Hong Kong is an ideal place to set up a business because of its dynamic business environment, political stability and access to the global market. The city’s strategic location gives entrepreneurs easy access to both mainland China and the rest of Asia, making it an excellent starting point for businesses seeking international success. In addition, Hong Kong has one of the most efficient and well-developed financial markets in the world, as well as a highly skilled and talented workforce. This means that start-ups can easily find investors, professionals with specialist knowledge and suppliers ready to help them get off the ground.
Why choose Hong Kong as a starting point for your business?
Many entrepreneurs from France and other nationalities choose to set up a company in Hong Kong. There are 4 important points that push them to take the step:
- A commercial location;
- Ease of incorporation of the company;
- An attractive and advantageous tax regime;
- A dynamic and motivated workforce.
How to build your empire by creating a company in Hong Kong?
Learn the basics of Hong Kong business structure
When starting a business in Hong Kong, the most important thing to consider is the legal status you will choose. It will help you deal with tax regulations and business approaches.
In Hong Kong, 4 legal structures exist when setting up a company:
- LLC (limited liability company);
- Sole proprietorship (one-man business);
- Partnerships (relationship between partners);
- Foreign company office.
The LLC is still the most common structure used in Hong Kong and is less risky, as it protects its assets from risk and liability.
Creating an image in Hong Kong
Defining the type of business you want to start will help you focus on the different factors that will contribute to the development of your business. To build your reputation in the region, you should first choose a name that will best represent your business. This name can be Chinese or English and possibly both, as long as it is unique. You will then need to register it with the authorities.
Financing your business project
Once your business is set up, you can proceed to the stage of opening a business bank account in Hong Kong. To do this, you will need to present your company’s registration documents.
But above all, do not forget to prepare all the supporting documents such as audited financial statements, a detailed business plan, contracts and agreements with your customers and suppliers as well as invoices.
A safe, secure and competitive banking service
A quick overview
Hong Kong has more than 71 global banks and has a foreign exchange turnover of $274.6 billion every day – a reason to be in the heart of a global currency centre.
Moving away from the traditional way
Thanks to the internet and the explosion of digitization, most businesses have moved away from traditional methods, prompting many Hong Kong banks to move into virtual banking.
What are virtual bank accounts and fintech accounts?
For those looking to open a bank account in Hong Kong, there are several alternatives that can be considered. One is to use an online account, which is becoming increasingly popular as it allows users to access their accounts from anywhere in the world. Another option is to open a virtual bank account, which offers similar benefits but does not require physical presence or paperwork. Finally, some banks offer international accounts that allow customers to transfer funds from other countries to their accounts in Hong Kong. Whichever option is chosen, it is important to ensure that the bank selected has strong security measures and reliable customer service, so that customers feel safe using their accounts.
Online banking: opening a bank account in Hong Kong
Preparation of the banking file
Complete the online application form and send a scanned PDF copy of the required documents with your signature. A bank advisor will then contact you to schedule a video interview to verify your file and identity.
For some banks such as HSBC, ICBC, Bank of China, Citibank, and other Hong Kong institutions, the following documents are required:
– A physical address in Hong Kong;
– The director of the company must hold a HK identity card or work visa;
– Registration documents of your company;
– A certified copy of your company’s certificate of incorporation.
If the application to open a bank account is rejected, you will have the possibility to request another appointment to have your application reviewed a second time. Some banks offer this possibility.
What is a KYC?
Know Your Client” is a procedure put in place by banks to evaluate an application and to improve the chance of acceptance of the profile, the following documents must be presented:
- A personal KYC certificate;
- A certified copy of the passport of all directors, shareholders and beneficiaries who hold 10% or more of the shares of the company;
- Bank references.
How long does it take to open a bank account in HK?
On average, it takes 7 to 20 working days to get an appointment with the bank of your choice in Hong Kong. If you wish to open an account with a local bank, the beneficial owners, shareholders and directors must be physically present.
The mission of Merritt Asia
Merritt Asia has over 20 years experience in the Hong Kong market, having registered our first company in 1998. We also act as Company Secretary, a mandatory mandate for all companies registered in Hong Kong.
We can help you with your incorporation by facilitating the process with traditional or virtual banking services.
For more information, please contact us at email@example.com.