Sole Proprietorship Company
As the name suggests, it is a business structure that is operated by an individual.
As the name suggests, it is a business structure that is operated by an individual. Indeed this business structure doesn’t provide any security level of personal assets and limited liabilities to its owner, unlike the private limited company.
However, sometimes, it becomes even more cumbersome for the sole proprietorships to expand their business, and raise capital, as several investors restrict themselves to have a relationship with non-incorporated entities.
As a result, the sole proprietorship in Hong Kong is not highly recommended by the business people as a form of business entity to conduct their business.
What are the Key Features of Sole proprietorship?
If you are thinking of sole proprietorship hong kong registration, then here are some key features that you need to know.
- In order to incorporate sole proprietorship in Hong Kong, you need to register with the Inland Revenue Department’s Business Registration Office.
- In the sole proprietorships, both the company and the owner are considered as the one unity. Therefore, the owner is legally responsible for all the liabilities and debts. There is no shelter of personal assets in case of any debts incurred.
- The tax rate for this business structure is 15% on the assessable profits, and it must be filed with the Inland Revenue Department on an annual basis.
- If you want to operate more than one business, then you need to apply for a Business Registration Certificate for every business. Each company may have its own business name.
- Before the expiry date of the business on an annual basis or once every three years, the business registration certificate should be renewed, depending on whether your Certificate is valid for one year or three years.
- If somehow you have changed the particulars of your company, then you must apprise the Inland Revenue Department in writing within one month of the change.
What are the documents required for sole proprietorship hong kong registration?
To register the sole proprietorship in Hong Kong, all the entrepreneurs required to submit all the following documents.
- Copy of national identity card or driver’s license
- Copy of international passport
- Copy of proof of address in English issued within the last 3 months
- A photo of holding his/her passport which can clearly see the face and passport
- Proof of address can be one of the following issued within the last three (3) months:
- Credit card statement
- Rates and government rent demand note
- Utility bills (Water bill, Electricity bill, Phone bill)
- Bank statement
What are the Requirements for registration in Hong Kong?
As a matter of fact, the sole proprietorship is inseparable from its owners; thus the most significant particularity of this business structure is that the owner is fully liable for all the losses/ profits, liabilities, and debts. If you want to incorporate this business entity, then you need to follow a registration procedure for that.
Well, the registration procedure involves
The most important part of sole proprietorship Hong Kong registration is to select an appropriate business name. Below are some of the facts that you have to follow while selecting the business name in Hong Kong.
- The name of the sole proprietorship may be registered with an English name, a Chinese name, or an English and a Chinese name.
- If you are electing a Chinese name, you may include English alphabets, but not English words.
- The name should neither infringe on trademarks nor be offensive or otherwise contrary to the public interest.
- Make sure that the company name should not imply that the business is incorporated with limited liability.
- The business name shouldn’t be offensive, nor it should convey a link with the Government or any public body.
Once you are done with the selection of the business name, you must complete the registration of the business with the Inland Revenue Department’s Business Registration Office.
Sole Proprietorship Hong Kong Registration with Startupr
Now that you have all the critical information about setting up the sole proprietorship in Hong Kong. So, whether you are hunting to incorporate or renew your Sole Proprietorship Company, you need to have professionals in your side. Startupr is here for you.
We offer services for forming the sole proprietorship company with its numerous benefits and availability in incorporation for any nationality. In fact, our back office system is what sets us apart from others. Our updated back office system will not only help to register your business but also to manage all the business activities.
So, if you want to set up a new sole proprietorship in Hong Kong, then you also need to pay a total of $1284 USD for registration process done by Startupr.
On the contrary, for Renewal price of Sole proprietorship is just $1010 USD. Therefore make your mind and hire us to make your dream come true!
Note: As a matter of fact, the business registration certificate should be renewed on time. And if you somehow failed to do that, then you are obligatory to suffer from the penalties. Or perhaps the certificate will become invalid, as a result, the company cannot be operated legally. Thus, if you are not renewal your company on time with Startupr, we will reserve the right to remove the registered address and resign as an agent.