Q: What are the share capital requirements of a Hong Kong private company?

With the commencement of the new Companies Ordinance (“New CO”) on 3 March 2014, the New CO adopts a mandatory system of no par value (or nominal value) for shares, meaning companies will have greater flexibility in structuring their share capital. Henceforth, Hong Kong companies are often established with a minimum standard authorised share capital of HK$1.00

Q: What are the requirements for shareholders?

Shareholders of a Hong Kong private company can be individuals or corporations and can reside or be incorporated in any part of the world. There is no requirement for local shareholders. A Hong Kong company must have a minimum of one shareholder.

Q: We are incorporated outside Hong Kong. Can we be a director of a newly incorporated Hong Kong company?

A Hong Kong private company must have at least one director. The directors can be individuals or corporations (except for a company that is a member of a group of companies of which a listed company is a member) and can reside or be incorporated in any part of the world. There is no requirement for a local director.

However with the commencement of the new Companies Ordinance (“New CO”) on 3 March 2014 the New CO requires every private company to have at least one director who is a natural person i.e. a non-corporate director.

Q: Do we need a local address?

A Hong Kong company must have a local registered office and a local secretary. We can provide the services of a local registered office address and a local secretary.

Q: What other requirements have to be met to maintain a Hong Kong private company?

A Hong Kong company must:-

• maintain proper accounts;
• appoint auditors to audit its accounts;
• apply for a business registration certificate;
• for specified industries, obtain licences, for instance travel industry, food and beverage industry, financial services industry etc.

Q: How long will it take to establish a Hong Kong company?

It takes about 7 days to incorporate a Hong Kong company with your chosen name. If you need a company quicker than this, we can provide a shelf company and this could be set up within 4 days. You can then change the name of the shelf company.

Q: How much will it cost me to establish a Hong Kong company?

We will provide our fee structure upon request.