Cost of Incorporating a Company in Hong Kong: A Complete Guide
- Published: 28 April 2025
- 12 min read
- Starting a Company
Rodney Wong
Author
Rodney helps customers in Hong Kong navigate the details and benefits of our products and services, showing how technology can be a game changer for their business. A strong advocate for the power of the written word, he makes tech topics accessible, relevant, and, above all, practical—empowering entrepreneurs to pursue their big ideas.
Iris Kwong
Reviewer
Iris Kwong is our Corporate Secretary Manager based in the Hong Kong office. With more than 10 years of experience navigating Hong Kong's Companies Ordinance and regulatory requirements, she is our go-to expert on everything from company formation and annual returns to board meetings and shareholder resolutions. She knows the secrets to ensuring smooth business operations and carefully reviews our Hong Kong-focused content, ensuring it's accurate, up-to-date, and packed with useful tips.
Wondering about how much it would cost to incorporate a company in Hong Kong? On average, it costs Hong Kong residents around HK$5,800 to HK$7,800. In this guide, we’ll break down the key factors.
Key Takeaways
- The average cost to incorporate a Hong Kong company is approximately HK$5,800 to HK$7,800, including mandatory service fees, which must be carefully budgeted to avoid unexpected expenses.
- Utilising digital solutions, such as Osome, for company incorporation is more efficient and cost-effective for Hong Kong residents and foreign entrepreneurs compared to traditional methods, streamlining processes and offering ongoing compliance support.
- Additional costs related to compliance, such as return charges and accounting services, are essential for maintaining legal standing in Hong Kong and should be factored into the overall incorporation budget.
Breakdown of the Cost to Incorporate a Hong Kong Company
The total cost to incorporate a Hong Kong company averages around <var class="inline-price"><b>35: hk-incorporation-essential</var> to 44: hk-incorporation-comprehensive, but this figure can vary significantly based on specific requirements and the services chosen. Understanding the breakdown of these costs helps in effective budget planning for Hong Kong companies.
Several factors influence the overall cost, including fees by the government, business registration fees, and service fees charged separately for company secretaries. Understanding these components helps entrepreneurs avoid unexpected expenses and ensures the smooth incorporation of their small businesses.
Osome offers all-in-one company registration services in Hong Kong, covering everything from business registration to company secretary setup. We handle the entire process online, making it fast, simple, and fully compliant.
Government fees and filing fees
Incorporating a company involves mandatory payments set by the Inland Revenue Department and the Hong Kong Companies Registry. The application fee for private company incorporation is HK$1,545 if submitted electronically. This includes the Certificate of Incorporation, which is a crucial document for any new business.
In addition to the incorporation fee, businesses must also pay HK$2,200 for the Business Registration Certificate at the Companies Registry. These costs are non-negotiable and must be paid to operate a limited company in Hong Kong legally. Under Hong Kong's Companies Ordinance, the Business Registration Certificate is essential for legal compliance and must be renewed annually.
Some incorporation agents may exclude mandatory fees charged by the government from their advertised prices, giving the illusion of a lower total cost. Always confirm whether prices are inclusive of all statutory charges to avoid budget surprises.
Apart from these primary charges, there are other potential costs, such as an additional fee for a change of company name and for filing the Annual Return. These actual costs can sometimes come with hidden fees depending on company type, so it’s crucial to account for all different fees to avoid unexpected expenses.
Business registration fee
The business registration fee is another necessary expense incurred when starting a limited company in Hong Kong. Payable to the Business Registration Office upon the registration of the business, this fee is an integral part of the total incorporation cost. Entrepreneurs should understand this fee and incorporate it into their overall budget.
Having the correct payments accounted for avoids legal complications or delays in company formation. This fee covers the issuance of the Business Registration Certificate, which is mandatory for all businesses and must be renewed regularly, including continuing registration.
Some business types may require additional licenses and permits. For instance, the retail sector may require a license from the Trade and Industry Department.
Service fees for company secretaries
A company secretary is necessary to ensure compliance with Hong Kong’s legal regulations. The average cost for traditional company secretary services is HK$2,100/y to HK$7,800/y, while digital services are more cost-effective, averaging HK$2,100/y.
Digital company secretary services reduce costs and offer greater flexibility and convenience. Prices for these services may vary depending on the provider, but digital solutions generally provide significant savings over traditional methods.
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Essential Requirements and Their Costs
Incorporating a Hong Kong company requires meeting several essential minimal requirements. These include having at least one shareholder and at least one director, both over the age of 18, a registered address in Hong Kong, and a local company secretary. Every business owner must adhere to these minimum statutory requirements for company registration.
