2. Why Set Up a Company in Hong Kong

Set up company in HK

The 27 reasons to incorporate in HK:

Skilled Workforce

  • Highly trained, well-educated and skilled workforce
  • Well versed with international business culture
  • English widely spoken, workforce can also speak Cantonese and Mandarin

Ease of Doing Business

  • Company formation can be done in a very short time
  • No foreign ownership restrictions on HK Company
  • No restrictions on business scope
  • Extensive international transportation hub
  • Excellent business and financial infrastructure facilities

Simple & Low Tax System

  • Corporate tax capped at 8.25% for the first HK$2 million of assessable profits, and 16.5% for assessable profits above HK$2 million.
  • Salaries tax in progressive rate from 2% to 17%
  • Exemption for offshore income
  • No capital gains tax
  • No withholding tax on dividends and interest
  • No sales tax or VAT

Free Trade and Free Market Economy

  • Free port (principal of free trade and free markets)
  • No restrictions on investment inwards or outwards
  • No foreign exchange control
  • Direct handling of RMB by banks for cross-border trade
  • Goods qualified as HK origin can be exported to PRC tariff free

Sound Legal Environment

  • Independent legal system
  • English common law
  • Intellectual property protection in force, regulations in patents, copyrights, trademarks and registered designs

Clean Governance

  • Politically stable
  • Free flow of information
  • Strict anti-corruption regime

Excellent Strategic Location

  • Gateway to Mainland
  • Short travel time to other countries in Asia

Incorporate Your New Company

Ready to go through Hong Kong Company Registry?