Hong Kong is considered to be one of the best places to set up a company. The simple, safe and dreamy business atmosphere and low tax rate tax framework help the city’s business development.
If you want to start a business in a safe and stable financial environment, Hong Kong company registration is a good choice.
We will show you the benefits of starting a business in Hong Kong and how to open a bank account in Hong Kong.
You can find it on this blog
Why Hong Kong was chosen as the entrepreneurial portal
How to build your empire in Hong Kong
Security, reliability and competitor services
Detailed overview of online banking account opening
Easy cooperation with Asian BC
Why did you choose Hong Kong as your entrepreneurial portal?
Hong Kong is considered the best destination for global investors and entrepreneurs. But let’s see why this city is still valuable and a good place to start businesses.
1. Outstanding commercial stores
Hong Kong is located in the center of Asia. For entrepreneurs, setting up companies there will be the most attractive place. They can quickly access various exchange terminals, especially in Chinese Mainland.
2. Easy integration
Another characteristic of entrepreneurs who register companies in Hong Kong is that the registration and joining procedures are simple and easy. You can start your business in 3-5 days.
3. Appeal tax system
The key concern of all foreign companies is the low tax mechanism, which gives Xiang Xiang an advantage. The city has a regional tax system suitable for enterprises(8.25% or 16.5%, depending on the taxable profits). The income of foreign companies does not need to be taxed. There is no retention fee for business expenses, capital increase expenses or inheritance fees, income or interest.
4. Dynamic and Motivated employees
Hong Kong has skilled and knowledgeable workers who are versatile and educated in industry development culture.
How to build your empire in Hong Kong
1. Understand the basic business structure of Hong Kong
When starting a business in Hong Kong, the most important consideration is the type of business you want to start. It helps to manage tax regulations and business strategies. Limited liability companies, sole proprietorships, joint ventures and foreign company offices are the four types of corporate structures that can be used in Hong Kong.
In Hong Kong, the limited liability company is the most popular corporate structure, because it protects assets from risks and liabilities, so the risk is very low.
2. Create your image in Hong Kong.
Knowing the type of business you want to establish in Hong Kong will help you focus on other factors that will help the company develop. To further enhance your reputation in the region, you must choose the company name that best reflects your business. Unless other companies use the name, it can be in Chinese, English or both. Register public institutions to protect users from business risks and responsibilities.
3. Financing your business risks
After the successful establishment of the registered commercial bank account, it is time to meet your company’s needs. Please remember to take with you all the supporting documents, including the audited financial statements, business plans, contracts or agreements, invoices, your company’s establishment documents, the actual copies of the certified business registration certificate, etc.
Security, reliability and competitor services
1. Quick overview
Hong Kong’s multi tier banking system is a mature system, with 71 global banks, many domestic banks and a large number of banks setting up branches in the Chinese Circle.
2. Get rid of traditional methods
Influenced by the Internet and digitalization, most companies choose traditional ways to promote many banks in Xianggang to carry out virtual banking business.
3. What is virtual bank and amp; finTech account?
Virtual bank is a kind of digital banking system. This is an innovative and advanced banking system that provides users with online access, savings, consumption and loan capabilities. Virtual banks digitize banking services and provide them through the Internet to meet customers’ local and international needs. Products and services can be executed online, and all users can access them anytime, anywhere.
FinTech is an alternative banking solution that provides business accounts for entrepreneurs to quickly access multi currency trading platforms after the establishment of the company. The service allows business owners to open accounts remotely at any time to start global fund transfer. However, these service providers do not have physical branches.
A bank that provides banking services electronically or online, which provides a wide range of financial services through applications or online platforms. Please note that although these two platforms can meet all bank transactions without any physical branches, there are still significant differences between the two websites. Although FinTech is very popular recently, all accounts are supported by trusteeship cooperation banks such as Starfield Bank(DBS) or Standard Chartered Bank(Standard Chartered), but they are not banks themselves. In addition, virtual banks, like traditional banks, are also supervised by the Hong Kong Monetary Authority(HKMA).
Since the covid-19 explosion, foreign business owners have been unable to travel. They found that virtual banking or financial technology remittances were beneficial. They can open commercial accounts when they are not there, and obtain funds 24 hours a day anywhere in the world.
4. What are foreign bank accounts?
When it is necessary to transfer funds to the world, an extraterritorial bank account is an option. Enterprises that open overseas or international bank accounts can operate in multiple currencies, issue credit cards and debit cards related to various banknotes without high fees, and enjoy special investment opportunities and discounted international settlement.
Detailed overview of online banking account opening
1. Preparation and Submit Essentials
Complete the online application form and attach the signature to the scanned or PDF version of the required document. The banker will arrange a video phone interview to check your application.
The following documents shall be submitted to HSBC, Industrial and Commercial Bank of China, Bank of China, Citibank and other banks in Hong Kong:
Registered physical address in Hong Kong. If it is the lessee, please submit the office lease contract in the name of Hong Kong company.
Commercial operation must be connected with China or Asia in some way.
Directors of the Company shall hold Hong Kong Identity Card or Hong Kong Employment Visa.
Certificate of Incorporation
Confirm the actual copy of the certificate of incorporation; and
Audited financial statements, business plans, contracts or agreements and invoices are examples of supporting documents.
If the application for the following banks is rejected, you can make an appointment with Hang Seng, Overseas Chinese Bank, Wing Heng or Standard Chartered Bank.
It is worth noting that it may be difficult to obtain foreign bank accounts due to “Know Your Customer”(KYC) and practical requirements.
2. Understand the customer(KYC) process and; what should I show you?
Know Your Customer(KYC) is a way for banks to evaluate applications. To maximize approval opportunities, it is recommended to provide the following information:
Personal KYC certificate
All directors, beneficial owners and shareholders holding more than 10% of the Company’s shares must submit certified copies of their actual passports.
Bank Reference
How long does it take to open a bank account in Hong Kong?
The confirmation appointment with the bank takes about 7~20 working days. The business owners, beneficial owners, shareholders and directors shall actually exist in Hong Kong. However, due to covid-19, some banks apply online.
Easy cooperation with Asian BC
ADB cooperates with more than 30 regional and international banks to provide online corporate bank account opening services. We have also set up thousands of enterprises with customer satisfaction.
If this article helps you understand the nature and complexity of company establishment and bank account opening, it is time to leave. The Asian Bank stands ready to help. For more information, please contact your advisor by email [email protected] Or WhatsApp at+8526541314. I’m glad you pointed out the right direction.
We want to hear about your dreams and help you realize them. Let’s start together!
