Setting up a Company in Hong Kong the Easy Way in 2025

Hong Kong stands as one of the prime locations for business growth, attracting experienced and new entrepreneurs worldwide. In 2024, over 145,053 new local companies were registered in Hong Kong, bringing the total number of registered Hong Kong companies to over 1,400,000*

With favourable tax regimes, a strategic location in Asia, and a highly skilled workforce, it makes sense for businesses to set up a company in Hong Kong.

In this article, we will show you the necessary steps, requirements, costs, and tips for company set-up that will help you get started.

Hong Kong is more than just a vibrant city with an economic hub and good infrastructure—it’s a gateway to Asia and a place where businesses thrive in an environment that fosters growth, innovation, and global connectivity. Here are four reasons why setting up a company in Hong Kong can help your business thrive.

Company registration in Hong Kong is relatively quick and cost-efficient. You can get a business registration certificate from the Hong Kong Companies Registry within a few days, and the government fees for incorporation are reasonable and transparent.

Hong Kong offers a business-friendly environment with minimal bureaucratic constraints; it does not require minimum registered capital or a local director, and there is no restriction on foreign investment.

According to IMD’s World Competitiveness Center’s 2024 report, Hong Kong ranks fifth among countries with a competitive economy.* *

The jurisdiction is also home to over 360,000 SMEs* and is a dynamic hub for start-up growth and development. This is because the Hong Kong Government supports the growth of SMEs, providing a number of funding schemes and resources to help with market expansion.* 

Furthermore, Hong Kong is positioned as a gateway to China and the broader Asian market, offering access to regional business opportunities.*

That’s why many entrepreneurs use Hong Kong as a strategic location to expand their businesses in the rest of the region.

Hong Kong has a two-tiered profit tax rate for corporations with an exemption for the first HKD 3,000 profit. For incorporated companies, the first HKD 2 million of profit is taxed at 8.25%, while any profit exceeding HKD 2 million is taxed at 16.5%.* 

This corporate tax system is one of the lowest in Asia and globally. Hong Kong's favourable tax regime also includes exemptions for Value-Added Tax (VAT), Goods and Services Tax (GST), and capital gains.

Additionally, it has a territorial tax regime, which means that income generated from offshore operations is generally not subject to Hong Kong's corporate tax.

Hong Kong does not impose restrictions on foreign investment. This means foreign individuals and companies can establish, operate and own their companies, whether as sole proprietors, partnerships, or limited liability companies. 

This flexibility has made it attractive for foreign businesses to enter and expand in the Hong Kong market, as well as benefit from its favourable business environment and policies.

Setting up a company in Hong Kong is generally straightforward. You can complete all the necessary paperwork and procedures directly with the Hong Kong Companies Registry yourself via their website, provided you meet all the requirements they set.*

Another alternative is to partner with a professional company incorporation service. These service providers handle all the necessary paperwork, filings, and compliance requirements. This option can be helpful if you have limited time and resources to dedicate to the process.

With that said, here’s the full Hong Kong company registration process. 

When setting up your company, you will primarily need to engage with two government departments:

1. Companies Registry: The Companies Registry is the Hong Kong government’s business registration office. It is responsible for overseeing company incorporation and compliance with corporate laws and regulations, following the Companies Ordinance guidelines. It also issues a Certificate of Incorporation, a document that establishes a company as a legal entity.*
2. Inland Revenue Department (IRD): The Inland Revenue Department (IRD) in Hong Kong is a government department responsible for administering taxes and duties, where you must file your company tax return every year. The IRD is the issuer of Business Registration Certificates, which grant tax IDs for businesses. 

Choosing a name for your company is important because if the name is deemed a duplicate or offensive, your registration may be rejected, and you will have to restart the process. The name will be used in all legal documents and to establish your official identity with government authorities for tax, licensing, and other legal purposes, so it must comply with specific regulations. 

Your company name can be in Chinese, English, or both. However, the name must not combine both English and Chinese characters or have been registered before. 

Before submitting your company name, check for availability on the Hong Kong Company Registry's website.* Alternatively, you can prepare a list of names and ask your company secretary to check for the available ones.

Be cautious not to use names that are reserved for regulated industries or government entities. Additionally, avoid names that contain restricted characters, or those that are offensive, misleading or could cause confusion about the nature of your business. You can consult with a local company registration specialist or company secretary to ensure that your chosen name follows the Companies Registry guidelines.*

Make sure your company name is not trademarked in Hong Kong or other regions to avoid legal cases. You can verify that your company name is free to use on the Intellectual Property Department’s Online Search System.*

Protect your company name by registering it as a trademark at the Hong Kong Intellectual Property Department.* This will grant you exclusive rights to use the name in relation to your goods or services, preventing others from copying or using it without your permission. It can also enhance the credibility of your brand.

Now that you have your company's name, the next step is to decide which type of legal entity is best for your business. 