Statutory documents such as the Articles of Association and the Register of Members are typically prepared by the service provider and are included in the incorporation package, so no additional cost is usually required.
Each of these requirements comes with its own set of costs. For instance, maintaining a registered address and hiring a local company secretary are mandatory expenses.
Registered office address
Having a registered office address in Hong Kong is a legal requirement for all companies. This business address serves as the official location for all correspondence and must be a physical address in Hong Kong. The cost for a registered business address service can vary significantly based on the location and services provided. If your business address changes, you should notify the Business Registration Office.
Typically, the cost for a registered office address service in Hong Kong starts at around HK$900 for a one-year term. This cost is a necessary part of the overall incorporation budget and ensures that your company meets all legal requirements for operating in Hong Kong.
Local company secretary
A local company secretary is crucial for ensuring that your Hong Kong company complies with all regulatory requirements and maintains proper administrative records. The company secretary acts as a natural person and designated representative for all business needs.
The cost of hiring a traditional company secretary service is around HK$3,300/y, while digital alternatives are more affordable, averaging HK$2,100/y. According to the Companies Ordinance, the company secretary can be a natural person or a legal person (such as a company).
Osome provides reliable digital company secretary services in Hong Kong, ensuring full compliance with local regulations at a transparent, affordable rate. Our expert team handles filings, returns, and statutory records—so you don’t have to.
Share capital and initial setup costs
The minimum share capital required to incorporate a private Hong Kong company is usually HK$1. However, many companies opt for a higher initial capital to ensure sufficient funding for initial operations. Share capital is a mandatory requirement and a critical part of the incorporation.
Initial setup costs also include fees charged separately for incorporation documents, which are essential for legal compliance.
Digital Solutions vs. Traditional Methods
Incorporating a brand new company in Hong Kong using digital solutions offers significant advantages over traditional methods. Digital platforms enhance the incorporation process by making it faster, more affordable, and hassle-free.
Aspect 📌 | Digital Solutions 💻 | Traditional Methods 📝 |
|---|---|---|
| ⏱Speed & Efficiency | Fast processing; minimal delays. | Slower due to manual paperwork and processing. |
| 💰 Cost | Generally, more affordable due to automation. | Higher costs due to paperwork and administrative overhead. |
| 🧾 Paperwork | No physical documents, such as identity card or residential address required; everything is online. | Requires extensive paperwork and manual handling. |
| 🧍♂️Physical Presence | Not required; can be done remotely. | Often needs in-person submission or physical signatures. |
| 🧑💼 Support & Guidance | Online support and digital company secretary services available. | Relies on face-to-face consultations; limited online support. |
| ⚙️ Convenience & Accessibility | Highly convenient; accessible from anywhere. | Less convenient; restricted by location and working hours. |
| ✔️ Compliance & Monitoring | Continuous digital monitoring ensures compliance. | Manual monitoring: higher risk of missing deadlines. |
| 🔄 Modern Business Fit | Ideal for modern, tech-savvy entrepreneurs and startups. | Preferred by those valuing traditional, personal approaches. |
Traditional methods, on the other hand, often involve extensive paperwork and manual labour, which can lead to potential delays and higher costs. While traditional methods have their merits, the efficiency and cost-effectiveness of digital solutions make them a more attractive option for modern businesses.
Advantages of digital solutions
Digital solutions offer numerous benefits, including lower costs and faster processing times. Using digital services can lead to substantial cost savings, making them a more economical choice for company management.
Clients increasingly prefer digital company secretary services, highlighting a shift towards modern business practices for each corporate entity.
Traditional methods: pros and cons
Traditional methods of company formation have their own set of advantages and disadvantages. One of the primary benefits is the personal touch and familiarity with the process that some entrepreneurs may prefer. However, the cons often outweigh the pros, particularly in terms of processing times and costs.
The traditional process involves extensive paperwork and manual labour, which can lead to delays and higher expenses. These methods are less efficient compared to digital solutions and can be cumbersome for entrepreneurs who prefer a more streamlined approach.
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Additional Costs to Consider
In addition to the primary costs of company formation, there are several other expenses to consider. Hidden charges are common in traditional methods, which can significantly increase the overall cost of incorporation. Being aware of these potential hidden fees is crucial for effective budgeting. In addition, compliance costs, such as maintaining necessary records and submitting returns, are also crucial for meeting compliance requirements.
When comparing service providers, ask for an itemised breakdown of all costs—including government fees, compliance services, and any recurring charges. Opting for an all-inclusive package with transparent pricing can help you avoid nasty surprises later and simplify your budgeting process.
Bank account opening
Opening a business bank account is essential for managing company funds and ensuring professional transactions. Getting a multi-currency business account is important when you register a business. This account includes a VISA corporate card provided by Airwallex. This service simplifies the process of separating personal and business finances.
