Business in Hong Kong - Business registration in Hong Kong

Hong Kong is a tax haven. Successful and aspiring businessmen are eager to open a business in Hong Kong. The special piquancy is given by the status of porto franco, which implies duty-free import and export of goods.

The Government's policy of attracting foreign investment contributes to the development of the economy and increasing the well-being of the indigenous population.

Business in Hong Kong

Those planning to open a business in Hong Kong should conduct a comparative analysis with neighboring countries, noting the significant advantages of starting a business in this jurisdiction.:

Advantageous geographical location,

Low and simple tax rates,

The immediate proximity of China,

Maximum concentration of the largest financial entities,

Minimized business management risks,

Simple and clear registration of companies,

Well-developed transport infrastructure of the region,

A developed innovative segment of the economy,

Availability of highly qualified labor resources,

Symbiosis of European and Asian cultures,

Absence of corruption,

Advanced technological environment.

In addition, despite the small territory and small number of minerals, the city's business population is growing due to environmental innovations: the construction of waste recycling plants, which subsequently received preferential preferences in their activities and the reduction of toxic emissions into the atmosphere.

It is honorable and profitable to open a business in Hong Kong. The developed financial sector brings almost instant profits, making you forget about the need to come up with new forms of doing business. The constant influx of fresh investments and the support of government agencies interested in the profitability of companies registered in Hong Kong creates a stable business environment.

Graduates of higher education institutions in Hong Kong are appreciated everywhere. Most prefer to stay at home, but a significant number leave for the United States and Europe, acquiring a decent level of salary and a public vocation. Special university projects practically from the student's bench determine the graduate's future place of work.

The unemployment rate is less than 3%; career preferences provided by business expansion and a thriving economy, favorable employment opportunities.

Taking into account the problems of pricing the real estate market, which is constantly growing upward, the management has taken an unprecedented step- introduced a tax on unsold apartments, forcing construction magnates and customers not to raise prices using current demand.

Start a business in Hong Kong

The combination of business ideas from the East and the West, the influence of Great Britain at the dawn of its formation with an Asian flavor, led to the creation of a special financial center filled with unconditional advantages. To open a business in Hong Kong is to raise your own reputation in the eyes of the world community.

The ethnic composition of the education is mainly represented by immigrants from China, but there is a significant number of representatives from other countries. The relationship between residents and non-residents eliminates misunderstandings - the use of Chinese and British dialects equally eliminates possible rough edges.

A person intending to join the jurisdiction of Hong Kong is not required to establish a head office on its territory. It is permissible to form a branch, a kind of "purchasing representative office" engaged in the purchase of goods, discarding the obligation to pay taxes.

Start a business in Hong Kong

When choosing the form of a company in Hong Kong, it is necessary to pay attention to the following factors:

The taxation system,

The degree of interest in potential clients,

The legal regime of operation,

Full legal freedoms,

The ability to attract auxiliary capital,

The volume of accounting documentation.

Do not forget about the limits of the responsibility of forming and expanding a business.

In an effort to develop the economy and maintain investment attractiveness, Hong Kong is moving towards innovation. The city was one of the first to offer a tax and legal haven for the interaction of cryptocurrency exchanges. As a kind of tax haven for a typical business, the regulatory climate of cloud assets has attracted many major digital mining and ICO players.

The final amendments to the Law on Companies of 2017 concerned the principles of certification of cloud providers, concerned about consumer protection.

Start a business in Hong Kong

Assuming to establish their own company, most entrepreneurs prefer to open a business in Hong Kong of the following forms:

SP is a private enterprise.

It is not recognized as a legal entity.

Disadvantages: Unlimited responsibility. The period of operation of the enterprise is limited, the opportunity to increase capital and the growth of the enterprise is limited. Difficulties in the assignment of ownership.

Advantages: Low tax rate. Full participation in management and the possibility of making a profit on a one-time basis. The simplicity and cheapness of closing an enterprise.

LP is a limited partnership.

It is not recognized as a separate legal entity.

Disadvantages: Unlimited responsibility of some participants. Difficulties in transferring property rights. Profit sharing among partners.

Advantages: Limited liability of some participants. Unlimited life of the enterprise. The opportunity to multiply capital and expand the business slightly. The tax rate is not high.

The bulk of Hong Kong businesses are opened in the form of limited property companies:

LLC is a limited liability company.

It is evaluated by a separate legal education.

Cons: It is more difficult to establish. The need for reporting. A time-consuming liquidation procedure.

Advantages: Limited liability. Unlimited period of operation of the enterprise. The opportunity to increase the funds raised and expand the business without hindrance. Low tax rate. No restrictions on the transfer of ownership. Tax benefits.

Business registration in Hong Kong

In addition to cooperating with foreign financial resources, government programs contribute to business development. An additional incentive for doing business is the absence of taxation on income earned outside the jurisdiction.

The stated simplicity of company registration is confirmed by the following mandatory steps:

Checking the uniqueness of the name. It should not correspond to the terms already established in Hong Kong, as well as contain terms related to illegal activities and contrary to moral norms. Prerequisite: end with “limited". It is allowed to use English/ Chinese languages, together and in a single version.

Preparation of constituent documents.

Registration in the register of companies, which ends with the receipt of a certificate of registration.

Payment of the registration fee.

Opening a bank account.

Registration with fiscal authorities.

Registration with the social insurance authorities.

Business registration in Hong Kong is a transparent procedure, but it requires a responsible approach. Practical advice and recommendations from experts will negate the possibility of a refusal to establish a registrar. Thorough legal procedures will provide an undoubted advantage.

