Many investors coming to Hong Kong indicate the difficulty and high cost of picking a company secretary. However, it is the law, and any investor has to follow it. According to the Companies Ordinance, your new company will not be registered unless a resident company secretary has been selected. In this post, we provide answers to the common questions on Hong Kong company secretary.
At what point should an offshore company pick a company secretary?
The Companies Ordinances requires companies to pick their company secretaries before making applications for incorporation. Your company will not be registered without a company secretary.
Can a company with a single shareholder act as the company secretary?
If the company has a single shareholder, he cannot serve as the Hong Kong company secretary. The shareholder is considered to be very busy and, therefore, not able to carry the legal compliance duties appropriately. However, if the company has more than one shareholder, one of them can serve as the company secretary. Note that he has to be a Hong Kong resident.
How can a new company lower the cost and complexity of getting a company secretary?
While it is true that advertising and selecting a good company secretary can be an expensive affair, there is an alternative that a company can use; an agency.
Company registration agencies in Hong Kong are also allowed to serve as company secretaries. Such companies are convenient because they have vast experience and will assist the company during infancy in Hong Kong.
What are the main roles that a company secretary is involved in?
The roles of the company secretary are clearly outlined in the company’s ordinances and include the following;
- Registering the company with IRD once the Certificate of incorporation has been issued
- Prepare and store all the statutory records of the company
- Serve as the link between the company and the government
- Attending all the company’s board meetings
- Implementing resolutions that touch on legal issues about the company
- Deregistering the company