corporate shareholders are permitted. The minimum authorised share capital for a Hong Kong company is HK$1.
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7.
| The Hong Kong economy is modern and dynamic and Hong Kong is ranked as one of the world's wealthiest country in terms of gross domestic product(GDP) per capita, creating a strong domestic consumer market. Establishing a business in Hong Kong also allows foreign entrepreneurs to take advantages of international tax-efficient trading in one of the world's most reputable jurisdictions. | ||||||
8.
| After establishing a business in Hong Kong, annual financial statements and an annual corporate tax return are submitted to Inland Revenue Department (IRD) by 31 March. | ||||||
9.
| Investors establishing a business in Hong Kong may be hindered by the fact that Hong Kong signed limited comprehensive double tax agreements with China, Thailand, Belgium Luxembourg and Vietnam. This is a reason why a Singapore company is often the preferred alternative global corporate structure to a Hong Kong company. | ||||||
| Contact Us | |||||||
For more information on establishing a business in Hong Kong, email email@healyconsultants.com or call us in Hong Kong at (+852) 8331 1911. | |||||||
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Back to Hong Kong Company Formation page | |||||||
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