InvestHK Support for Foreign Founders: Setting Up a Business in Hong Kong

InvestHK Support for Foreign Founders

InvestHK is the government department responsible for attracting and supporting foreign direct investment into Hong Kong. Its services are free, confidential and tailored to each company. The founder can be an individual entrepreneur or a multinational corporation. The department acts as the primary point of contact for any foreign entrepreneur considering Hong Kong as a base.

InvestHK support for foreign founders spans the full range of establishment requirements. It begins at the initial enquiry stage and continues through business registration, company incorporation, licensing, tax advisory, talent recruitment and office setup.

InvestHK Advisory Services

InvestHK advisory services cover every stage of the business establishment process. The department assigns a dedicated client adviser to each company. That adviser acts as the single point of contact throughout the setup period, coordinating with the Companies Registry, the Inland Revenue Department and the Immigration Department to ensure all statutory requirements are met.

The advisory services include:

• Business registration and company incorporation - guidance on the appropriate legal structure, the required forms (NNC1 for a private company limited by shares, NAR1 for annual returns) and the registration process with the Companies Registry.
• Tax advisory - explanation of Hong Kong's territorial tax system, the two-tiered profits tax rates and the requirements for filing tax returns (BIR51 for corporations).
• Licensing support - identification of any licences or permits required for the specific business activity, and assistance with the application process.
• Talent recruitment - advice on hiring local staff, work visa applications and the requirements of the Employment Ordinance.
• Office setup - information on commercial property, serviced offices and co-working spaces in Hong Kong.

All advisory services are provided free of charge. InvestHK does not charge fees for its services. It takes no commission from any third-party provider it recommends.

Hong Kong Foreign Direct Investment Support

Hong Kong foreign direct investment support is coordinated through InvestHK's network of overseas offices. The department maintains offices in major markets across Asia, Europe, the Middle East and North America. These offices promote Hong Kong as an investment destination and assist companies with their initial enquiries before they arrive in the territory.

The support covers both greenfield investments and expansions of existing operations. For a company that already has a presence in Hong Kong, InvestHK can advise on scaling up, relocating or adding new business lines. The department also works with the Trade and Industry Department on matters related to the BUD Fund and other government funding schemes. It does not administer those schemes directly.

InvestHK Setting up Business Hong Kong

InvestHK setting up business Hong Kong involves a structured process that the department guides the founder through. The steps are:

1. Initial consultation - the founder meets with an InvestHK client adviser to discuss the business plan, the target market and the legal structure.
2. Company incorporation - the adviser explains the requirements under the Companies Ordinance (Cap. 622), including the need for a registered office address, a company secretary and at least one director who is a natural person.
3. Business registration - the founder registers with the Business Registration Office of the Inland Revenue Department and obtains a Business Registration Certificate.
4. Bank account opening - the adviser can introduce the founder to banks that accept foreign companies and provide guidance on the documentation required.
5. Licensing and permits - if the business activity requires a specific licence, the adviser helps identify the relevant authority and the application procedure.
6. Talent and visas - the adviser explains the immigration routes, including the General Employment Policy, the Admission Scheme for Mainland Talents and Professionals, and the New Capital Investment Entrant Scheme.

A straightforward company incorporation takes between one and four weeks. The range depends on the complexity of the business and the speed of the founder's responses.

Hong Kong Investment Promotion

Hong Kong investment promotion is a core function of InvestHK. The department actively markets Hong Kong's advantages as a business location: its common law legal system, low and simple tax regime, free flow of capital, strategic location in Asia and world-class infrastructure.

InvestHK organises and participates in investment promotion events, trade missions and business matching activities. It publishes sector-specific guides and market intelligence reports. The department also operates the StartmeupHK initiative, which focuses on attracting innovative startups and technology companies to Hong Kong.

For founders considering the New Capital Investment Entrant Scheme as a residence route, InvestHK can provide an overview of the qualifying investment requirements. It then directs the applicant to the relevant government department for the detailed application process. The scheme was relaunched on 1 March 2024 and provides a residence route for individuals making qualifying investments.

How to Engage InvestHK

Founders can contact InvestHK through its website, by telephone or by visiting one of its overseas offices. Prepare a brief business plan and a list of questions before the initial consultation. The client adviser will then prepare a customised action plan and timeline.

InvestHK's services are available to any overseas company or mainland company that is genuinely considering setting up a business in Hong Kong. The department does not require the founder to have a Hong Kong address or a local representative before the first meeting.

For current details on InvestHK's services, contact information and the latest investment promotion initiatives, visit the InvestHK website directly. The department updates its information regularly and can provide the most accurate guidance for the founder's specific circumstances.