Q&A
A1: A limited company established under the Hong Kong Companies Ordinance must file annual return to the Companies Registry every year. In addition, the company is also needed to renew the business registration every year.
The annual government fee is usually within few thousand Hong Kong dollars for maintaining a Hong Kong company. If the government has a decent fiscal surplus or Hong Kong’s economic situation is worst, the related fees may even mitigate to lower.
A2: According to the Companies Ordinance, every company must deliver its annual return to the Companies Registry within a specified time limit each year.
Meanwhile, the company and each of its responsible persons (e.g., directors and company secretary) must maintain and keep update the register of members, register of directors, register of company secretaries, register of significant controllers, and the register of charges (if any). The above registers are collectively referred as "Statutory Registers"
In addition, the company must appoint a representative as the contact person (designated representative) to provide information and assistance related to the important controller register to law enforcement officers (such as the company registry, customs, etc.).
A3: Yes, of course! The Companies Ordinance does not specify certain nationality or Hong Kong Identity Card holders to establish Hong Kong company and serve as the company’s director. However, company secretary position must be held by an ordinarily resident in Hong Kong or a licensed company service provider.
A4: No. However, a Hong Kong limited company must have a Registered Office address (“RO”) in Hong Kong, so that the government can deliver its letters or notice and visit the company. Using PO Box as RO is NOT allowed. In addition, a company must display continuously its registered name in legible characters at its registered office and every business venue of the company.
The rental expenses in Hong Kong are generally very expensive. If there is no need to rent a physical Hong Kong office, you may consider our registered office and mail collection service.
A5: According to the Inland Revenue Ordinance and the Companies Ordinance, director of a company must take all reasonable steps to secure the custody of accounting records to show and explain the company’s transactions that sufficient to disclose with reasonable accuracy, at any time, the company’s financial position and financial performance. These accounting records are required to preserved for at least 7 years.
Meanwhile, the company is also obligated to report assessable profits to Inland Revenue Department and submit the tax return and other documents in timely manner.
A6: Yes.
The Companies Ordinance specifies that a Hong Kong company must appoint auditor to conduct statutory audit every year, so that the directors can submit audited financial statements in the annual general meeting for the company members’ inspection.