HK Company Formation- Tips to Entrepreneur’s for Forming Offshore Company

Hong Kong is the best play for forming offshore company because there is no specific law prevailing here for such business. Moreover, the tax regime and foreign exchange control makes it a perfect business destination. Here are some details for you to help you decide on HK company formation.

1. There are many benefits that you can enjoy by setting up an offshore company in Hong Kong. Firstly, the place is ranked on top and is considered as a centre of business because starting and setting company here is very easy. You can avoid unnecessary problems like special authorization from government authority etc. Foreign ownership policy in Hong Kong is favorable for business. Along with political stability you can enjoy tax benefits by setting up business in Hong Kong. Tax here is considered to be the lowest and especially for offshore companies it is favorable. There is no tax applicable on VAT, capital gains, dividends and interests. Moreover, income sources from other countries are also exempted from tax. So if you are planning to set up an offshore company with income from abroad then you will not have any kind of tax liability in Hong Kong. You are free to open and operate your company.

2. Politically Hong Kong is very stable. Hong Kong has its own judicial system and by far it is considered to the second best in Asia.

3. There are two options available in Hong Kong for establishing offshore company. You can either register and have a new company or invest in a shelf company. Registering complaining in Hong Kong is simple and easy. If you have all the required details ready, then the procedure can be completed within one week’s time frame.  If you are purchasing a shelf company in Honk Kong, then as the name suggests it is already registered and you will get all the required legal papers. Once the company is purchased you can change its name and modify it by adding share capital, appointing directors and shareholders. These kind of registered or shelf companies are only considered by people who are in a hurry and want to start off immediately.

 

4. There are rules that you need to follow for HK company formation and registration.  You must decide on a company’s name and get it approved by the Hong Kong Companies Registry. You can appoint unlimited number of directors but at least one is necessary to get the company registered. Director you are appointing can be a resident of Hong Kong or a foreigner. Next, you can have one to a maximum of 50 shareholders, either resident or non-resident in your company but ensure that you have a person in the post before registration and also to smooth the process. Appointment of company secretary is mandatory in Hong Kong.

5. Company in Hong Kong can only be registered if it has a physical address. You cannot use a PO Box address for registering company in Hong Kong.

6. Share capital can be any amount but it’s an important element for HK company formation and registration.

Importance of Companies can be known from HK Company Formation

The collection or the association of the individuals whether they are legal persons, natural persons is termed as company. They are sharing the common purpose and unite in order to focus their multiple skills and talents. They are even organizing their collectively available resources and skills to achieve declared goals. They are taking many different forms. They are as follows:

• Banks and Financial entities
• A group of soldiers
• Voluntary associations such as the non-profit organization

These can be created at a law as a legal person so that they can accept the liability which is limited for the civil responsibility.

 

Companies which are Largest

The companies which are the largest are as follows:

• Saudi Aramco
• Chevron
• INH
• Eni
• Apple
• Bank of America
• HSBC
• Ford
• AT&T
• BNP Paribas
• China construction bank
• Tesco
• Verizon
• IBM
• Carrefour
• Siemens
• Tata
• Nestle
• United health

HK company formation information can be known from many books which are talking about many companies. The important values are being revealed publicly in the company’s annual reports.

Etymology of the Company

The English word company has its origins in the military term campaign of the Old French and originally from the Late Latin word companio. In the United States, a company is association, partnership, corporation, fund, trust and joint-stock company, whether incorporated or not and any trustee, receiver in the bankruptcy or the liquidating agent for any foregoing. In the US, a company is not said to be a corporation. A partnership is not said to be a company in Britain. It is referred to as the firm. The limited association of the individuals is sharing the capital by the guarantee. These are formed by the letters patent.

Advantages of Statutory Companies

There are certain companies which have been formed by the private statue which is passed in the relevant jurisdiction. HK company formation information can be known from many journals which are talking about various aspects of the companies. The owners of these organizations are being termed as the members in the legal parlance. There are lot of sub categories of all these types of large organizations which can be formed in the various jurisdictions in the world. These are distinguished for the regulatory and the legal purpose between the private and the public companies. The private organizations are not having publicly traded shares. There are most of the corporations by patent letters which are the corporation soles.

Hong Kong Company Formation & Offshore Company Formation

HK Company formation, additionally alluded to as company registration, is the procedure of perceiving an organization as a company, implying that it tackles its own particular legitimate status that is partitioned from that of the general population who possess the business.

An organization can be framed by an individual, a specialist, specific operators, or bookkeepers. Sometimes, organization development might be outsourced to operators that are represented considerable authority in the subject. The greater part of these operators will do as such for not exactly a hundred pounds.

Offshore company formation requires picking a nation of joining outside of the nation you live in. A few nations have ended up prominent destinations for offshore company formation, yet not every one of them offer the security and administrations that you have to work in your organization effectively. Truth be told, a few nations don't offer much insurance at all for their seaward organizations. It is, in this manner, best for you to consider which nation is best for you before you begin the offshore company formation process.

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