Why Set Up a Company in Hong Kong?
Hong Kong is one of the most widely used jurisdictions for international companies establishing operations in Asia. Here are the main reasons our clients from Spain and Latin America choose Hong Kong:
- Low corporate tax rates: Hong Kong applies a tax rate of 8.25% on the first HK$2 million in profits and 16.5% on the remainder. These rates are among the most competitive worldwide.
- Gateway to China: Hong Kong is a leading financial and commercial hub for doing business with mainland China. Having a Hong Kong company makes it easier to build relationships with Chinese suppliers and clients.
- Global recognition: Hong Kong has a well-established international reputation. Its companies are widely recognized by international banks, suppliers, and clients.
- No capital controls: There are no foreign exchange controls, allowing funds to move freely in any currency.
- Fully remote management: You do not need to live in or travel to Hong Kong to manage your company.
Hong Kong, Dubai, or Singapore: A Comparison
Hong Kong
Advantages: Corporate tax rates of 8.25%–16.5% (among the lowest worldwide), direct access to China, international recognition, fully remote management, and low incorporation costs.
Disadvantages: Requires a local representative (included in our service).
Ideal for: Companies doing business in Asia, importers sourcing from China, and international businesses.
Dubai
Advantages: Low taxes and a modern business image.
Disadvantages: International banks may view the jurisdiction with caution, and establishing correspondent banking relationships can be challenging.
Ideal for: Businesses operating locally in the Middle East.
Singapore
Advantages: An excellent international reputation and a strong regulatory framework.
Disadvantages: Costs twice as much as Hong Kong, with more administrative requirements for non-residents.
Ideal for: Technology companies with a presence in Southeast Asia.
For most Spanish and Latin American companies importing from China, selling internationally, or seeking a more competitive business structure, Hong Kong remains the best choice in 2026.
Requirements for Setting Up a Company in Hong Kong
The requirements for foreign nationals are surprisingly straightforward:
- A valid passport for the director/shareholder.
- Proof of address, such as a utility bill or bank statement.
- A company name ending in “Limited”.
- A description of the business activities.
- A local representative in Hong Kong (required by law and provided by us).
- A company secretary in Hong Kong (provided by us).
- A registered office address in Hong Kong (also provided by us).
Costs of Setting Up a Company in Hong Kong
Costs vary depending on the provider. There are three main options:
- Technology platforms: Lower prices, but with automated services, no personalized advice, and support in English.
- International law firms: Comprehensive services at significantly higher prices, often exceeding US$5,000.
- Specialist consultancies such as La Nao: Comprehensive services with personalized advice in Spanish, at a mid-range price.
Our comprehensive package includes incorporation, a registered office address, a local representative, and an international fintech business account, with the entire process managed in Spanish.
How Long Does It Take to Set Up a Company in Hong Kong?
The full process, from receiving your documents to completing your company’s incorporation, takes 3 to 4 weeks.
- Week 1: Document review and company name approval.
- Weeks 2–3: Registration with the Hong Kong Companies Registry.
- Weeks 3–4: Obtaining the Business Registration Certificate and opening the business account.
Business Account Options
Banking is one of the most common questions we receive. Opening an account with traditional Hong Kong banks, such as HSBC and Hang Seng, is becoming increasingly challenging for non-residents. However, there are excellent fintech alternatives that support international business operations:
- Multi-currency accounts with an international IBAN.
- SWIFT and SEPA transfers.
- Business debit cards.
- Integration with international payment platforms.
- Fully mobile account management.
These accounts can be used to receive and send international payments, pay suppliers in China, and manage your day-to-day business operations.
Is It Legal for Residents of Spain, Mexico, and Latin America?
Yes, it is entirely legal. However, you must comply with the tax obligations in your country of residence:
- Spain: Spanish tax residents must report holdings in foreign companies through Modelo 720 and pay Spanish tax on dividends received.
- Mexico: Mexican tax residents must report foreign-source income in accordance with the Mexican Income Tax Law (LISR).
A Hong Kong company does not remove your tax obligations in your country of residence; it helps optimize your business structure within the legal framework. We always recommend consulting a local tax adviser alongside our services.
Frequently Asked Questions
Do I Need to Travel to Hong Kong to Set Up the Company?
No. The entire process can be completed remotely, wherever you are based.
Can I Be the Sole Director and Shareholder?
Yes. In Hong Kong, one person can act as both the sole director and the sole shareholder of a company.
What Is a Local Representative, and Why Is One Required?
Hong Kong law requires every company to have a local Designated Representative who resides in Hong Kong. This person acts as the official point of contact with the authorities. We provide this service as part of our package.
How Long Do I Need to Keep the Company Open?
There is no minimum legal period. You can dissolve the company whenever you choose. However, we recommend keeping it open for at least one year to benefit from its tax and operational advantages.
What Taxes Does a Hong Kong Company Pay?
Hong Kong’s corporate tax rate is 8.25% on the first HK$2 million in profits and 16.5% on the remainder, making it one of the lowest and most competitive worldwide. There is no tax on dividends, capital gains, or international transactions.
Can I Use the Company to Import from China?
Absolutely. This is one of the most common reasons our clients set up a company in Hong Kong. A Hong Kong entity makes it easier to work with Chinese suppliers and operate as an international trading company.
How Is La Nao Different from Technology Platforms?
Technology platforms provide automated services, mainly in English, with little or no personalized advice. At La Nao, we deliver our services entirely in Spanish, with personalized guidance from a team with 16 years of experience in Hong Kong. We are consultants who understand your business and the environment in which you operate.
Who Is This Service For?
Our typical clients include:
- Entrepreneurs from Spain, Mexico, Argentina, Colombia, and other Latin American countries who import products from China or elsewhere in Asia.
- Companies selling internationally that want a more competitive business structure.
- Entrepreneurs seeking a company with international credibility.
- Business executives looking for a holding structure for their Asian operations.
- Agencies and consultancies serving international clients.
Conclusion
Setting up a Hong Kong company from Spain or Mexico in 2026 is easier than you might think. The process is fully remote, takes 3–4 weeks, and can offer significant tax, operational, and international credibility benefits for your business.
The key is getting it right from the start: choosing the right structure, securing a suitable business account, and working with advisers who understand both the Asian market and the business environment in Spain and Latin America.
We have been doing exactly that, in Spanish, for more than 15 years, supporting over 600 companies.
Ready to Set Up Your Company in Hong Kong?
Discuss your requirements with our Hong Kong team, with no obligation. We will reply in Spanish the same day.
