APGI Hong Kong International Business Company
Hong Kong IBC Company Incorporation
Hong Kong International Business Company Overview
Hong Kong is located 150 km south-east of Guangzhou (Canton), on the coast of the South China Sea.
The total area of Hong Kong is 1,064 sq km. The main island covers 76 sq km and Kowloon and the New Territories the remainder. Hong Kong was a British Crown Colony founded in 1841.
On July 1997 Hong Kong reverted to Chinese sovereignty and became a special administrative region directly under the authority of the Central People's Government of China. Under the Joint Declaration entered into by China and the United Kingdom, it was proposed that the social, legal and economic systems of Hong Kong remain unchanged for 50 years after 1997.
The handover of Hong Kong to China has been the cause of some concern for the local population and has lead to many seeking to take out a second or new nationality. Australia, Canada, New Zealand, USA and UK have attracted many Hong Kong emigrants. However, many emigrants have now returned to Hong Kong having qualified for an alternative passport and are again actively pursuing their business interests in the Territory. Whilst there is some doubt about the political situation which will prevail after the Chinese takeover in 1997 most commentators now consider that the Chinese takeover will bring about tremendous business opportunities with Hong Kong playing an important part in the Chinese economic miracle. English common law applies in Hong Kong with Ordinances being enacted locally. There are an excellent range of professional services available as Hong Kong serves as the major business centre for the whole of the Far East. The local currency is the Hong Kong Dollar ($HK) which is freely interchangeable but has a pegged exchange rate against the US Dollar. There are no exchange controls.
Communication systems in Hong Kong are excellent and commensurate with what is to be expected of one of the world's leading financial centres. There are numerous daily flights connecting all major destinations world wide. Hong Kong has also established itself as one of the most popular stopovers for international flights. Its relative proximity to the West Coast of the United States, China and Japan makes is popular for use as a major trading base.
Hong Kong is eight hours ahead of Greenwich Mean Time (Australian Eastern Standard Time less two hours).
One of the major advantages of utilizing a Hong Kong company is that there is no immediate suggestion that the company is a tax avoidance vehicle as Hong Kong is major trading entity in its own right and the vast majority of the 50,000 Hong Kong companies incorporated annually are local trading companies doing real business in the region. It is possible to create a Hong Kong registered corporate entity in two different ways:
- By incorporating a new Hong Kong company.
- By registering an existing foreign company in Hong Kong under Part XI of the Hong Kong Companies Ordinance.
THE HONG KONG INCORPORATED COMPANY
TAXATION:
The rate of taxation is 16.5% on Hong Kong source income only. In practice this means that, with careful structuring, as long as a Hong Kong company is not actually doing business in Hong Kong it would normally be possible to arrange the affairs of the company so that no tax would be payable. Detailed advice on this aspect is available on request.
SHAREHOLDERS:
A minimum of two shareholders are required whose details are filed on the public register. Corporate shareholders are permitted and anonymity can be achieved by the use of nominee shareholders.
DIRECTORS:
A minimum of two directors are required and full details of these must be filed with the Public Registry. There is no requirement for board meetings to be held within Hong Kong and directors may be resident anywhere in the world.
ANNUAL REPORTING:
Hong Kong companies are required to file full audited accounts and must also prepare and file an annual return which gives details of the current directors and of the shareholders who have held shares in the company at any time during the year.
TIMESCALE:
Incorporation of a Hong Kong company takes around 3 weeks (or 6 weeks if a Chinese representation of the name is to be included on the Certificate of Incorporation) but ready made companies are available for immediate purchase.
RESTRICTIONS ON NAME AND ACTIVITY:
Names which suggest any connection to the UK head of state are generally prohibited and certain words which suggest specialist activity can only be used when the appropriate licences have been obtained eg bank, insurance company and other specialist financial enterprises.
LOCAL REQUIREMENTS:
As a matter of local company law the company MUST maintain a registered office address within the jurisdiction of incorporation and must also appoint a local resident company secretary. We would generally provide these services as part of the domiciliary service fee.
Schedule Of Fees
| Basic Fees: Hong Kong IBC | € EURO | $ US DOLLAR |
|---|---|---|
| Annual License Fee: | --- | --- |
| Annual Registered Office fee: | --- | --- |
| Annual Registered Agent fee: | --- | --- |
| Incorporation Fees: | --- | --- |
| TOTAL FIRST YEAR FEES: | ON REQUEST | ON REQUEST |
| Additional Services: | € EURO | $ US DOLLAR |
| Corporate Seal | --- | --- |
| Open Bank Account in Belize | --- | --- |
| Power of Attorney | --- | --- |
| Certificate of Good Standing | --- | --- |
| Notarization per document or set | --- | --- |
| Apostille per document or set | --- | --- |
| Nominee Director | --- | --- |
| Nominee Shareholder | --- | --- |
| Annual Fees: | € EURO | $ US DOLLAR |
| Maintenance Fee (due in January) | --- | --- |
| Nominee Director | --- | --- |
| Nominee Shareholder | --- | --- |