HK Company for International Trade and China Gateway

[privacymatter]

Greetings to all.

I read this forum since 1.0 but stopped when CRS stuff spread the world
Great content here by the way!!

Now I am launching innovative products to the retail, and sometimes using crowdfunding platforms (kickstarter or indiegogo)
They are based in US, so I decided to do not open in US LLC, because the money will come from US. Problem right?

Neither UK because the corporation taxes are too high 19% (if I remember well)

I decided to open in HK then, another benefit that I am looking for is use HK as gateway for Asian Markets, IDK if it really works or is just propaganda, but I wish to have a Warehouse in HK where I can receive the cargo, and send to the customers directly. Saving time and money, but I actually dont know if it works like this.

The information that I find at websites doesnt look good, too much promises and blablabla. Also very expensive to open like 1500 euros starter pack.
Also in the forum seems that is impossible to use search engine for small words as "HK" COMPANY; So it search all "comapany" words. @Admin

Someone has experience or informations about HK company? Would be very interesting conversation

 

[privacymatter]

*A reminder is that I am not searching for tax evasion, my business are totally legit, public privacy is very nice but not requisite. I only need a "cheap" way to make the business in HK or other similar offshore, and real informations, maybe I have to consult a professional, if someone has recomendation, I promise that I come here and send the informations to all

 

[MiddleEuroAsia]

*A reminder is that I am not searching for tax evasion, my business are totally legit, public privacy is very nice but not requisite. I only need a "cheap" way to make the business in HK or other similar offshore, and real informations, maybe I have to consult a professional, if someone has recomendation, I promise that I come here and send the informations to all

If 1500 is expensive for you, then don't look offshore.

Offshore and cheap don't go hand in hand.

 

[privacymatter]

Well, if you compare with other places it is.
I am not saying I dont have that money, but I want to be sure it fit my needs.

The purpose of the topic is not about the price, if you read it well

 

[dragodrago]

I wish to have a Warehouse in HK where I can receive the cargo, and send to the customers directly

Warehouse rent and business costs in HK are sky high which may far outweigh any benefits you get in terms of tax and shipping cost.

I only need a "cheap" way to make the business in HK or other similar offshore

HK is not cheap, mandatory audits and agents, difficult banking, etc. It will also not be “offshore” if you have a warehouse or office in HK.

 

[privacymatter]

Warehouse rent and business costs in HK are sky high which may far outweigh any benefits you get in terms of tax and shipping cost.


HK is not cheap, mandatory audits and agents, difficult banking, etc. It will also not be “offshore” if you have a warehouse or office in HK.

I got it. With company in HK is it possible to own warehouse in China then?

 

[dragodrago]

I got it. With company in HK is it possible to own warehouse in China then?

No, this is not possible as HK and China are two separate jurisdictions. In fact HK companies doing business in China are considered foreign investments and is subject to capital control.

To have any operations in China, the HK entity will need to setup a “Wholly Foreign-Owned Enterprise” in the mainland. It has paid up capital requirement in the millions and have strict business sector restrictions. Not recommended.

 

[freeequity]

Setting up a business in China Mainland is not as hard as you say it is. It is quick, it is cheap, and it is absolutely necessary if you plan on doing business here.

Overall, Business, Ownership and Capital Restrictions are much lower, year on year. And partially set up is quite state incentivised, it is almost ridiculous. They might even pay you for setting up a company, taking no equity share, just to hit their KPI targets.

Business happens freely, don't worry. Ownership via Hong Kong for Asset protection however is still recommended of course.

 

[Lau84]

Hi, can someone explain this in plain English please? I am a HK resident (who has just moved to the city recently), and I would like to set up a company in HK to export furniture and other items from China to Australia. I have a partner in Australia that will do the warehousing.

Reading this thread it all seems very complex, and I honestly don't understand half of what you are explaining here. Can someone please tell me... is it possible for me to open a company in HK as a resident?? The way I understand it is that if I carry out my business outside of HK (which will be the case), I am not liable to pay any tax in HK? How about my Australian partners?

Can anyone recommend a good advisor I can visit in HK? I understand that I need and expert/consultant as not all the answers can be found on an internet forum. However there are so many scam companies in the internet surrounding the opening of HK companies and bank accounts it's just unbelievable. Can anyone shed some light please?

Cheers!

 

[Lau84]

To the OP: If you have a warehouse in HK you are liable for paying taxes here. Also, as others have said, warehousing is extremely expensive in HK

 

[jafo]

Hi, can someone explain this in plain English please? I am a HK resident (who has just moved to the city recently), and I would like to set up a company in HK to export furniture and other items from China to Australia. I have a partner in Australia that will do the warehousing.

Reading this thread it all seems very complex, and I honestly don't understand half of what you are explaining here. Can someone please tell me... is it possible for me to open a company in HK as a resident?? The way I understand it is that if I carry out my business outside of HK (which will be the case), I am not liable to pay any tax in HK? How about my Australian partners?

Can anyone recommend a good advisor I can visit in HK? I understand that I need and expert/consultant as not all the answers can be found on an internet forum. However there are so many scam companies in the internet surrounding the opening of HK companies and bank accounts it's just unbelievable. Can anyone shed some light please?

Cheers!

Did you ever get an answer to this or were you able to solve it?