Set up a company in Hong Kong: steps and requirements

Although Hong Kong has faced difficulties due to the COVID-19 pandemic, as well as increased competition from more flexible and business-friendly jurisdictions such as Singapore and Dubai, Hong Kong remains in 2022 the most sought-after city because of its tax incentives for startups. Indeed, thanks to the speed and pro-business attitude of the Hong Kong administration, it is the most efficient place to open a company quickly. So what are the steps and requirements for doing so? We explain everything in this article.

What are the basic requirements for setting up a company in Hong Kong?

A company registered in Hong Kong must meet 4 essential conditions:

1. The first condition, and one of the most important, is that the chosen company name must be available, and the company's English name must contain the word "Limited";
2. The company must have at least one shareholder and one director, regardless of their nationality;
3. Hong Kong law requires every company to have a company secretary, who is the equivalent of a locally registered corporate secretary. Their sole role is to represent you before the Hong Kong authorities. More information here;
4. Finally, a company must have a registered office address located in Hong Kong.

In general, an application for business registration must be submitted within one month of starting operations. The application must be submitted using the prescribed form, accompanied by the required supporting documents and full payment of the applicable business registration fees and levies. A visit to Hong Kong to register a Hong Kong company is not necessary, and the entire process can be completed remotely. Our firm assists you and handles all the company formation procedures.

What are the steps to setting up a company in Hong Kong?

The first step is to determine the type of company you wish to register. Generally, only one structure is commonly used in Hong Kong, and it is a very popular choice among international businesses: the limited liability company, also known as an LTD. The company formation process in Hong Kong is relatively simple and quick. There are a number of steps that must be followed:

• Contact our firm and place an order to incorporate a Hong Kong company;
• Choose your company name in Hong Kong, ensuring that it is not already in use;
• Conduct a name availability search. The name must be original - not used by another company in Hong Kong and not previously used either;
• Prepare the administrative documents, such as the articles of association, resolutions, etc.;
• Send copies of the identification documents of a director and a shareholder if the Hong Kong company is being registered remotely without visiting the Companies Registry;
• Submit the documents to the Companies Registry;
• Pay the government and business registration fees;
• Register with the Inland Revenue Department for tax purposes.
• Certify or apostille the documents.

A business registration form must also be completed with various details, such as the name of the company you have chosen, the company's registered office, a clear and precise description of the company's main activities, and details about the company's shareholders, directors, and company secretary (passports are required for non-Hong Kong shareholders and directors, whereas copies of identity documents are required for local shareholders and directors). If you do not wish to handle all these procedures yourself, our firm can take care of them on your behalf. As a Company Secretary, we have specialized in company formation and ongoing corporate support in Hong Kong since 1998! Our firm handles the administrative procedures for setting up a company in Hong Kong and represents you before the authorities in our capacity as company secretary. For more information: support@merritt.group