Why Hong Kong?
Hong Kong remains one of the world's most business-friendly jurisdictions. Its unique position as a Special Administrative Region of China, combined with its common law legal system and low tax rates, makes it an ideal gateway to Asian markets.
Key Advantages
Territorial Tax System
Hong Kong operates on a territorial tax basis. Only profits sourced in Hong Kong are taxed. If your business earns income from overseas activities, that income is generally tax-free. The corporate tax rate is just 8.25% on the first HKD 2 million of profits, and 16.5% thereafter.
No Capital Gains Tax
Unlike most jurisdictions, Hong Kong doesn't impose capital gains tax. This makes it particularly attractive for investment holdings and businesses expecting significant appreciation in value.
Gateway to China
Hong Kong's proximity and connections to mainland China are unmatched. The Greater Bay Area initiative is integrating Hong Kong with major Chinese cities like Shenzhen and Guangzhou, creating a combined GDP of over $1.5 trillion.
World-Class Financial Infrastructure
Hong Kong hosts the world's fifth-largest stock exchange and serves as Asia's premier financial center. Access to capital, banking services, and financial expertise is readily available.
Company Types
Private Limited Company
The most common structure for foreign businesses. Key features:
Minimum one director (can be non-resident)
Minimum one shareholder (can be corporate)
HKD 1 minimum share capital
Local registered address required
Local company secretary required
Branch Office
Suitable for established foreign companies wanting a presence without creating a separate legal entity. The parent company remains liable for the branch's obligations.
Incorporation Process
With StableCorp, Hong Kong incorporation is streamlined:
**Document Preparation**: We prepare all required documents including Articles of Association and incorporation forms
**Name Approval**: Verify company name availability with the Companies Registry
**Filing**: Submit incorporation documents electronically
**Registration**: Receive Certificate of Incorporation (typically 1-4 business days)
**Post-Incorporation**: Set up business registration, open bank account, and establish compliance systems
Banking Considerations
Hong Kong banks have become more cautious about new account openings, particularly for companies with crypto or fintech activities. StableCorp's banking partnerships help navigate these challenges, providing access to both traditional and digital banking solutions.
Ongoing Compliance
Annual return filing with Companies Registry
Profits tax return (if applicable)
Audit by certified public accountant
Business registration renewal
Is Hong Kong Right for You?
Consider Hong Kong if:
Targeting Asian markets, especially China
Seeking tax efficiency on international income
Need access to sophisticated financial services
Want a common law jurisdiction with strong property rights
At StableCorp, we help founders evaluate Hong Kong against other options like Singapore and determine the best fit for their business model and growth plans.