How to Set Up a Limited Company in Hong Kong
Many people ask the question, how to set up a limited company in Hong Kong. There are two basic options when deciding how to set up a company in Hong Kong. The first is to use the Companies Registry as your company’s registration agent. This service is offered by the Hong Kong Solicitor’s Office (H SARO). It is not compulsory, but it should be considered as an option. If you decide to use the Solicitor’s Office, you will have to pay a small administration fee.
How to set up a limited company in Hong Kong? The second option is to use the self-registration procedure to set up a limited liability company in Hong Kong. The advantage of this procedure is that you do not have to pay the Solicitor’s Office any administrative fees. You will only pay the registration fees if you decide to use the Business Registration Section of the Companies Registry. If you register with the Self Registration Section, you will only have to pay your company’s registration fees after it has been established. You will not have to pay any additional costs for the Self-Registry.
Both options are appropriate for people who want to establish their own limited company in Hong Kong. However, the most preferred one is the company registration with the Companies Registry. The benefits of using the Companies Registry as your company’s registered agent is: it is the simplest way of conducting business; you do not need to pay any fees for the submission of the application; you can use the process of business registration for all types of companies; you will receive all the assistance you need in the process of business registration; and, finally, you can get the benefit of a great brand. These benefits will be provided to you even if you choose to register your company using the Self Registration Section of the Companies Registry. If you are still confused about which option to take, you can always get some helpful information regarding a limited company registeredon the PRC’s official website.
Limited company forms in Hong Kong are available for all the different types of companies. You may choose to open a general partnership or a limited liability partnership (LLP). Your company may also choose to register itself under the Special Offices act or the Memorandum and Articles of Association of the Companies Registry. You can select any of these methods for business registration, as they are suitable for all the different types of companies in Hong Kong.
Limited company shares in Hong Kong are listed separately from the equity of the company. To put it briefly, when you wish to issue several stock shares in your company, you are required to file a particular type of business form called the Articles of Association. Once this is done, you will be able to issue shares of the company to your partners. There are two types of business forms: the open endorsed private limited company, and the limited liability company, also known as the sole proprietorship.
Several alternatives are available for company formation in Hong Kong. You can choose between usingan attorney’s services or a consultant to help you with the process. If you choose the latter option, you must pay a fee to the consultant. The advantages of using an attorney or an accountant are that the prices usually are very reasonable; the consultation is free, and you will have someone who is experienced with the different options open to you. Moreover, there is always the potential that the consultant or the attorney you hired will be able to provide you with an affordable share capital, which could be helpful in the initial years of your business.
When it comes to company formation in Hong Kong, you can also elect to be a sole trader. A sole trader has all the rights and privileges of a private limited company, but its rules and regulations do not bind him. It allows a sole trader to run the business as he wants and make all the decisions independently. However, a lot of research must be done if you decide to go this route. You must know which laws your business must abide by and what the legal requirements are.
Aside from these two basic options, there are other ways to set up a limited Hong Kong company. If you have the resources, you could also choose to create your own company through an agent. Many company formation agents in Hong Kong will be willing to help you set up a private limited company. However, the possibility that these company formation agents may be overpriced and not have sufficient knowledge about the specific laws that apply to your company. Thus, it is always best to do a bit of research before hiring one.
How to set up a limited company in Hong Kong