Hong Kong: LTD

Why is it beneficial for a company to incorporate in Hong Kong?

Germany warmly welcomes foreign investors into its open market, roughly 22,000 foreign companies have been established with a workforce of about 2.7 million workers. A total of 7 million people from different nations live in Germany and it is seen as attractive because over 70% of the total workforce speaks very good English. For decades the Germany economy has been recognized as one of the strongest and highly developed economies in the world. With a total population of just under 83 million people, and a VAT of about 19%, Germany is a country that doesn’t seem to stop growing- it is never too late to incorporate.

Hong Kong is thought of as one of the best cities to ground and operate a business from, as it offers a lot of factors that are vital to business; a productive workforce, a stable political and economic environment, a strategic location, an attractive tax regime, world-class infrastructure and finally an appealing legal system. All these factors combined help make Hong Kong into the successful and powerful city it has become, we will go into further detail and analyse these factors.

Strategic Location: Due to Hong Kong’s location being in the heart of Asia, it is incredibly easy to travel to any major Asian city, making it easy to penetrate all Asian markets with ease. The Hong International Airport is the 5th busiest in the world, with airlines reaching over 180 destinations. Hong Kong is also considered a major port of the world, being responsible for a large part of maritime activities such as tonnage of shipping, handling cargo and passengers carried.

Ease of doing business: Hong Kong is ranked 5th best country to do business in, as it is possible to start a new company in under 2 weeks’ time, the infrastructure of the city is legendary and business locations and offices are easy to come by. Hong Kong is ranked 3rd having the best business environment and being the 2nd best nation for foreign trade and investments, foreigners can find it very easy to relocate their business after applying for the necessary work visa.

Free economy:
Hong Kong has contributed to GDP growth at about 5%, this is due to it’s limitless inward and outward investments, the fact that they have no foreign exchange controls nor ownership restrictions.  Even though Hong Kong is ranked the worlds freest economy, it is also ranked the 2nd most competitive economy.

Tax Regime: Hong Kong offers the lowest tax regime in the entire world, ranging from 2% to 17%. Corporate tax is currently at 16.5% and incorporated tax is at a steady 15%. Sales Tax is also non-existent in this city.
And for profits derived from outside Hong Kong, the tax is 0%!

Germany warmly welcomes foreign investors into its open market, roughly 22,000 foreign companies have been established with a workforce of about 2.7 million workers. A total of 7 million people from different nations live in Germany and it is seen as attractive because over 70% of the total workforce speaks very good English. For decades the Germany economy has been recognized as one of the strongest and highly developed economies in the world. With a total population of just under 83 million people, and a VAT of about 19%, Germany is a country that doesn’t seem to stop growing- it is never too late to incorporate.

What type of companies can be formed in Hong Kong?

private limited company more commonly referred to as an Ltd has several advantages:

  • Lowest minimum share capital: Only 1HK$ is required.
  • One (wo)man show: Only one shareholder who can be an individual or a company is needed. Also only one director is required – who can be the same individual as the shareholder.
  • No Hong Kong residence: The shareholder and director can be any nationality and they are not required to be resident in Hong Kong.

Hong Kong incorporation factsheet

Basis of legal system Under Common Law.
Governing corporate legislation The Hong Kong Company registry is the govering authority and companies are regulated under the Hong Kong Companies Ordinance 1984.
Stability Stable jurisdiction with a very good reputation.
Minimum directors/shareholders Minimum of 1 director and 1 shareholder.
Information published relating to company officers Upon registration, names of company’s officers will appear in the public registry. Nominee officers can be used to avoid the director’s name appearing.
Secretary required Yes.
Paid up capital requirement Minimum share capital: 1 HK$
Accounting requirement Preparation of accounts required.
Accounts are not publicly accessible.
Timespan incorporation Hong Kong has a fast and efficient registry. Company formation can be processed electronically within a few days.

Pricing

Ltd. Corporation Basic

Cost

999 €

Description

Incorporation
Digital Certificate of Incorporation
Digital copy of Memorandum and Articles
Digital share certificate
Bank introduction
1 director included
2 shareholders included

Available Add-ons

Business Registration Fee

260,00 €

Mandatory Business Registration Fee (HK$ 2250 = 260 EUR)

Additional director

29,00 €

Any additional Director

Additional shareholder

29,00 €

Any additional shareholder, above the included 2 shareholder

Print of Certificates

49,00 €

Printed Certificate of Incorporation
Printed Memorandum and Articles of Association

Company Secretary

399,00 €
per year
required in HK

Company Secretary
Annual Confirmation Statement Fee
Annual Return Filing
Maintain companies statutory register
Update records held by Company Registry
Ensuring company compliance with legal obligations

Individual Nominee Director

799,00 €
per year

1 Individual Nominee director
3rd person acting as a director on your behalf
Privacy of your name in public registers

Nominee shareholder

99,00 €
per year

1 nominee shareholder
3rd person acting as a sharholder on your behalf
Privacy of your name in public registers

Bank Introduction

Incl.

Bank Intro

Coprorate Seal

25,00 €
plus shipping costs

Coprorate Seal

Registered Address

109,95 €
per month

Registered Address for your company in Hong Kong

Mail Handling

8,95 €
per month

Mail handling, Incoming, Scanning, Forwarding, Trash

* The notary fees and the costs for entry in the commercial register (Handelsregister) are not included in the price and will be charged separately.
All prices excluded VAT


Benefits of ClevverCompany:

  • You can start your business in nearly every country in the most convenient way
  • Fast and fully digital incorporation process
  • Lawyer approved process and local legal teams on site
  • Meeting all legal requirements
  • Internationalize your business without a big budgets

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