Hong Kong Holding Companies

A presentation brought to you by LawFirmHongKong.com

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Holding Companies in Hong Kong

• Hong Kong is a favourable jurisdiction to open a holding company.

• The city has advantageous tax rates for companies and presents a low risk for investment.

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The Characteristics of the Holding Company

• The holding company is used by investors in Hong Kong solely to acquire stocks in existing companies.

• It does not produce goods or deliver services, instead it is an investment vehicle for the savvy entrepreneur.

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Hong Kong Holding Company Formation

• Holding companies incorporated in Hong Kong need to comply with the requirements for business formation.

• These companies do not have to comply with a certain minimum capital requirement.

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Why Set-Up a Holding Company in Hong Kong >>

• Hong Kong is an excellent location to base a holding company because of the easiness of the company set-up procedure, relocation and dissolution.

• The favourable tax rates are also an important aspect to consider when choosing the holding company jurisdiction.

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>> Why Set-Up a Holding Company in Hong Kong

• Apart from the tax and location advantages, investors who open a holding company in Hong Kong enjoy a good and stable business climate.

• The double taxation treaties also allow for a favourable tax treatment for holding companies, making Hong Kong a top destination to base a holding.

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Using a Hong Kong Holding Company for Investments

• A Hong Kong-based holding company can be used for investments in China.

• The chosen type of company will provide ownership flexibility, with 100% foreign ownership and limited liability for the investor.

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Hong Kong Company Set-Up

• Investors who open a holding company in Hong Kong will need to choose a company name and register the company with the Companies Registry.

• These companies will need to comply with several, although moderate, annual reporting requirements.

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Hong Kong Company Compliance

• Companies in Hong Kong are subject to a corporate income tax on their profits derived from the city.

• Tax liability can be addressed by seeking legal counselling from a law firm in Hong Kong.

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Investment Aid in Hong Kong

• Foreign or local investors who are interested in knowing more about investments in the city can contact our lawyers in Hong Kong.

• Our team of experts is able to provide you with details about holding company formation.

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