What type of company can be established in Hong Kong?
Are you considering setting up a company in Hong Kong? This small Asian territory offers many advantages for entrepreneurs from around the world.
Now that you have a better understanding of these benefits, you may be starting to wonder about the type of company you can set up in Hong Kong.
Here are the main structures and options to know about for successfully launching a business in Hong Kong.
What type of company can be set up in Hong Kong?
The Private Limited Company
In Hong Kong, companies are established as Private Limited Companies. They are therefore limited liability companies. If you set up a company in Hong Kong, your company name will be followed by “Ltd” or “Limited”.
This is the structure recommended for entrepreneurs wishing to develop a business in Hong Kong.
And the offshore company?
Hong Kong is not an offshore jurisdiction. Companies registered in Hong Kong are Private Limited Companies, in other words, ordinary companies under common law.
Hong Kong has a territorial tax system and is on the OECD white list. The tax benefits are therefore related to the territorial operation of the tax system and not to an offshore company status.
What business activity for a company in Hong Kong?
Trading and import-export
Many activities are possible in Hong Kong. In particular, you can start a trading company specializing in import-export.
Consulting and services
A consulting company can also be established in Hong Kong, depending on the nature of the project and the activities actually carried out.
Holding
Hong Kong also offers the option to establish a holding company, that is, a company holding interests in other businesses.
Need help launching your company in Hong Kong?
Limited liability company, holding company, trading, consulting… Entrepreneurs are not necessarily experts in the business world. Merritt can assist you with registering your company, advise you throughout the process, and help you structure your project.
Whatever your project, it is important to clearly define the business activity, structure, and applicable rules before getting started, so you can develop your company under the right conditions.