Frequently Asked Questions
Company Formation, Visa, Compliance and Governance
There are eight admission schemes for talents, professionals and entrepreneurs seeking to work and live in Hong Kong, namely Employment Visa for professionals, Visa for business investors and entrepreneurs, Mainland China talents and professionals, Quality Migrants, Technology Talent, Non-local Graduates, Second Generation Permanent Residents, and Dependants. Additionally there are visas to study, for training, i.e. student interns, and working holiday visas.
persons admitted under the General Employment Policy, i.e, holding a visa for
employment or as entrepreneurs can bring their spouses and unmarried children
under the age of 18 as dependants. Spouses refers to married partners under
Hong Kong or overseas law and celebrated civil partnerships or unions that are
recognized by law in the place where they have been entered into.
application for an employment visa requires a confirmed offer of employment.
Thus, is not suitable for jobseekers. The Quality Migrant Admission Scheme
(QMAS), however, is solely based on individual merits and does not require an
basic eligibility criteria are that the applicant is of good standing, ie. there
is no security objection and no known record of serious crime, has a good academic
background, normally a first degree in the relevant field, proven professional
abilities and relevant experience, there is a genuine job vacancy that cannot
be readily taken up by the local work force and the applicant has a confirmed
offer of employment at a remuneration package broadly commensurate with the
prevailing market level for such professionals in Hong Kong.
best visa is the one that is most suitable to the circumstances.
an employment visa, the estimated time frame is eight weeks to compile the
application and for the immigration department to assess. Additional time may
be required where supporting documents are not readily available or in cases
where the immigration department seeks further clarification.
is not one figure that is right or wrong. The company sponsoring an application
or an entrepreneur establishing a business should be able to show sufficient
funds to sustain and remain operational. As a rule of thumb, there should be
enough funds to cover the increase in expenses from the foreign hire or to
establish a business for a period of six to twelve months.
Hong Kong and Mainland China a separate under the one country – two systems
policy. Hong Kong is a Special Administrative Region and administers its own
immigration policy. Applications to work and reside in China must be filed with
the applicable Chinese authorities.
prerequisite of applying for the right of abode or permanent residency in Hong
Kong requires a continuous stay of at least seven years.
an employment relationship is terminated, irrespective of the reason or
terminating party, the employing company should inform the immigration
department of the cessation of sponsorship. It is the general policy of the
immigration department not to cancel or revoke visas. Thus, the visa holder may
remain in Hong Kong for the remaining duration of the visa. Subject to
additional conditions of stay, employment visa holders will need to seek the
immigration department’s approval should they wish to work for another company.
The most common form of business entities that are incorporated in Hong Kong is a company limited by shares, or simply, a Limited Company. Limited companies are further distinguished into private and public companies, depending on their size. Public companies are subject to stricter compliance regulations than private companies. The majority of registered companies in Hong Kong are considered private companies limited by shares.
A limited company means that the liability of the shareholders do not extend to them personally, unlike a sole proprietorship or a general partnership, and is wholly contained within the company. The incorporation of a limited company establishes a separate legal personality for that company with the same rights and obligations of a natural person.
Other than a limited company by shares, you can incorporate a limited company by guarantee. Limited companies by guarantee are always public companies. They do not have a share capital and instead the members undertake or guarantee that, subject to the guaranteed amount specified, they will bear the liabilities and cost of winding down the company. Limited companies by guarantee are typically used for not-for-profit causes.
In most cases, a limited company will be the most appropriate.
The incorporation of a company typically takes 5-7 working days. The signed incorporation form is required to be submitted to the Companies Registry. Thus, you should add a few days for the courier to deliver the documents.
Alternatively, submissions can be made in electronic form and are usually processed within the same day, however, the e-incorporation service is available to registered users only.
• To register a company, the shareholder(s), whether they are individuals or other corporations, must appoint at least one director, who is a natural person.
• The director(s) may be the same person(s) as the shareholder(s).
• Private companies may even appoint corporate directors, provided that there is at least one natural person director.
• Following the principle of separation of ownership and management, the shareholder(s) may appoint unrelated director(s).
• Other office bearers appointed to the company are the Company Secretary and Designated Representative, who are required to be ordinarily residing in Hong Kong.
• It is highly recommended to appoint a professional service provider to this office, such as Encore, to ensure statutory compliance and good governance.
• The company name must not be the same or of confusible similarity as a name appearing in the index of company names kept by the Registrar of Companies.
No, but it is generally recommended. The Companies Registry accepts submissions from founder members and directors directly and the incorporation forms and model articles are available from the Registry’s website. However, if you are not resident in Hong Kong or are the sole director, you will need a Hong Kong resident company secretary and designated representative to be appointed as officers. In addition, if you are not familiar with the corporate governance requirements and records, a professional service provider can assist you.
It is not required to rent an office. The company must provide a Hong Kong address as its registered address which cannot be a PO box.
The Companies Registry will accept a residential address to be submitted as the registered address of a company. Having said that, apart from the use of a residential address at a reputational disadvantage, there may be building or lease conditions that restrict the use of premises. Compass Offices offers virtual offices services at a variety of well reputed commercial building where your new company can feel at home.
Hong Kong and China are two separate jurisdictions under the One Country – Two Systems principle. A Hong Kong company can enter into business with Chinese companies. In order to do business domestically in the Mainland, a Wholly Foreign Owned Entity (WFOE) in Mainland China can be established.
Yes, a Hong Kong company can apply to have a bank account opened at any Hong Kong or overseas bank.
C O N T A C T U S
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