Foreigner's Guide To Setting Up A Company In Hong Kong

5 mins read  l  Published: September 18, 2024  l  Updated: October 28, 2024


Setting up a company in Hong Kong as a foreigner is a straightforward process, thanks to its business-friendly environment. Here's a step-by-step guide:

1. Company Structure

  • Private Limited Company: Most common choice, limiting liability to shareholders.

2. Select a Company Name

  • Ensure the name is unique and not already in use by another company. Check the Companies Registry or check with us for availability.
  • The name must end with "Limited".

3. Prepare Required Documents

  • Articles of Association: Governs the company’s operations.
  • Incorporation Form (NNC1): For private companies, includes details like company name, registered office, and director information.
  • Identification Documents: Passports and proof of address for directors and shareholders.

4. Appoint Directors and Shareholders

  • Minimum of one director (can be a foreigner) and one shareholder (can be the same person).
  • No residency requirement for directors or shareholders.

5. Registered Office

  • Must have a registered office address in Hong Kong. This cannot be a PO Box.
  • Use a decent busines address as your company's registered office would rise your company's image. 

6. Open a Bank Account

  • Choose a bank and prepare documentation to open a business bank account. This may require a personal visit to the bank.

7. Incorporate the Company

  • Submit the incorporation documents to the Companies Registry. This can often be done online or through a local service provider.
  • Pay the incorporation fee (HKD 1,720).

8. Obtain Business Registration Certificate

  • After incorporation, apply for a Business Registration Certificate from the Inland Revenue Department.
  • The fee is based on the company’s intended duration (1 year or 3 years). One year business registration fee is HKD2,250.

9. Tax Registration

  • Register with the Inland Revenue Department within one month of incorporation for tax purposes.

10. Maintain Compliance

  • Hold annual general meetings and keep proper financial records.
  • File annual returns (NAR1) to Companies Registry and file Profits tax return with financial statements to the Inland Revenue Department as required by law.

11. Consider Additional Licenses

  • Depending on the nature of your business, you may need specific licenses or permits (e.g., for food and beverage, education, etc.).

12. Hire a Local Service Provider (Optional)

  • Many foreigners opt to engage a local cpa firm or law firm to assist with the incorporation process and ongoing compliance.

Conclusion

Setting up a company in Hong Kong is relatively simple and can often be completed within a few days. It's advisable to consult with legal and financial professionals to ensure compliance with local regulations and to streamline the process.

For detail procedures and frequently asked questions (FAQ) of hong kong limited company formation, please visit our web page link at Hong Kong Company Registration.

You can also visit the following link (Consideration for setting up in Hong Kong) of the InvestHK (by HKSAR government) to check other consideration aspect before setting up company in Hong Kong.