Hong Kong International
Posted: May 5th, 2010 | Author: admin | Filed under: Uncategorized | No Comments »This added predictability to the Hong Kong international tax regime. Finance Company Taking the advantage of the first class banking industry and infra-structure of Hong Kong international, Hong Kong limitied Company is frequently used as regional financial company facilitating transactions in trade financing, fund raising, leasing and intra-group loans. Enhancement of Corporate Image Hong Kong limited international is a well-developed commercial and financial centre. Using Hong Kong Company as regional holding company can create a better corporate image, improving the confidence of your customers and investors towards your group. Modern Companies Law Regime Companies laws in Hong Kong has adopted the most advance features, follow closely the development in United Kingdom and international. Pending legislation regarding minority shareholders protection and class action will become effective in 2005.
The Advantages of Using Hong Kong international Holding Company in Capital Raising From the viewpoint of investors, the risk in investing in a Hong Kong Company is relatively low. This is because The political risk factor of Hong Kong is low Hong Kong international has a high market transparency. The structuring of shares and investors relationship in a Hong Kong is highly flexible. The liquidity of shares of listed company is high. Traditional and strategic investors can acquire, dispose and adjust their portfolio in a swift way. Therefore, they are prepared to accept a lower rate of return, thus reducing the cost of capital for the company.
Typical of the tight control of the owner groups over the listed companies is the majority shareholder also serving as the chief executive officer (CEO) of the company. The board of directors is also dominated by family members. The HKSA report shows that in 9 percent of the companies, at least half of the directors are family members. Among the companies in which more than 50 percent of issued capital is controlled by a single shareholder or family group, 73 percent have boards where 50 percent or more of the directors are family members.
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