7 Key Things to Know About Business Registration in Hong Kong

Registering a business in Hong Kong is a pivotal step for entrepreneurs looking to tap into its tax advantages and supportive business environment. But what does the process involve, and how can you prepare?

From choosing the right business structure to meeting the post-incorporation requirements, this guide will walk you through the 7 essential factors you need to know about Hong Kong company registration, ensuring you’re well-prepared to navigate the process.

The first step in registering a company in Hong Kong is selecting the type of legal entity. Most businesses choose to register as private limited companies (Ltd.) because this structure separates personal assets from business liabilities and offers the flexibility to engage in a wide range of profit-making activities. 

Here are the other types of business structures you can consider:

• Sole Proprietorship: A simple business structure run by one person, offering full control but no separation between personal and business liabilities.
• Public Limited Company (PLC):  A company structure that can raise capital by offering shares to the public. Best for larger businesses planning to list on a stock exchange or seeking significant investment.
• Limited Partnership: A structure combining general partners (with full liability) and limited partners (whose liability is capped at their investment).
• Branch Office: A setup for a non-Hong Kong company looking to conduct business operations in Hong Kong. It can engage in profit-making activities but does not offer separate legal liability from the parent company.
• Representative Office: A non-profit-generating structure for foreign companies looking to explore the Hong Kong market.

Understanding the associated costs and expected timeframe is essential for proper planning when registering a new business in Hong Kong. While the overall expenses and time required can vary depending on the type of business structure you choose, we’ll outline the average cost and timeframe for registering a private limited company in this section.

How Much Does It Cost to Register a Business in Hong Kong?

According to a survey of 120 companies conducted by Statrys, the average cost of company incorporation in Hong Kong is HKD 9,053. This cost includes:

• Company Registration Fee: HKD 1,545 for online applications or HKD 1,720 for applications submitted in hard copy form.*
• Business Registration Fee: HKD 2,200 for a 1-year Business Registration Certificate from the Inland Revenue Department (IRD).*
• Company Secretary Fee: The cost of hiring a company secretary, which is a legal requirement. Fees typically vary based on the level of service, and most providers offer quote-based pricing.
• Registered Office Address: The expense of renting office space or using a virtual office service to fulfil the registered office address requirement.

The government fee is accurate as of January 2025.

How Long Does the Entire Business Registration Process Take?

On average, it takes around 3–5 business days to incorporate a company in Hong Kong. While company incorporation via the Companies Registry online service can be completed within an hour, your application will take 1–5 days for approval, depending on the complexity of your business. If corporate entities are involved as shareholders, the process can take up to 7 working days.

Keep in mind that this timeframe only covers the filing for the registration process. If we factor in other steps to meet compliance requirements, such as securing a registered office address, looking for a company secretary service provider, and opening a business bank account, the entire process can take around 2–4 weeks.

To form a company in Hong Kong, the business must have at least one director and one shareholder, who can be the same person. There are no nationality requirements, allowing foreigners to register and own 100% of a company in Hong Kong. Additionally, only a minimum of HKD 1 or its equivalent in any currency is required for share capital.

Moreover, eligible offshore companies that operate and source income entirely from outside Hong Kong may qualify for certain tax exemptions. However, the company must still be registered in Hong Kong.

Here are what you will need to prepare to register a business in Hong Kong:

1. Company Name: Your business name must be in either Traditional Chinese or English, but it cannot mix both languages or use Simplified Chinese characters. Additionally, the name must comply with the Companies Registry's guidelines.*
2. Identification Documents: Government-issued IDs for the directors, shareholders, and company secretary. These may include Hong Kong ID cards (HKID), People’s Republic of China identity cards, or passports.
3. Proof of Address: Documents verifying the residential address of the directors and shareholders, such as utility bills or bank statements.
4. Articles of Association: A document detailing the company’s structure and rules.
5. NNC1 Form: An incorporation form for companies limited by shares or an NNC1G form for companies not limited by shares.
6. IRBR1 Form: A notification form for the Inland Revenue Department’s (IRD) Business Registration Office.

Every Hong Kong company is required to have a company secretary to handle compliance tasks and filings. The company secretary’s main responsibilities include:

• Maintaining statutory records: Keeping the company’s registers, such as the Register of Directors and Significant Controller Register, up to date.
• Filing annual returns: Ensuring timely submission of annual returns and other statutory documents to the Companies Registry.
• Company seal management: Keeping the company seal secure and recording their use.
• Organising meetings: Preparing agendas, minutes, and resolutions for board meetings, as well as coordinating the mandatory annual general meetings (AGMs).

