Hong Kong · Guide
Most "Hong Kong company from HK$3,895" headlines are technically true and practically misleading. That figure is the government's mandatory filing cost. It leaves out the company secretary, the registered office, and the annual audit, all of which are legally required and all of which recur every single year.
So the honest question is not "what does it cost to register," it is "what does it cost to register and stay compliant, in year one and every year after." This guide gives you that number, then shows how it shifts by company type, so you can spot a cheap headline that will cost you more than a higher all-in price.
Hong Kong Company Formation Cost: the Short Answer
- Government baseline to incorporate (2026): about HK$3,895 (roughly US$500).
- Realistic all-in first year (with the mandatory secretary, registered office, and a basic audit): about US$2,000 to US$4,000.
- Ongoing annual cost for a compliant company: commonly US$1,500 to US$3,000.
- The most under-budgeted item: the mandatory annual audit. Every company needs one, even a near-dormant one.
The one thing to remember: incorporation is cheap, staying compliant is the real cost, and it repeats.
Advertised vs real. The "from HK$3,895" you see everywhere is the government filing only. A non-resident's true first-year outlay, once the mandatory secretary, office, audit, certified documents, and banking are added, is commonly HK$15,000 to HK$27,000. This guide builds up to that number line by line, so nothing surprises you.
Mandatory government fees
Two fees are fixed by the government and unavoidable. Everything else on this page is a service fee you can shop around for.
| Item | Fee (2026) | Paid to |
|---|---|---|
| Incorporation (electronic filing) | HK$1,545 | Companies Registry |
| Business Registration Certificate (1-year) | HK$2,350 | Inland Revenue Dept |
| Baseline to incorporate | about HK$3,895 | |
| Business Registration (3-year option) | HK$6,170 | Inland Revenue Dept |
| Annual Return (NAR1), on time | HK$105 | Companies Registry |
Notes: the 1-year BR fee rose to HK$2,350 from 1 April 2026 (includes a HK$150 insolvency-fund levy). Paper filing costs more (HK$1,720) and is slower. The 3-year BR option saves against paying annually if you are committed to keeping the company.
The costs the headline hides
Here is where real budgets are set. None of these are optional, and all of them recur:
- Company secretary (mandatory, annual). A Hong Kong company must appoint a local company secretary, and a sole director cannot fill the role. It is usually bundled with the registered office.
- Registered office (mandatory, annual). A physical Hong Kong address, not a PO box, to receive official mail.
- Annual statutory audit (mandatory, no exemption). The one founders forget, and the biggest recurring cost. Every company's accounts must be audited by a local CPA every year. Unlike the UK or Singapore, Hong Kong has no small-company audit exemption, so even a near-dormant company must file audited accounts. The fee is effectively floored around HK$8,000 and scales with your transaction volume:
| Company activity | Typical annual audit fee |
|---|---|
| Dormant / holding | HK$8,000 to HK$12,000 |
| Small service / consulting | HK$12,000 to HK$18,000 |
| Complex / high-volume trading | HK$20,000 to HK$30,000+ |
- Profits Tax Return preparation. Filing the return with the IRD, with the tax computation, separate from the audit though usually done together.
- Bookkeeping. Priced by transaction volume. Tidy records mean a cheaper audit.
Typical 2026 market ranges for the recurring services (audit is in the table above):
| Service | Typical annual cost |
|---|---|
| Company secretary + registered office | HK$2,800 to HK$5,000 (range HK$1,300 to HK$8,000+) |
| Profits Tax Return preparation | HK$3,000 to HK$8,000 |
| Bookkeeping | HK$1,500 to HK$8,000/month, by volume |
- Audit + Profits Tax Return~55%
- Government fees (incorporation, BR, NAR1)~24%
- Company secretary + registered office~21%
One-off costs unique to non-residents
If you live abroad, a few extra one-off costs appear in year one that a local founder never sees. They are easy to miss and can add several thousand dollars:
| One-off item | When you need it | Typical cost |
|---|---|---|
| Certified / notarised documents | Always, for KYC (passport + address) | HK$2,000 to HK$4,000 |
| Apostille or legalisation | If a bank or authority requires it | HK$1,000 to HK$2,000 |
| Certificate of Incumbency | Often requested by banks | HK$1,500 to HK$3,000 |
| Bank / EMI account opening | To get operational | HK$0 (most EMIs) to HK$8,000 (assisted traditional bank) |
None of these are strictly recurring, but they land in your first year and rarely appear in a "from HK$3,895" quote. A clean EMI-first approach keeps this layer to the bare minimum.
