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How to set up a trading company in Hong Kong

A trading is a company involved in the business of buying, distributing and selling goods and services on an international scale. These goods and services are intended to meet several needs, including those of consumers, companies and even governments.


Trading companies play a significant role in Hong Kong's thriving economy, thanks to the city's strategic location and business-friendly environment.


What are the benefits of opening a trading company in Hong Kong?


· Strategic location

Hong Kong is located in the heart of Asia and is close to many of the continent's largest and most solid economies. It also offers convenient access to the rest of the world, being among the top 10 international ports. Therefore, opening a trading company in Hong Kong will provide easy access to China and other countries.


· Favorable tax system for trading companies in Hong Kong

Hong Kong has one of the most favorable tax systems in the world, with three direct taxes applicable to legal entities or companies. These are profit tax, property tax and payroll tax. These taxes are applied at flat rates and with generous subsidies and deductions available to further reduce your tax burden.


· Free trade policy

Hong Kong's economy is regulated by a free trade policy, meaning that there are virtually no restrictions on trade in most goods and services. In addition, Hong Kong is part of a number of multilateral, regional, plurilateral and bilateral free trade agreements that help ensure a safe and favorable trading environment.


Company set up in Hong Kong

Opening a trading company in Hong Kong


In the process of opening a trading company in Hong Kong, it is important to consider not only the initial incorporation, but also its ongoing administration and maintenance. In addition, hiring professional accounting services will help keep your financial records under control and ensure compliance with local laws.


How to set up a trading in Hong Kong?

Incorporation basically involves registering your company with the relevant department in Hong Kong. The main requirements for registering your company are:


· Company name;

· At least 1 director and 1 shareholder (may be represented by the same person if the shareholder is an individual);

· Define the amount of share capital;

· Registration address;

· Corporate secretary;

. The most commonly used type of structure for trading companies is a limited liability company.


Brasia assists with the preparation of all company incorporation documents, name availability consultation, address registration and secretarial services, as well as other corporate services.

What is the Hong Kong-China Free Trade Agreement?


Hong Kong has a special trade agreement with mainland China known as the Hong Kong-China Free Trade Agreement (FTA). This agreement gives Hong Kong-based companies preferential treatment when conducting trade with China. In addition, the agreement eliminates or reduces tariffs, simplifies customs procedures and opens up opportunities for international investment.


If you want to establish your trading company in Hong Kong, our experts at Brasia can help you throughout the process. We will assess your needs to determine the most suitable company and type of license.


In addition, we provide corporate secretarial services and a physical business address in Hong Kong.


Contact us by filling in the form on our contact page or sending us an email at info@brasia.hk. We are also available at Whatsapp.

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