There are usually two solutions just in case you have to commence Hong Kong company formation. The first approach involves establishing a new company from scratch. One other approach simply involves purchasing an organization that was already created.

When establishing a new company from scratch, you first need to run a search for your company's name form a company in Hong Kong. It will often get you a longer time and energy to register a new company. A company registration license one of the licenses required. The license is generally inclusive of government fees that can add up to HK $ 250.

If you intend to acquire an already created company, you will need to select your company name from a given list. The list usually includes shelf company names that have never been used. The processing time for this program is much shorter than registering a new company.

Why Hong Kong?

This international city offers a very competitive economic environment. It's an open and market oriented system that is without much government interventions. Investors have much freedom in choosing which business operations to undertake. This city tops the planet economic environments when it comes to freedom of operations.

Another reason that endears this Asian City to investors being an offshore company location is its simple capital flow. The easy flow of capital from the city abroad increases your company's economic freedom. The lack of restrictions and controls ensures that major world currencies such as the US$, GB Pound, Japanese Yen etc. are remitted easily to and from the city.

There's no requirement for just about any capital investment. As a shareholder you're only necessary to append your signature to the M & A declaring that you will contribute the company's capital. You don't need to cover up any money to the company.

Opening an offshore banking account is easy during your Hong Kong company formation. All that is required of you being an investor is that you provide proof of your address. You'll need to offer a copy of your passport, your company documents and an over-all description of your business. These documents are widely accepted by many international bankers.

In this Asian City, trust laws are applicable. If being an investor, for just about any personal reasons you require your status hidden, you certainly can do this by way of a trust arrangement. In such a scenario, the trustee holds shares for you because the beneficiary. He also holds the trust deed which acts as prove he is the actual owner of the shares. The trust laws are applicable in Hong Kong and not everywhere else. In countries like China where such documents are invalid, these laws are unenforceable and therefore ineffective.

You'll need to help keep the company's accounting records and annual statutory audits. These need to be filed to the City's tax departments annually. For many business transactions, the city's Inland Revenue Department requires companies to help keep proper records and accounts. These are used to ascertain precise figures of your incomes, expenses and losses.