What is the Hong Kong corporate formation? Let us discuss it more! The simple definition of it is that you will have to go through company registration when you wish to form a new Hong Kong company. Starting a company in this regard is not so easy. It takes a lot of effort and time. But once you are through with the whole procedure of company formation in Hong Kong, there are plenty of benefits of company formation in Hong Kong to look forward to doing it.
The Hong Kong corporate formation is that you get the country’s legal system. As in every country, the country’s legal system plays a vital role in developing the economy. It is because, in Hong Kong, the rules and regulations of the law system of the country are highly developed. Thus, this gives the entrepreneur the best protection and business scope in the field of business.
Moreover, there are several other benefits of doing company formation in Hong Kong. One of the significant benefits of this is that it provides you with the opportunity to open several bank accounts. It means that you can cater to your customer’s needs by providing them with their accounts with any of the world’s leading financial institutions. With the help of this Hong Kong corporate registration facility, a person can open an account in any of the world’s banks. Thus, this facility of having a bank account under a different name from your own gives you the best protection and business scope.
Company formation in Hong Kong also provides you with the benefits of obtaining tax status. A company formation in this regard will ensure that the company will be treated as a private limited company for all tax purposes. Moreover, in addition to this, the formation process provides the advantage of having limited liability. It reduces the burden of the penalty on your shoulders. Thus, you can reduce the tax and other related costs in this regard.
Another significant benefit of doing company formation in Hong Kong is that it offers you the chance to save a lot of money and time. The company formation in Hong Kong can be completed within a short time. The process of company registration in Hong Kong is straightforward and quick. Unlike most of the other places where company formation can take many weeks, in Hong Kong, the company registration can be done within three months from registration. Hence this makes the Hong Kong corporate formation and the company registration process an easy process to handle.
When you do the company registration in Hong Kong, you will have to pay a nominal fee to the Companies House. It is generally not more than $50. Most of the time, this registration fee is required if you are doing the company’s main office in a particular country. If you do not conduct your trade or your activity in the country, you will not have to pay any registration fee to the Companies House.
However, it would help if you also kept in mind that the benefits of company formation in Hong Kong are not restricted to the processes related to its incorporation. There are other benefits of doing company formation in Hong Kong, which is beyond the incorporation issue. One of the significant services of the limited company in Hong Kong is that it is under the complete control of the law and regulation. In other words, the little company in Hong Kong enjoy all the legal benefits of a typical US corporation.
A company secretary is an essential person in the formation process. He is responsible for ensuring compliance with the Memorandum and Articles of Association. It ensures that the limited liability is maintained under the law and that little company administration protects all the shareholders. The company secretary can also conduct the in-house counselling for the firm’s registered office and general members.