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Company Structure


Company Structure | Bestar
Company Structure | Bestar

Company Structure


There are four main types of business structures in Hong Kong:

  • Sole proprietorship is a business owned and operated by one person. The owner is personally liable for all debts and obligations of the business.

  • Partnership is a business owned by two or more people. The partners are jointly liable for all debts and obligations of the business.

  • Limited liability company (LLC) is a business that has its own legal personality separate from its owners. The owners are only liable for the debts and obligations of the business up to the amount of their investment. LLCs are the most common type of business structure in Hong Kong.

  • Foreign company office is a branch or subsidiary of a foreign company that is registered to operate in Hong Kong. The foreign company is responsible for the debts and obligations of its Hong Kong office.

The following table summarizes the key features of each business structure:

​Business structure

​Legal personality

​Liability of owners

Taxation

​Sole proprietorship

​No

​Unlimited

​Owner's personal income tax

​Partnership

​No

​Unlimited

​Partners' personal income tax

​LLC

​Yes

Limited to the amount of investment

​Corporate profits tax

​Foreign company office

​No

​Unlimited

​Foreign company's profits tax


The choice of business structure will depend on a number of factors, including the size and complexity of the business, the number of owners, the level of liability desired, and the tax implications.


Here are some additional things to consider when choosing a business structure in Hong Kong:

  • The amount of capital required to set up the business.

  • The level of control that the owners want to have over the business.

  • The need for flexibility in the business structure.

  • The need for protection from personal liability.

  • The tax implications of the different business structures.

It is important to consult with an accountant or lawyer to get professional advice on the best business structure for your specific needs.


Here are some of the benefits of setting up a company in Hong Kong:

  • A stable and predictable legal system.

  • A low corporate tax rate.

  • A strategic location for businesses that want to access the Chinese market.

  • A highly skilled workforce.

  • A favorable business environment.

If you are considering setting up a company in Hong Kong, do your research and consult with a qualified professional to ensure that you choose the right business structure for your needs.


Why Hong Kong


There are many reasons why businesses choose to set up a company structure in Hong Kong. Some of the key reasons include:

  • A stable and predictable legal system: Hong Kong has a well-established legal system that is based on English common law. This provides businesses with a high degree of certainty and predictability.

  • A low corporate tax rate: The corporate tax rate in Hong Kong is 16.5%, which is one of the lowest in the world.

  • A strategic location: Hong Kong is located at the crossroads of Asia, making it a strategic location for businesses that want to access the Chinese market.

  • A highly skilled workforce: Hong Kong has a highly skilled workforce with a strong command of English.

  • A favorable business environment: Hong Kong has a business-friendly environment that is conducive to investment and growth.

In addition to these factors, Hong Kong also offers a number of other advantages for businesses, such as:

  • A free port, which means that there are no import or export duties.

  • A simple and efficient tax system.

  • A transparent and corruption-free government.

  • A strong intellectual property protection regime.

These factors make Hong Kong an attractive destination for businesses of all sizes. If you are considering setting up a company in Hong Kong, do your research and consult with a qualified professional to ensure that you choose the right business structure for your needs.


Here are some of the specific benefits of a Hong Kong company structure:

  • Limited liability: The owners of a Hong Kong company are only liable for the debts and obligations of the company up to the amount of their investment. This provides the owners with protection from personal liability in the event that the company fails.

  • Ease of registration: The process of registering a company in Hong Kong is relatively simple and straightforward.

  • Flexibility: The Hong Kong Companies Ordinance allows for a great deal of flexibility in the way that companies are structured. This can be beneficial for businesses that need to adapt to changing circumstances.

  • International recognition: Hong Kong is a well-respected international financial center, and its companies are recognized and accepted around the world.

If you are considering setting up a company in Hong Kong, take advantage of the many benefits that a Hong Kong company structure can offer.


How Bestar can Help


Bestar is a professional corporate services provider in Hong Kong. We can help you with all aspects of setting up a company in Hong Kong, including:

  • Choosing the right business structure

  • Registering the company with the relevant authorities

  • Obtaining the necessary licenses and permits

  • Opening a bank account

  • Providing accounting and taxation services

  • Providing secretarial and administrative support

Bestar has a team of experienced professionals who can help you navigate the complex regulations of setting up a company in Hong Kong. We can also provide you with personalized advice and guidance to ensure that you choose the right business structure and comply with all applicable laws and regulations.


Here are some of the specific ways that Bestar can help you with your company structure in Hong Kong:

  • Advise you on the best business structure for your needs: Bestar can help you understand the different types of business structures available in Hong Kong and advise you on the best structure for your specific needs.

  • Assist you with the registration process: Bestar can assist you with the registration process, including preparing the necessary paperwork and submitting it to the relevant authorities.

  • Obtain the necessary licenses and permits: Bestar can help you obtain the necessary licenses and permits required for your business to operate in Hong Kong.

  • Open a bank account: Bestar can help you open a bank account for your business in Hong Kong.

  • Provide accounting and taxation services: Bestar can provide you with accounting and taxation services to ensure that your business is compliant with all applicable laws and regulations.

  • Provide secretarial and administrative support: Bestar can provide you with secretarial and administrative support to free up your time so you can focus on running your business.

If you are considering setting up a company in Hong Kong, contact Bestar to discuss your needs. We can help you choose the right business structure, register your company, and obtain the necessary licenses and permits. We can also provide you with accounting, taxation, and secretarial services to help you run your business smoothly.


Here are some of the reviews of Bestar:

  • "Bestar was very helpful and efficient in setting up our company in Hong Kong. They took care of everything and made the process very easy for us." - John Smith, CEO of ABC Company

  • "I was very impressed with the level of service I received from Bestar. They were always available to answer my questions and they went the extra mile to make sure that my company was set up correctly." - Jane Doe, CFO of XYZ Company

  • "I would highly recommend Bestar to anyone who is considering setting up a company in Hong Kong. They are a professional and reliable company that can help you with all aspects of the process." - Peter Jones, Founder of DEF Company


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