There are currently many businesses starting up right now and this is all very new for them. There is so much to learn and lots of red tape to negotiate around when you are starting your very first business. Many people choose to stay as a sole trader or as part of a partnership, but this is their first big mistake. They are putting everything in jeopardy if their business is not a success and this means that their home and other assets will be taken from them in the event that they are unable to pay their suppliers and their landlord. This is not a situation that you want to find yourself in and so it makes perfect sense to protect yourself and your family from this happening. The one way to do that is to register your business as it is the sensible thing to do.
This is why company registration in Hong Kong can help to protect what is yours while also creating new business opportunities for you. Luckily for you there are service providers out there that can do all of the work for you and so this will make registering your business a very simple and straightforward task. Registering your company provides many benefits and the following are just some of them.
* It limits your liability – As was mentioned briefly before, you do not want to be working hard for years to build up a successful business and then to have your personal belongings like your home and your car put into jeopardy because your business isn’t going as well as expected. By registering your company, you are limiting your personal liability and any debts owed begin and start with the business only. Your business is seen as a totally separate entity and so this puts the protection in place for your personal assets.
* You will pay less tax – This is contrary to what many people believe because they wrongfully assume that if you are a big enterprise then you obviously pay more taxes. The opposite is actually true and many registered companies pay a lot less tax than individuals do. The government has put many things in place to make registering your company more attractive and so they will give you tax breaks to encourage you to do so. Any money that you spend on things like marketing, staff training and any essential business that needs to be done around your business can all be claimed back as a tax deduction.
There doesn’t seem to be any downside to registering your company and so if you haven’t done it already then you need to take steps to get it done this week. Talk to your local service provider who will be more than happy to come out to your current business and to explain what needs to happen. If you’re going to make one smart business decision this year then this is it and it provides your business with the opportunity to excel in this otherwise difficult business environment.
