Guide to Company Registration in Hong Kong: What’s the difference between company registration and business registration?
In Hong Kong, running a business involves two important documents: the Certificate of Incorporation (CI) and the Business Registration Certificate (BR). While both are essential for business operations, they have significant differences in function, purpose, and application process. Therefore, if you happen to be planning to
register a company, it’s recommended to understand these differences to choose the correct registration method.
1. Business Registration Certificate (BR)
The
Business Registration Certificate is a statutory document issued by the Business Registration Office under the Hong Kong Inland Revenue Department, serving as the identification document for business operators. Holding a Business Registration Certificate not only aids operators in fulfilling their legal obligations but also facilitates public inquiries into business data in the Business Registration Register. According to the Business Registration Ordinance, all operators engaged in any form of business, commerce, trade, profession, or other activities in Hong Kong, including physical and online businesses, must apply for business registration within one month of starting operations.
2. Certificate of Incorporation (CI)
The
Certificate of Incorporation is issued by the Companies Registry, specifically used to prove the registration status and legal operation rights of a local limited company. When establishing a local limited company, one needs to propose a company name and confirm that it’s not in use by an existing company, then fill out the necessary application documents and submit them to the Companies Registry. If the application is approved, the company will receive a Certificate of Incorporation, which will display the company name, registration date, and unique company registration number. This number is the unique identifier of the company and may need to be presented in daily operations such as signing contracts, opening bank accounts, etc.
3. The differences between the Certificate of Incorporation and the Business Registration Certificate
Function and Purpose: The Certificate of Incorporation is primarily used to prove the company’s legal registration status and operating rights, symbolizing the company’s corporate status; whereas, the Business Registration Certificate is an identification document that all business operators (including limited companies, sole proprietorships, partnerships, etc.) must hold, used to fulfill legal obligations and facilitate public inquiries.
Application Process: When establishing a local limited company, one needs to apply for registration with the Companies Registry and simultaneously or subsequently apply for business registration; whereas, when establishing an unlimited company (such as a sole proprietorship or partnership), one only needs to handle business registration at the Business Registration Office.
Document Content: The Certificate of Incorporation will display the company name, registration date, and registration number; whereas, the Business Registration Certificate will display the business name, business nature, business address, and registration number, among other information.
In conclusion, both the Certificate of Incorporation and the Business Registration Certificate play an indispensable role in the operation of businesses in Hong Kong, but they have significant differences in their functions, purposes, and application processes. Business operators should choose the appropriate documents to apply for and hold based on their business type and needs.
