Benefits of buying ready-made company and shelf company

3 mins read  l  Published: 16 June 2025  l  Updated: 16 June 2025 

Buying ready-made companies or shelf companies in Hong Kong is a common business operation, especially in cross-border trade, asset allocation or quick business start-up scenarios. Hong Kong has unique value for such operations due to its sound rule of law, tax system advantages and status as an international financial center. The following is a detailed analysis:

1. Quick business start

3-5 days to complete the transfer: The Hong Kong Company Registry has an efficient process, and changing directors/shareholders usually only takes a few working days (it takes 7-14 days to register a new company by yourself). If the customer needs to sign a contract urgently, sign the contract within 1 week after purchasing the ready-made company to avoid missing business opportunities.

Skip name review: The ready-made company has been approved by the company registry, avoiding delays due to repeated rejections.

2. Tax and fund management advantages

Offshore tax exemption potential: If the business income is derived from outside Hong Kong, you can apply for profit tax exemption through compliant declaration (subject to the Hong Kong Inland Revenue Ordinance).

No foreign exchange control: funds can flow in and out freely, facilitating cross-border settlement or asset allocation.

The tax system is simple and transparent: the corporate income tax rate is only 8.25% (for the first HK$2 million in profits) or 16.5% (for the excess).

3. Strategic layout value

A springboard to enter mainland China: Investing in the mainland through a Hong Kong company can enjoy preferential treatment (such as a lower entry threshold).

Overseas structure hub: It is convenient to build a multinational holding structure (such as Hong Kong → BVI → business entity) to optimize tax and legal risks.

Operational advice:

Before making the final decision and ensuring that subsequent operations are handled in compliance with Hong Kong regulations to avoid the company being delisted, be sure to consult a Hong Kong certified public accountant or a Hong Kong certified public lawyer to confirm compliance with the Companies Ordinance and tax requirements.