When looking for how to start a Hong Kong company, there are several options open to entrepreneurs. One of the most popular is to open a corporation. A corporation is an entity separate from its owner. It enables the business owner to have tax advantages when making investments or passing on company formation benefits in Hong Kong. However, there are other benefits of company formation in Hong Kong other than the apparent reduction in taxation. Here are just a few:
How to start a company in Hong Kong? Limited liability. By incorporating a company in Hong Kong, you limit your liability. You are also able to modify your company’s assets and weaknesses and protect them under local laws. Being a limited company allows you to be protected against lawsuits and gives you better protection from creditors.
Open sign. Unlike many countries, Hong Kong has no requirement for company formation. So even if you own a small business that does not have a permanent address, you can register it with the Small Business Administration (SBA) and open a company. The SBA will handle all the paperwork and provide you with the necessary license to operate it. It means that you do not need any capital to open up a company – a huge benefit in these difficult economic times.
No taxes. Once you have registered your company, it will not attract any surcharge either. You will also benefit from other state and local government programs that extend tax discounts to small businesses. While applying for company formation in Hong Kong, make sure that you get all the relevant information about these programs as they are also available on the mainland.
Fast processing. Hong Kong is an attractive place to open a company because of its low registration and company formation costs. There is no need to go through the tedious licensing procedure in China as everything is done electronically. Plus, you will only need a nominal deposit to start up the company. All these factors make it easy for people from anywhere in the world to set up a company in Hong Kong.
Easy access to the internet. You can access all the services related to company formation in Hong Kong from your computer. There are many sources of information that you can find on the internet, so there is no need to personally visit a company’s offices if you want to know more about the process of opening a company. Plus, you do not need to spend hours trying to understand jargon when you are just starting up your business – find a tutorial site and follow it step-by-step.
Quick legal advice. When you start a new business in Hong Kong, it is advisable to contact a lawyer who can provide you with all the necessary legal advice and assistance to register your company. It is essential because it will give you a clear idea of the requirements you will have to fulfil and provide you with guidance on how much money you will need to pay. Plus, a good lawyer will also help you decide what kind of business you will be planning to operate – if you need a franchise or not.
These factors make Hong Kong an attractive option for people looking to start a company in Hong Kong. It offers cheap registration fees, quick turnarounds, low cost of maintaining the office and other operational costs, and plenty of business opportunities available. Thus, whether you want to open a retail business, an investment company, or even an international airline company, you have all the chances of doing so in Hong Kong.