Hong Kong’s Professional Corporate Services Provider

  A Limited Liability Company (LLC) already safeguards the personal assets of its owners/investors from business risks and liabilities. There are two types of LLCs in  Hong Kong company formation : Small and medium-sized businesses prefer  Private Limited by Shares , while major firms prefer  Public   Limited by Shares . Because of the benefits it provides, private limited by shares is the most prevalent type of business structure used by  register company  owners in Hong Kong: Separate Legal Entity — If the company goes into debt, the shareholders are not responsible for repaying the debt. Restricted Liability — LLC members’ losses will be limited to the precise shares they invested in the company, and they will not be held liable for losses in excess of their shared contribution. Tax Benefits — Because Hong Kong follows territorial principles, tax rates ranging from 8.25 percent to 16.5 percent will be imposed, as well as a tax exemption for earnings earned outside the region. Learni

  Be Prepared Entrepreneurs, regardless of the size of their business, must be prepared to submit documents, contracts, and agreements to the bank with their application for a  Hong Kong bank account . Every Hong Kong bank has a Know Your Client policy that requires startup owners to meet with bankers who ask about the business, particularly the flow of money, to understand how the business works and determine if there are suspicions of money laundering or other crimes. Keep your optimism Every business starts with an idea. After that, there are bound to be a lot of challenges, especially if you want to change an industry. The most fundamental obstacle to establishing a  bank account in Hong Kong  is running a business. As a local startup, it uses the owners’ personal bank accounts to run the business and continues to apply for bank accounts while expanding. At the very least, their application was accepted by a bank after its first anniversary. This new business would have failed with

  No way. However, there are two factors that contribute to the difficulty of   bank account opening : Risk Factor The banks are extremely cautious about opening accounts in order to avoid severe regulatory penalties. The banks’ compliance officers are working so diligently that even a slight mismatch in a client’s profile is unacceptable. In addition to new customers, some banks view account opening services as risky because they involve beginning business relationships with unknown parties. Profitability The banking sector is driven by profits. Because they are unlikely to purchase the lucrative “value-added” goods from the banks, such as investments, savings, insurance, and loans, small businesses and startups are not appealing to the banks. To reduce operating expenses, some banks are closing low-volume  business account . You can also check out our website for complete business bank account opening guidelines : https://asiabc.co/services/bank-account/hk-company-business-account-op