Choosing the right business structure is essential in new company formation, as it affects your tax responsibilities, flexibility of business operations, and legal liability.

The three main business structures in Hong Kong are:

1. Private Limited Company: This type of company is owned by a limited number of shareholders and cannot raise capital by selling shares to the public. The company must file an annual profits tax return with the Hong Kong Inland Revenue Department (IRD), reporting its income and paying corporate tax. 
2. Sole Proprietorship: A business that is owned and operated by a single individual. The owner must file an annual tax return under personal income tax.
3. Partnership: A business entity formed by two or more individuals who agree to share the profits and losses of the business. Each partner is required to declare their share of the profits on their personal tax return. You may choose to register as a Limited Liability Partnership (LLP), which is the most common type of partnership.

Apart from the three main options already mentioned, two other common structures you might come across are representative offices and branch offices. Both are extensions of a foreign parent company and are not considered separate legal entities in Hong Kong.

• Representative Office: A non-commercial entity set up by foreign companies to manage activities like market research or liaising with clients. It cannot generate income directly in Hong Kong.
• Branch Office: An extension of a foreign company in Hong Kong that can generate income and is subject to the same taxes as a Hong Kong company.* It cannot access Hong Kong's Double Taxation Agreements (DTAs). 

Once you’ve selected your preferred business entity, you will need to define the structure of your company. For a limited company in Hong Kong, the basic requirements include having at least one director, one shareholder, and a company secretary. In general, directors and shareholders can be either individuals or corporate entities. However, at least one director must be a natural person.

The minimum share capital is HKD 1, with the exception of certain regulated industries, such as the financial sector. 

It is mandatory for all companies in Hong Kong to appoint a local company secretary when registering your company, as they are a direct point of contact for inquiries from authorities, ensuring regulatory compliance and operational transparency.

Your company secretary will be in charge of ensuring that your company is in good standing with the regulations governing the incorporation and maintenance of companies in Hong Kong. They also have other responsibilities, including filing annual returns, managing company seals, and helping with company restructuring.

A company secretary must be a Hong Kong resident individual or a company secretarial service with a Hong Kong Trust and Corporate Service Provider (TCSP) licence and a Hong Kong-registered business address.*

A director of a company may also serve as its secretary. However, a company secretary must not already be a director of another company. Additionally, the sole director of a company cannot act as the company secretary of the same company.*

A company secretary in Hong Kong is not just an administrative assistant. They play a crucial role in ensuring that your company is compliant with corporate laws and regulations, including fulfilling the annual compliance requirements. 

Here are some of the key responsibilities of a company secretary:

• Maintaining your company records, such as the register of directors, the register of shareholders, the share certificates, and the significant controller register
• Organising, preparing the agendas for, and taking minutes of your board and annual general meetings
• Arranging your tax filings
• Monitoring changes in relevant legislation and the regulatory environment and taking appropriate action

Your registered office address is the address at which the governmental departments will send correspondence. 

If you do not have a physical office in Hong Kong, you can opt for a service provider that provides a registered business address or virtual office services to receive mail and packages without needing to rent office space. However, the virtual office must meet certain requirements, such as being a physical space in Hong Kong and not a P.O. Box. It’s also important to note that certain industries, like food and beverage, may not be eligible to use a virtual office for their registered address.

Typically, this address must be accessible to your company secretary, who will handle official communications, and legal documents, and sometimes sign or take necessary actions. As such, it’s common for some to use the company secretary’s address as the registered address.

If you change your office address, ensure that you fill in the NR1 Form and notify the related authorities to prevent missing important correspondences.*

In Hong Kong, the company incorporation process is streamlined, with a clear set of required documents outlined by the government. 

Here are the required documents for company incorporation: 

• Identification Documents: Copies of the identification documents for the directors, shareholders, and company secretary, typically Hong Kong ID cards for Hong Kong residents and passports certified by a CPA for foreigners.
• Articles of Association: A document outlining the company’s internal governance rules, such as a director appointment and financial management. It also includes information on the share capital amount. 
• Proof of Address: Documentation confirming the residential addresses of directors and shareholders, such as recent utility bills issued within the last three months.
• NNC1 or NNC1G Form: These are company incorporation forms that require information like the proposed company name, the nature of the business, and the director’s information. The NNC1 form is used for companies limited by shares, while the NNC1G is for companies that are not limited by shares.
• IRBR1 Form: A notice that will be sent to the Business Registration Office.

The forms can be found and downloaded on the Companies Registry's official website.* The website also provides examples of Articles of Association, including a simplified form and model articles for private limited companies.* *

If you're registering your company online, you don't need to download the NNC1, NNC1G, or IRBR1 forms. Simply fill in the required information on the website, and these documents will be automatically generated.

Once you have prepared all the necessary information and documents, you can submit the incorporation documents in one of the following ways:

• Online submission through e-Registry Portal
• Send by mail to the Companies Registry’s address to 14/F, Queensway Government Offices, or
• In person at the Shroff Counters at the Companies Registry office.

