Hong Kong Company Formation and Bank Account Opening
Hong Kong Company Formation and Bank Account Opening
Entrepreneurs new to Hong Kong company registration online may have questions over bank accounting opening in Hong Kong including:
- How difficult is it to open a HK company bank account? And why?
- How does a non-resident person open a company bank account in Hong Kong?
- What documents are required to successfully open a business bank account?
- What are the requirements for opening a company bank account online?
What Are the Requirements for Opening a New Bank Account For Your Hong Kong Company?
In short, the following are the basic requirements (i.e. documents) that are needed when opening a Hong Kong company bank account.
- Incorporation form NNC1 (usually for the newly registered companies)
- Certificate of incorporation (CI)
- Articles of Association
- Documents that indicate or identify the shareholding structure of the HK company. It can be organizational Chart that was signed by the director or company secretary. Should include the transfers of shares and/or return of allotments, if available.
- Company search reports
- Annual return (the NAR1 form) – Must make sure the annual return has the most updated data.
- Identification documents from all signatories, all shareholders or owners, with their proof of addresses.
- Identification documents from all signatories, all directors, with their proof of addresses.
The company applying for the new bank account in Hong Kong should also provide the following items:
- Office lease contract
- Business plan
- Proof of money transactions that have been received from the customers
Bank Interview (in Person)
The bank interviews are for the purpose of making sure you have a real company.
The bank focuses on the nature of your business during the interview session. This is a standard risk management procedure, and the objective is to validate your business has low risk.
Some common questions you will be asked by the Bank, include:
- What is the nature of your business?
- What is the nature of the operations in your business?
- What is the location of your business operating office?
- Why does your company need a bank account in Hong Kong?
- What type of accounts do you need to open at the bank?
- What will be the primary source of funds for your business?
- How much money are going to be transacted through the use of this new bank account?
Advantages to Open a Hong Kong Bank Account for Your Company
The advantages include:
- Free capital transfer: Hong Kong is one of the most diversified economies in the world. No foreign exchange control is applied on trades. International capital transfers include transferring dividend or profit back to your country of origin will have restriction.
- No tax on interest: There is no tax on interest to be applied to the balance in your bank account in Hong Kong.
- Requires maintaining relatively lower minimum bank account balance.
- Access and operate your bank account from basically anywhere or any remote locations. During your daily operations, you can conveniently handle all your bank accounts, check your transaction history, review your statements, and more, all with a few clicks.
- Hong Kong has many reputable international banks with high level of regulations in the banking industry over many years. As the holder of your company bank account, your transaction information can be subjected to high level of confidentiality. You can be 100% sure that your personal data is always kept in the right hands.
- Currency exchange between Hong Kong dollar and RMB of China has been made easy and simple through the use of Hong Kong bank accounts. If your company happens to have many business transactions with Mainland China’s companies, having a Hong Kong bank set up for your business is a big advantage.
Bank Accounts for Your Business
Which banks are available for you to open a business bank account?
- DBS Bank
- Standard Chartered Bank
- HSBC Bank
DBS Bank has headquarter in Singapore and is a highly reputable bank. DBS Bank has operations spread across 18 different countries globally, and is really suitable for small and medium enterprises (i.e. SMEs) in Hong Kong to open business bank accounts.
DBS Bank offers a wide range of corporate banking services to SMEs including loan application schemes, credit checks for financing requirements in urgent cases, and more.
Citibank Hong Kong is under the umbrella of the Citigroup, and is one of the largest credit cards issuers in HK. Citibank also offers a large range of services that focus on markets, banking, global consumer products, wealth management services and more.
Standard Chartered Bank
Standard Chartered Bank offers many services to customers through digital transformation. For example, customers can open bank accounts remotely, and can withdraw cash using QR codes.
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