The registration period does not exceed 30 days. Hong Kong law does not prohibit foreign investors from acquiring businesses in their own jurisdiction. The well-established image and connections among the businessmen of the chosen company form additional factors for the future success of commercial activities.

The most profitable types of activities include services:

Informational,

Brokerage services,

Export,

Import,

IT technologies,

Insurance,

The hotel business.

Real estate transactions demonstrate an undoubted advantage. There is a high interest in starting a business in Hong Kong, which allows for the rental and acquisition of offices and technological space.

The Special Agreement on Close Economic Partnership with China (STEP) is aimed at strengthening mutual economic cooperation and facilitating the transit of entrepreneurs to the mainland of China.

In accordance with the provisions of the agreement, companies engaged in trade and service provision acquire preferential opportunities. As a result, a significant number of goods manufactured in Hong Kong received a duty-free import guarantee to their neighbor. An important feature of the definition of the nature of the term "manufactured goods" in Hong Kong:

Full production,

Significant recycling.

A free trade permit with China is acquired upon submission of an application to the Department of Entrepreneurship, followed by certification and approval by the Customs Administration of China.

It is becoming profitable to buy a business in Hong Kong, given the emerging prospects. Participation in the agreement removes geographical, financial and legal restrictions. Companies that meet the following criteria in relation to Hong Kong are given the opportunity to trade with China on similar terms.:

Registered according to local laws,

Making tax payments at the place of registration,

Having relevant business experience in Hong Kong for at least 3 years,

With their own and leased production facilities,

At least half of the staff are from mainland China and Hong Kong residents.

Foreign suppliers acquire a base of operations under the jurisdiction of the STEP program, subject to purchase and merger with a Hong Kong company.

Hong Kong is a special jurisdiction of China. Taxes on goods and services not included in the list of cooperation agreements may be levied in both territories.

The taxation inherent in Hong Kong business provides for 3 types of taxes:

For profit.

It is applied on a territorial basis, calculated at a fixed rate solely from activities carried out in Hong Kong.

Income tax.

It is calculated at a progressive rate, depending on the income level.

For real estate.

It is charged in respect of owners of commercial and residential property who receive rent.

The company is exempt from the above taxes, subject to absence/application in Hong Kong.:

Registered office and production facilities,

Manufactured and marketed products,

Resident employees,

The transportation of goods is carried out outside of Hong Kong.

The obligation to notify the tax office of the exemption from income tax lies with the applicant, with documentary evidence confirming the absence of entrepreneurial and other activities.

In addition, dividends and interest paid to non-residents are also exempt from taxes. The lack of tax control and VAT completes the list.

Companies intending to open a business in Hong Kong are required to maintain and, in certain cases, submit the following types of reports:

Annual.

It contains public information about the director, shareholders, the size of the authorized capital, and changes in the constituent documents. It is approved by the director and conducted by the secretary.

Financial.

It is issued in English/Chinese. Submitted in paper/electronic copies. It is submitted subject to the implementation of entrepreneurial activity, as an addendum to the tax return. It is confirmed by bank statements, shipping invoices and contracts.

Audit office.

Similar to paragraph 2, when operating in Hong Kong.

About income tax.

Within 12-18 months from the date of registration, the company receives a sample report from the tax authority, fills it out and sends it back, independently determining the end date of the reporting tax period.

The absence of activity is limited to filing a zero declaration, without an addendum.

The intention to open a business in Hong Kong implies engaging in entrepreneurial activities in accordance with regional and international standards.

In order to avoid double taxation, the conglomerate's administration has concluded multiple agreements with leading world powers. Joining the agreement on the automatic exchange of information confirms the authorities' intention to regulate an absolutely transparent economy.

The extraction of proceeds from counterparties located outside the autonomy excludes taxation of the company, requiring, when submitting an application to the tax office for tax exemption, the relevant data:

Detailed information about the composition and structure of the company (address, number of employees, positions, amount of salary),

Details of transactions, terms and prices,

Payment options,

Copies of agreements detailing the counterparty.

The latest analytical material from The Heritage Foundation confirms the level of economic freedoms provided by Hong Kong to its own entrepreneurs - 1st place in the rating over the past few years among 180 respondents.

An impeccable reputation, a huge number of benefits, and extensive Asian markets attract foreign investors to open a business in Hong Kong. The hybrid legislation characterizing the midshore enjoys worldwide prestige.

A stable economy and multimillion-dollar investments open up limitless opportunities to buy a business in Hong Kong. Positive experience, responsibility and scrupulousness are the key to a successful business.

Turning to professional legal assistance minimizes the likely financial costs, avoids pitfalls and accelerates the legalization of your own business in the specified region.

Trademark registration

Hong Kong

Comprehensive review of the TM Registration request TM Registration Certificate Total

First class

90.00, 180.00 USD Additional class

72.00, 144.00 USD First class

495.00, 990.00 USD Additional class

261.90, 522.90 USD First class

0.00, 0.00 USD Additional class

0.00, 0.00 USD First class

585.00, 1170.00 USD Additional class

333.90, 666.90 USD

In Hong Kong, in order to optimally protect a "Trade Mark ™ and Logo", 2 (two) separate applications are required. Therefore, the price is twice the cost of the application, because both the logo and TM are priced separately. Also, if you request a comprehensive test of Chinese characters, it will cost $ 125 per class.

By "Trademark" is meant "Trademark", "Logo" or "Trademark + Logo"

Prices include all professional and official fees. Prices may vary due to changes in official fees or exchange rates."

When taking into account the information provided on the page, please read the limitation of liability.

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Business registration in Hong Kong

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Trademark registration in Hong Kong