One of the reasons why many people choose to set up a limited liability company is that it is relatively easy to establish. There are three necessary steps to set up a Hong Kong limited company. First, you will need to file the Articles of Association with the Office of the Secretary of State of Hong Kong. Once this is completed, you must also register the company with the Companies House in Hong Kong. Finally, the company needs to submit its articles of association to the Companies House. It is essential to bear in mind that all these processes will take some time.
There are, however, some benefits of a limited liability company that makesset up Hong Kong limited company more comfortable. The most obvious benefit of having a limited company is that your company’s assets will be under absolute private ownership. As a result, creditors will have no claim on your company whatsoever. Besides, your limited company will be able to restrict its activities to those allowed by the law. You will not be able to run your business as you would one that is public.
It means that creditors will not be able to follow your company around the clock and demand payments from you. In addition to this, a limited company will operate for a more extended period than a public one. Public limited companies are only able to use for six months. A private limited company, meanwhile, can continue to operate indefinitely.
Limited company formation is also useful for people who wish to protect their assets in Hong Kong. Limited company registration is one way of ensuring that your property and other assets remain safe during your absence from the company. However, there are some drawbacks to this. Namely, registering the company will entail fees to the government. Also, if you decide to sell your company’s shareslater, the government may make you pay an additional registration fee for it. These fees are unnecessary.
If you wish to set up a Hong Kong Limited Company, there are many benefits. Limited company registration is fast and easy to do. Plus, it does not require any legal documents to be registered. Companies can be set up in as little as three days – it all depends on the paperwork you need to prepare. Plus, you will keep it open for business once you have set up your company without any restrictions. So, even if you are in Hong Kong, you can set up your own limited company.
Setting up a company is best done with the guidance of a professional lawyer. A lawyer will ensure that all the necessary legal requirements are met and that the company is set up correctly and legitimately. A good lawyer will also give you practical advice about running your business and benefiting from it. Plus, they will ensure that your company is appropriately chartered and able to do its business the way it should. And they will help you stay within the law.
As previously mentioned, once you set up a Hong Kong limited company, it will be easier to trade. It is because you will not have to deal with the complications of a UK registration. Plus, you will have all the necessary licenses and permits to operate your business legally. Plus, you will not have to pay income tax on your company’s profits. All these will mean that your company will run more efficiently and effectively.
When you set up a Hong Kong company, you are taking advantage of the special rules which apply to the Chinese market. All in all, you will find that this type of registration will make running your business much more comfortable and hassle-free. Plus, it will allow you to benefit from many benefits such as the VAT exemption, income tax exemption, business rate reductions, as well as other services. It is worth trying to see how easy it is to set up a Hong Kong company. In the end, you will surely be glad that you decided to set up a company and that you were able to follow the correct procedures.