Once the application is approved, the Companies Registry will issue two documents evidencing the incorporation of your company. The document will be delivered within 4 business days for hard copy delivery, and within 1 hour for electronic delivery. Those documents are:

The certificate of incorporation is issued only once when your company is set up and serves as the official proof of your company's formation. It remains valid during the entire lifetime of the company.

The business registration certificate (BRC) confirms that your company is officially registered to conduct business. It is only valid for one or three years, depending on the option you choose at the time of registration. The BRC must be renewed every year within one month following the anniversary date of your company's establishment (otherwise, fines will be issued).

At the time you submit the incorporation documents to the Companies Registry, you will be required to pay the applicable government fee.*

Below are the incorporation fees for Hong Kong private limited companies. Please refer to the Companies Registry’s official website for other related service fees.

Businesses in certain industries are required to apply for licences and permits to operate, such as restaurants, selling liquors, money service operators, and import and export. Some types of businesses might need more than one licence. 

For example, if you’re opening a restaurant, you must obtain a General Restaurant Licence, a Provisional General Restaurant Licence, and a Liquor Licence from the Food and Environmental Hygiene Department.*

You can visit the Trade and Industry Department website to find out which licences, permits, certificates, and approvals are needed for certain businesses.*

At the time of incorporation, the Companies Registry will automatically report your company's existence to the Inland Revenue Department.

However, it is your responsibility to keep up with your financial reporting. Typically, your company secretary should handle your reporting and tax notifications, as well as communicate with you on this matter, depending on the level of service your company secretary provides. 

For more information and updates regarding the rules and regulations for tax in Hong Kong, you can check this guide to the Hong Kong tax system and the Hong Kong Government’s website.

Establishing a company in Hong Kong as a foreigner is relatively straightforward, and many of the procedures are the same as those for local entrepreneurs. However, certain considerations can make the process more challenging for non-residents, including having a registered business address in Hong Kong and appointing a Hong Kong-based company secretary.

In this section, we answer some frequently asked questions for foreign entrepreneurs looking to set up their business in Hong Kong.

Do You Need a Local Director?

No, Hong Kong does not require a local director for foreign-owned companies. Hong Kong law mandates that every company must have at least one director, but this director can be of any nationality and does not need to be a Hong Kong resident. As long as you have a qualified director, you can manage your company remotely without the need for a local director. However, you will need a company secretary who is a resident and is based in Hong Kong to assist with handling the legal documentation.

Do You Need a Physical Office? 

The answer is no—Hong Kong law does not require businesses to have physical office space. What is required, however, is a registered business address. This is the address where official correspondence from the government and tax authorities will be sent. For foreign business owners, virtual office solutions are a popular option. These services provide a local business address and mail forwarding services.

Can You Register Remotely?

Yes, it is entirely possible to register a company in Hong Kong without being physically present. Whether you are based in another country or operating remotely, Hong Kong’s online systems and the availability of service providers mean you can complete all necessary steps without having to travel to Hong Kong in person. This flexibility is one of the reasons why Hong Kong remains a popular destination for international entrepreneurs, freelancers, and investors.

What Is the Visa/Residency Requirements?

Foreigners can set up a company in Hong Kong without the need for a visa or residency. You'll only need a passport and proof of address. However, only if you plan to live and work in Hong Kong, you'll need an “Investment Visa” for those setting up or investing in a business, or an “Employment Visa” if you plan to hire employees or work for your own company. The visa application process can take several weeks, so it's advisable to start early if you need one.

Setting up a company in Hong Kong with Statrys is easy. For HKD 7,740, you will have everything you need to start a business, including an online business account with Statrys (subject to approval). 

Simply follow the steps:

1. Visit https://statrys.com/hong-kong-company-registration
2. Click on “Get Started”
3. Fill out your information
4. Complete the payment

And we’ll do the rest! Here is what will be included in the all-inclusive package: 

Incorporation Services

• Verification of the company name availability
• Preparation and filing of incorporation documents
• Articles of Association
• Government fees (HKD3,970 - included in our price)
• Certificate of Incorporation
• Business Registration Certificate (for 1 year) 
• Company chops (corporate seals)
• 24/7 access to company documents on our online platform

Company Secretary Services

• Provision of a Secretary Company (1 year)
• Provision of a Designated Representative (1 year)
• Filing of Annual Return (NAR1)
• Automated reminders of filing deadlines
• Maintenance of the significant controller register
• Maintenance of the statutory records
• Preparation of the Annual General Meeting (AGM)
• All of your statutory records and compliance documents are in one place, accessible online 24/7

Registered Address in Hong Kong

• Registered address for one year
• Scanning and forwarding of mail

Business Account Application

• Get a fast-track application to open a business account with Statrys*, which is subject to approval.