Business Start-Up Costs in Hong Kong

A presentation brought to you byOpenCompanyHongKong.com

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Starting a Business in Hong Kong

• Hong Kong is an attractive business destination and a city that has a favourable regime for foreign investors.

• Companies incorporated in Hong Kong benefit from a low taxation regime, however, it is important to consider a number of initial business start-up costs.

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Business Incorporation Costs in Hong Kong

• The costs for incorporating a business in Hong Kong will include:

the company capital; registration application fees; business registration fees; bank account fees; company headquarters fees.

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Considerations for Company Formation in Hong Kong

• An important factor that determines the overall costs for company formation in Hong Kong is the chosen type of company. Investors will need to consider the amount they initially invest in the company.

• The minimum share capital is larger for entities like the public limited liability company than the sole proprietorship for example.

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Company Registration Costs in Hong Kong >>

• All companies in Hong Kong are registered with the Companies Registry and applicants are subject to a set of fees.

• An application fee is the first charged for new company owners, followed by a business registration fee.

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>> Company Registration Costs in Hong Kong

• A business registration levy is also payable upon registration with the Companies Registry.

• The documents need to be submitted in English or Chinese and any additional translations will also need to be included in the overall costs for company incorporation.

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Banking Costs in Hong Kong

• Newly incorporated companies in Hong Kong need to open a bank account for corporate purposes. The fees for opening the account and for account management and other services like internet banking will vary from one bank to the other.

• Investors can choose from a wide range of international banks that have opened branches in Hong Kong.

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Office Costs in Hong Kong

• Companies registered in Hong Kong will need to operate from a local address. Investors may choose to set-up a virtual office or rent an office space in a dedicated office building.

• Rental costs or costs for purchasing property in Hong Kong are higher in business and central districts and are one of the most important and significant business start-up costs to consider.

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Other Business Costs in Hong Kong

• Once the company begins its commercial activities, the company founders will need to comply with the ongoing costs associated with taxation, accounting, and reporting.

• Companies in Hong Kong are subject to a corporate income tax and other taxes including social security contributions. Our company formation experts can give you complete details about taxation in Hong Kong.

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Cost Management and Company Formation in Hong Kong

• Tax minimization and tax optimization strategies can be implemented by investors in Hong Kong.

• If you need more information about how to start a business in Hong Kong you can contact our company formation agents.

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