There are a lot of reasons why people choose to open a company in Hong Kong. Some do this to expand their business opportunities and create more business opportunities for themselves. Others might want to open a company for tax purposes or any number of other reasons. However, company formation in Hong Kong has benefits that many people might not have thought about before. Opening a company is one of the easiest things you could do to get started in Hong Kong. Also, there are several benefits of company registration that you might not know about it.
One of the first and most obvious benefits of forming a company in Hong Kong is that you become an individual immediately. By becoming an individual with your own company, you open many new doors and options for yourself as a businessperson. You can run your company just like you would run your individual life. It means you get to set your schedule, decide what you will be doing for your company, and spend your days how you want to. By being an individual with your own company, you get to enjoy all the benefits of working from home.
Another benefit of company registration in Hong Kong is that you can pay the fees required for a company to be registered with the Hong Kong exchange. When you pay these fees, you become a fully licensed company secretary – which means you can deal with your clients and handle all day-to-day dealings of your company, no matter how small it is. If you set up an office in Hong Kong, you are now a fully-fledged employee of your company instead of just an employee.
Forming a Hong Kong company also allows you to fund your company with shares from the parent company. You can own an entire block of flats, buildings, or land as your personal property. The only restriction when it comes to owning property is that you cannot personally use the property. However, if you have more than one property, you are restricted to using the property belonging to your other shareholders. Only your shares can be used.
Another great benefit of company formation in Hong Kong is that there are no restrictions on the type of shares you can buy. As mentioned earlier, you can choose from various stock options, including preferred and common stock. Also, you do not need to purchase many shares, just a few hundred or so. It makes it easier for you to manage your finances while at the same time increasing your chances of gaining profits from your companies incorporated in Hong Kong.
Forming a Hong Kong company also has some additional benefits such as tax exemption and the establishment of limited liability. Most international companies set up their business in Hong Kong because they prefer to enjoy these benefits under the country’s law. However, when you set up a Hong Kong company, you must register it with the Companies Registry. Moreover, you will also need to pay a registration fee.
When you set up a Hong Kong company, you must understand the process’s ins and outs. You should know how to apply for your business registration, and you should also be aware of the different types of permits you will need to acquire for your company. Furthermore, you will need to pay an annual submission fee to the Companies Registry. If you are not very familiar with the whole process of incorporating a company in Hong Kong, you can always seek the help of a local attorney. He will be able to guide you properly through the process of incorporation.
Forming a Hong Kong company requires that all the company’s original shareholders receive a notice of incorporation. This notice should also state the nature of the business being established in Hong Kong. In addition to this, the company will also be registered in the offices of the Companies Registry. Once all the shareholders receive these documents, they must ensure that they sign on the bottom line. If any of the shareholders does not mark the bottom line, the paper will be considered null and void.