The company secretary can be an individual residing in Hong Kong or a company secretary service provider with a Hong Kong Trust and Corporate Service Provider (TCSP) licence and a registered office in the jurisdiction. However, the role cannot be filled by the sole director of the company.

The Hong Kong company registration process involves registering your business with two government authorities: the Companies Registry and the Inland Revenue Department (IRD)’s Business Registration Office.

To simplify the process, the authorities introduced the One-stop Company and Business Registration Service, which allows you to register your company with the Companies Registry and Business Registration Office simultaneously.* You can submit the required documents and incorporation forms and the company incorporation fee through the following channels:

• Online via Companies e-Registry. 
• By mail or in person at the Companies Registry address: 14th floor, High Block, Queensway Government Offices, 66 Queensway, Hong Kong.

Documents Issued Upon Registration

Once your company is successfully registered, you will receive two documents as proof of incorporation:

1. Certificate of Incorporation: Issued by the Companies Registry, this certificate contains key details, including the 8-digit company registration number, the company name, and the incorporation date. It does not require renewal.
2. Business Registration Certificate: This is an official document issued by the Inland Revenue Department and serves as an identifier for tax purposes. It includes the Unique Business Identifier (UBI) and must be renewed annually or every three years, depending on the selected registration period.

Both certificates will be delivered as either an electronic PDF file or a paper version, depending on the registration method. Both formats hold equal legal weight.

Maintaining your registered business in Hong Kong requires compliance with the Companies Ordinance and other regulatory frameworks. Below is a detailed breakdown of the key requirements:

Find an Accountant or Auditor

Proper bookkeeping and accounting are essential for maintaining well-organised financial records and simplifying tax return filings with the IRD. Hiring an accountant can be especially helpful for first-time entrepreneurs. However, we recommend that new companies wait a few months before hiring an accountant to avoid being overcharged, as during the early stages, service providers often estimate transaction volumes to calculate fees, which may not reflect the actual volume of activity as the business grows.

Additionally, auditing is required for all Hong Kong companies under the Companies Ordinance, ensuring transparency and compliance with financial regulations.

File Annual Returns

All Hong Kong companies must file an annual return with the Companies Registry within 42 days of the company’s anniversary date of incorporation. This filing includes key details about the company’s structure and directors. Late submissions incur penalties, so timely compliance is essential.

Renew the Business Registration Certificate (BRC)

The Business Registration Certificate (BRC) must be renewed every one or three years, depending on the selected validity period. Maintaining a valid Business Registration Certificate is a requirement outlined by the Inland Revenue Department (IRD) and is critical for ensuring compliance with Hong Kong regulations.

You can renew the certificate by visiting the Business Registration Office in person or by sending a photocopy of the old certificate along with a cheque for the renewal payment by post.*

Open Business Bank Accounts

While not mandatory, setting up a corporate account is highly beneficial for managing business finances effectively. It helps separate personal and company funds, simplifies bookkeeping, and provides clear records of transactions while allowing payments and receipts under the company name.

Businesses dealing with overseas clients or operating internationally can particularly benefit from multi-currency accounts, which provide cost-effective solutions for managing cross-border payments and transactions in multiple currencies.

Navigating the process of setting up a business in Hong Kong can come with its challenges. From ensuring accurate documentation to meeting compliance requirements, these hurdles can slow down your progress if not addressed properly. Here are some common challenges and practical tips to overcome them.

Document Preparation Errors

Incomplete or inaccurate documentation, such as errors in the application form, mismatched names, or missing information, is a common issue that can delay the registration process. Note that the Companies Registry may only partially refund the application fee in the case of an unsuccessful application.*

Opening a Bank Account

Opening a business bank account with a traditional bank can be challenging for new businesses, especially for foreign entrepreneurs, as most banks implement strict compliance checks and require physical meetings.

Compliance with Local Regulations

Understanding and adhering to Hong Kong’s legal requirements, such as appointing a company secretary and maintaining a registered office, can be overwhelming for first-time business owners.

If you are looking for a fast, streamlined way to register your business in Hong Kong, Statrys is your solution. 

Designed to simplify operations for business owners and entrepreneurs, Statrys offers a comprehensive company registration package that includes pre-registration preparations, company secretary services, and a registered address with mail scanning and forwarding services. You can also get assistance with applying for a Statrys multi-currency business account, ensuring everything you need to start and manage your business is in one place. (Business account application is subject to approval.)