Benefits of Setting Up a Company in Hong Kong

No need for a local Director or Shareholder

This minimises your costs and simplifies management. For example, Singapore and Australia require a local resident Director who will then be part of the decision making procedures and wish to see books and records etc.
Other countries in SE Asia require either a local partner or entire local ownership.
Hong Kong does not have these requirements. 

English common law system

The legal framework is very familiar to those coming from the US and UK. The law is written in English and so easy to navigate. 

Best route to China

It’s location and political system ensure that either buying or selling into China is easier with a HK company. 

Agreements such as the Closer Economic Partnership Arrangement (CEPA) and the Greater Bay Area initiative demonstrate this. 

Freedom of capital

The company can have several bank accounts, in different currencies and in different locations. There are no restrictions on movement of capital. 

An RMB bank account may be set up to facilitate trade with China. 

Territorial taxation, and a low rate if taxed. 

Hong Kong uses the territorial source principle of taxation, in which profits made outside of Hong Kong are tax-free. 

Many online sellers pay 0% tax as their profits are not made in Hong Kong. 

Revenue created inside Hong Kong and taxed at around 16.5%. There are large numbers of allowances and deductions possible. 

There is no VAT or GST on sales. 

No capital gain tax

There is no capital gains tax in Hong Kong. A Hong Kong company selling it’s assets )ie intellectual property) will not pay tax on the profits of this sale. 

Simple Corporate Structure

A Limited Company has no minimum capital requirement, can be set up very quickly, and changes such as a capital increase can happen very quickly

Intellectual Property protection

Intellectual Property registration, and enforcement of rights, is protected by Hong Kong law and straightforward.