Hong Kong Company Formation & Its Advantages

Posted by goldmillennium on July 22nd, 2013

Hong Kong is a renowned business hub, especially when it comes to financial markets. After New York and London, Hong Kong is named as the third biggest financial city in the world. The advantage of a sound legal system, no exchange control, and an efficient transport and communication network has popularized incorporation in Hong Kong for international traders. Hong Kong is known for its free economy in the world and that’s why company formation in Hong Kong is at peak.

The following must be considered:

• A Hong Kong company name needs to end with the word "limited".
• Business registration certificate is important for incorporating almost any type of business in Hong Kong.

Here are the top 5 advantages of Hong Kong company registration:

1. Social and Political Environment

Hong Kong is considered as an extremely efficient business centre and the 2nd most economically balanced countries in the world. It also offers a stable political and economic environment along with an independent legal system along with a pro-business government. Hence, because of all these advantages, Hong Kong is certainly the most preferred business hub today!

2. Location

Hong Kong is pretty close to China; this helps the investors grab the Mainland China market. Hong Kong is just an hour away from the world’s well known manufacturing region, the Pearl River Delta, which produces 30% of China’s exports. Since Hong Kong is located in the centre of Asia, it has some excellent links to international markets.

3. Infrastructure

Hong Kong is undoubtedly one of the most reputed and advanced cities in the world. It is excellent infrastructure such as, transportation, telecommunication, IT, and utilities. It effectively uses the world-class international airport with excellent logistics facilities making it one of the most preferred business hubs.

4. Policy and Taxes

Companies incorporated in Hong Kong have a great advantage because of its simple tax system. Hong Kong is certainly an international tax haven.

5. Company Registration Requirements

Registration process in Hong Kong is pretty simple. It is one of the best locations for international businessmen who can avail excellent tax benefits in a booming China economy.

About the Author:
Mr. Javier Hernandez, CEO is an international lawyer with a Master’s in European Union Law, International Business Transaction and Commercial Law and Chinese Law. Mr. Hernandez has eight years of experience in China and specializes in the business and legal areas in China including laws related to company formation & representative office in China. He has published and gained recognition in several magazines, including the Tsinghua Enterprise Business School magazine, as well as European and American magazines.