Year one, two and three: a worked example
Numbers matter more than adjectives, so here is a simple, low-volume non-resident company using digital-first providers (approximate, in HK$ unless noted).
| Cost | Year 1 | Year 2 | Year 3 |
|---|---|---|---|
| Government: incorporation | 1,545 | 0 | 0 |
| Government: Business Registration | 2,350 | 2,350 | 2,350 |
| Company secretary + registered office | 3,500 | 3,500 | 3,500 |
| Annual Return (NAR1) | 105 | 105 | 105 |
| Audit + Profits Tax Return | 9,000 | 9,000 | 9,000 |
| Approx. total | ~16,500 (US$2,100) | ~15,000 (US$1,900) | ~15,000 (US$1,900) |
Two things stand out, and both matter for your budget:
- Year two is not much cheaper. Only the one-off incorporation fee drops away; the audit and secretary recur.
- The numbers scale with activity. A busy trading company pays noticeably more in audit and bookkeeping than shown here.
Cost by company profile
The "average" company is a myth, so match the figure to your case:
- Dormant or holding company: lowest cost. You still owe secretary, office, BR renewal, Annual Return, and usually an audit, but the audit is cheap. Around US$1,500/year at the low end.
- Small service or consulting company: moderate. Light bookkeeping, simple audit. Usually US$1,800 to US$2,500/year.
- E-commerce or trading company: highest. High transaction volumes push bookkeeping and audit up. US$3,000/year and up is realistic.
DIY versus done-for-you
You can file the incorporation yourself and pay only the government fees. But you still legally need a Hong Kong resident company secretary and a local registered office, and you still need a CPA for the audit. So "DIY" rarely means cheap. It means sourcing three services separately, coordinating three deadlines, and carrying the compliance risk yourself.
An all-in provider bundles the pieces and manages the calendar. For reference:
- CorpSec Hong Kong starts at US$1,950 all-in for year one (incorporation, company secretary and registered office for year one, Business Registration Certificate, and bank/EMI introductions).
- It renews from US$1,650/year, with audit, tax return, and banking priced as clear add-ons rather than surprises.
See the current breakdown on the Hong Kong formation page.
How to avoid overpaying
- Compare like for like. A HK$3,000 "formation" that excludes the secretary, office, and audit costs more than a higher bundle that includes them. Always ask what year two costs.
- Match the audit to your activity. A dormant company should not pay trading-company audit fees.
- Keep clean books from day one. Messy records inflate audit fees more than any single line item.
- Only take the 3-year BR if committed. It saves versus annual renewal but ties up cash.
- Watch for renewal creep. Some cheap first-year offers renew much higher. Read the year-two number before you sign.
The bottom line
The honest number for a Hong Kong company is not the HK$3,895 headline, it is the all-in first year and every year after, with the mandatory audit and secretary included. Compare providers on that, not on the advertised figure.
CorpSec prices Hong Kong all-in, with the mandatory pieces included and add-ons stated up front, so there is no headline that balloons once you add back what the law requires.
Frequently asked questions
How much does it cost to register a company in Hong Kong?
The mandatory government fees are about HK$3,895 in 2026. Including the required company secretary, registered office, and first audit, a realistic all-in first year is roughly US$2,000 to US$4,000, depending on provider and trading volume.
Is the company secretary really mandatory?
Yes. Every Hong Kong company must appoint a local company secretary, and a sole director cannot also act as secretary. Budget about HK$2,800 to HK$5,000 per year, usually bundled with the registered office.
How much is a Hong Kong audit?
Around HK$8,000 to HK$12,000 per year for a simple business, and HK$15,000 to HK$30,000 or more for complex or high-volume companies. It is mandatory even for near-dormant companies.
Does the cost drop after year one?
Only a little. You save the one-off incorporation fee, but the secretary, registered office, and audit recur, so year two commonly runs US$1,500 to US$3,000.
What is the cheapest legitimate way to run a Hong Kong company?
Keep clean books, use a digital-first secretary and registered-office package, right-size the audit to your activity, and file everything on time to avoid penalties. Cheap formations that omit mandatory services cost more once you add them back.
Are there hidden government taxes on top?
No VAT, no capital gains tax, and no stamp duty on a standard share issue at incorporation. Profits tax applies only once you have Hong Kong-sourced profits, at 8.25% then 16.5%.
Sources
- Hong Kong Companies Registry: incorporation and Annual Return (NAR1) fees
- Inland Revenue Department: Business Registration fee and Profits Tax
Service-fee ranges for the company secretary, registered office, audit, and bookkeeping are 2026 market estimates that vary by provider; only the government fees are official.