A business bank account is vital for your company’s financial management and business activities, as it ensures that all business needs are met and that all business transactions are conducted professionally and transparently, which is vital for maintaining financial integrity for the business owner.
Compliance and annual return fees
Compliance and annual return fees are necessary to maintain your limited company’s legal standing in Hong Kong. The charges for filing these returns are HK$105 if submitted on time, but it can increase to HK$3,480 depending on the delays. The timely filing of returns is mandatory for ensuring compliance with the Inland Revenue Department regulations.
To avoid Companies Registry penalties, companies must file their returns within 42 days of the incorporation anniversary, including filing articles. These charges are a necessary part of the overall incorporation cost for a company in Hong Kong and must be accounted for in your budget.
Accounting and bookkeeping services
Accounting services are necessary to meet statutory requirements in Hong Kong. The costs for these services can vary based on the complexity of the business, with monthly retainer charges ranging from HK$1,200 to HK$7,800.
An accountant ensures your company maintains accurate financial statements and complies with local regulations. Digital platforms provide automated compliance checks, enhancing accuracy and reducing human errors during company formation. Also, each company in Hong Kong should maintain a Significant Controllers Register. The Significant Controllers Register helps uphold the transparency of company ownership and can be inspected by a law enforcement officer.
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How Osome Simplifies the Incorporation Process
Osome revolutionises company formation by offering a completely online registration service. This eliminates the need for physical paperwork and significantly reduces the time required for company formation, typically taking about 3-4 business days.
Osome streamlines the process by handling all administrative tasks online, including company name search, bank account opening and compliance, ensuring a smooth and efficient experience for entrepreneurs.
Online registration administration
Osome offers transparent, affordable, all-inclusive pricing for their company formation services. Our Hong Kong company incorporation package starts at HK$5,800, which includes company registration, Business Registration Certificate, and preparation of all required documents — significantly lower than the average using traditional services.
The flexibility of managing online incorporation allows entrepreneurs to operate from anywhere with internet access. This convenience is unmatched by traditional methods, making Osome a preferred choice for modern businesses.
Post-incorporation support
Osome provides ongoing support after company registration to ensure businesses remain compliant and efficient. This includes accounting, including audit services, tailored to your specific needs. By handling these tasks, Osome helps maintain your company’s compliance with local regulations, which is crucial for smooth operations.
Additionally, these services simplify tax obligations, allowing you to focus on growing your business. Osome’s comprehensive support ensures that all aspects of your company’s financial and legal responsibilities are managed effectively.
Customer testimonials
Clients consistently praise Osome for their quick responses and the ease of the registration process. The knowledgeable and supportive staff at Osome provide assistance relating to company setup.
Customers also appreciate Osome’s user-friendly online platform, which makes the entire process straightforward and efficient.
Summary
Incorporating a company in Hong Kong involves various costs, including business registration fees and fees for company secretaries. Digital solutions like those offered by Osome provide significant advantages over traditional methods, including lower costs, faster processing times, and enhanced support.
Choosing the right incorporation method and understanding the associated costs are crucial for a successful business setup. Osome simplifies the process, offering a seamless, efficient, and cost-effective solution for entrepreneurs. By leveraging digital platforms, you can focus on growing your business while ensuring compliance and financial stability.
FAQ
What service does Osome provide for company registration in Hong Kong?
Osome provides an online service for company registration in Hong Kong, managing all administrative tasks such as company name search, bank account setup and compliance without the need for paperwork while offering expert guidance throughout the process.
How long does it typically take to register a company in Hong Kong through Osome?
It typically takes about 3-4 business days to register a Hong Kong company through Osome. This efficient timeline allows for a swift start to your business endeavours.
What are the minimum statutory requirements for registering a company in Hong Kong?
To register a company in Hong Kong with the Companies Registry, you must have a business name, at least one shareholder and one director, both of whom must be over 18 with identity card and residential address in Hong Kong, and a local company secretary. These are the minimum requirements for establishing a company in the region. After a company is officially registered in Hong Kong, it is required to comply with the maintenance requirements. It should hold annual general meetings, maintain a Significant Controllers Register, pay taxes, update books of accounts, audit financial statements and file returns.
Can a company be registered in Hong Kong if the owner is not physically present?
Yes, a company can be registered in Hong Kong without the owner's physical presence in the city or having a residential address. This is a common practice that allows entrepreneurs to establish a business remotely, even without being Hong Kong residents.
What documents do you receive after registering a company in Hong Kong?
Upon registering a company in Hong Kong, you will receive the share certificate, Articles of Association, a Business Registration Certificate, a Certificate of Incorporation, along with bank account opening assistance.
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