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Page 2 of 3 What is a Hong Kong Limited Company? A Limited Company is characterized by the limited liability of its members: as it is limited to their shares, the investors benefit from lower investment risks. It can get involved in a wide range of activities such as trading, investment holding, invoicing, market research, mediation etc.; not to mention that its adaptable structure makes it suitable for all types of business. Furthermore, managing a HK Ltd Co. is very convenient as it can be a virtual company: in other words, the company does not have to have neither a physical office in Hong Kong, nor employees. Moreover, the director and shareholders’ presence in Hong Kong to supervise its creation is not mandatory. Consulting firms can provide the company with corporate secretarial services as well as a registered office and the company bank account can be managed via the Internet, due to the convenient finance services provided by global banks in Hong Kong. Another sizeable advantage is that the company benefits from very attractive tax rates. The setting up of a HK Ltd Co. improves the image of international companies towards consumers and strengthens relations with suppliers. As well, this type of structure is an excellent platform to develop business in China through the creation of a Representative Office, of a foreign subsidiary in China or of a Joint Venture. As, in addition, it is possible to invest everywhere in the world from a Hong Kong Limited Company, due to the active role that Hong Kong is playing in the development of new commercial strategies between China and the world.
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