Hong Kong and offshore company formation

There are various stages involved in the registration of a company in Hong Kong which is as follows:

Stage 1 – Name and type of a company

A company name that may infringe the intellectual property rights of any third party is not allowed to be adopted. Any kind of infringement of the intellectual property rights of other party may invite criminal or civil sanctions moreover in Hong Kong or anywhere else.

Type of companies:

• Company limited by shares – Liability of members is limited by the articles of association to the amount due on the shares held by them.
• Company limited by guarantee – Liability of members is not limited by the articles of association to the amount that the members undertake respectively to contribute to the assets of the company in the occurrence of its winding up. Nonprofit making organizations are mostly registered under this category.

Choose a distinctive name for the company, appearing in the index of company names preserved by the Registrar of Companies.

Stage 2 – Submitting an application

An application for incorporation must be submitted with the following documents and prescribed fees. This procedure can be done either electronically through “e Registry” or “CR e Filing” or manually in hard copy format.

• Incorporation Form – Form NNC1 (for a company limited by shares) and Form NNC1G (for a company not limited by shares);
• A copy of articles of association of the company; and
• Notice to Business Registration Office (IRBR1).

Stage 3 – Collecting certificates

If the application for incorporation is permitted, an applicant can download or can take manually the Certificate of Incorporation and Certificate of Business Registration. These certificates will be delivered in electronic form or in a hard copy format, depending on the mode of issue of the applications. Certificates issued in both modes are valid.

Stage 4 – Acquiring authorizations or licenses

If the business is to be carried out in Hong Kong, licenses or permits are mandatory for event-related activities, employment agency, travel agency, retail shop, education, and restaurant.

The subsequent step in setting up a new business in Hong Kong is to attain necessary permits and licenses that the specific business entity may need, irrespective of where you conduct the business. Depending upon the nature of services and products, there are numerous types of permits and licenses that might be required for the business.