Hong Kong has recently concluded an economic agreement with Mainland China. The agreement is called Closer Economic Partnership Arrangement or CEPA. This agreement facilitates access of Hong Kong’s manufacturers and suppliers of products and services to the huge Chinese market.
Good Economic Times Ahead Between Hong Kong and China
Under the CEPA, the Chinese government is committed to simplifying procedures and strengthening cooperation with Hong Kong on customs clearances, quarantine and inspection, quality assurance and food safety and to facilitate investment.
Opportune Time for Offshore Companies
Seeing the very bright light ahead, many companies abroad are eyeing greater income and profit by locating their offices in Hong Kong. As of late, hundreds and thousands of international companies are vying up for a slot in the offshore industry in this city state.
Investing in Hong Kong
This is not the time for dilly dallying. If you want to make big profits, without paying enormous taxes, you have to take advantage of the attractive economic policies of Hong Kong vis-a-vis offshore companies.
This country does not impose too much restriction on foreign investments. You can invest in any business and own 100% of the equity. Only in state-owned activities and broadcasting business are you limited to just 49% of the company’s equity.
The fact that Hong Kong is the gateway to the vast consumer market of Mainland China, its open investment climate should spur you to set up your offshore company, now.
An Offshore Company in Hong Kong is the Best
Establishing an offshore company in Hong Kong is practically the best way you can earn big money without paying too many taxes.
Hong Kong does not have stringent rules and procedures in establishing an offshore company. You can even have just one person acting as the sole shareholder and director of the company.
There is no huge start up investment that you are required to pump in. In fact, you can just start with one Hong Kong dollar as your minimum subscribed capital. Of course, no one in his right mind can do business with that kind of money. But it will interest you to know that the typical amount in this regard is just about HKD10,000.
You need not worry about Hong Kong taxes. They are extremely low compared to the United Kingdom or even the United States. The Hong Kong government will only charge you 16.5% on your net profit.
If your offshore company earns additional income, from another jurisdiction, your earnings will not be taxed by the HK government. In addition, Hong Kong does not put any restriction in fund transfers from most countries in the world.
The country’s fully functioning and very stable international banking system ensures the liquidity and security of your profits.
If you would like to learn more about Hong Kong offshore company formation or other offshore company registration, please visit our website.