A Quick Overlook of Resources – Your Cheatsheet
How to Form a Company in Hong Kong and China
Reasons abound as to why investors set up shop in the City. Other offshore locations have similar opportunities for registering a company offshore.This is indeed a tax free haven that happened to be as well enjoyed by foreigners owning companies running no business operations on the Island.
When you compare to other locations, the company registration requirements offered in these cities are relatively very loose.What this does is to make the cities the ideal locations for starting shell companies.The total cost for starting the company is quite cheap.
It is not safe to deal with offshore companies in this jurisdiction.They mostly lack any physical presence in the city. When any dispute is occasioned by the transactions ensuing, it is not possible to remedy them.However, if you are conducting business in China, is no protection because are considered to be transacting with a Hong Kong company.
There are numerous companies that choose to open bank accounts in foreign banks.The reason for this is that banks run by the state are known to be very strict in opening company accounts. Having an account in the state run banks is very safe. Launching a complaint will be easier.
It is advantageous to open a company in Hong Kong since it is in the presence of internationally famous banks. There are so many branches that the banks have. Many business operators easily trust these banks.
Exchange control is a thing that is alien to Hong Kong and China. After making the deposit, the banks do not charge any money in terms of withholding fee. It is very easy to deposit.The same case applies to either withdrawing or transferring the funds.The truth is that the banks operate tax free and without any other fees.
Again, banks in this location guard a customer’s information with unequal zest.Actually, a customer’s information can only be shared with the customers prior consent. The law will however not hold in cases where the customers is being investigated for criminal activity.Such criminal activities include money laundering and other related crimes.
It is easy to form a company in these cities.It is not necessary for you to be physically present in the Island.The tax rate is also very low and there is the advantage of a tax haven. Your company will no doubt benefit from a proper legal system. There is no need for foreigners who do not run businesses in the city to fear.It is safe and easy to form a company in Hong Kong and China.