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Payment Options in incorporation

Incorporation offers you additional financial options that are not available to other forms of business. When you incorporate your business, you can choose the method of remuneration of shareholders and directors; either by salary or by dividends that can result in significant tax benefits.

If you hire family members, the corporation can deduct their wages as if it were an expense. You can also make family members or shareholders’ associates and pay them – just like you – dividends that are taxed at a reduced rate. These two options allow the company to reduce the amount of taxes to be paid.

To determine the compensation options that are best for your business, consult an accountant or tax professional. Hong Kong company registration fees  not very high

company incorporation

Obtaining funding

If you are looking for financing, incorporation is usually a prerequisite. Lenders and investors want to know that you have provided your business with longevity and basic protection through limited liability.

Of course, you will always have to boast about your business model, provide financial statements and maybe even a guarantee, but incorporating your benefit from the outset

Tax exemptions in case of sale

Do you intend to sell your business? Be sure to incorporate it to benefit from attractive tax exemptions on your capital gains.

Currently, the sale of shares in a Canadian-controlled private corporation that uses at least 90% of its assets to do business in Canada entitles you to claim a one-time tax exemption on personal capital gains in Canada. $ 800,000 in height. Hong Kong company incorporation is very easy

The above benefits make incorporation one of the most popular corporate legal forms. If you’re wondering if incorporation is right for you, check out our article: Should you incorporate your company? Five questions to help you decide.

Payment Options in incorporation

Incorporation offers you additional financial options that are not available to other forms of business. When you incorporate your business, you can choose the method of remuneration of shareholders and directors; either by salary or by dividends that can result in significant tax benefits.

If you hire family members, the corporation can deduct their wages as if it were an expense. You can also make family members or shareholders’ associates and pay them – just like you – dividends that are taxed at a reduced rate. These two options allow the company to reduce the amount of taxes to be paid.

To determine the compensation options that are best for your business, consult an accountant or tax professional. Hong Kong company registration fees  not very high

Obtaining funding

If you are looking for financing, incorporation is usually a prerequisite. Lenders and investors want to know that you have provided your business with longevity and basic protection through limited liability.

Of course, you will always have to boast about your business model, provide financial statements and maybe even a guarantee, but incorporating your benefit from the outset

Tax exemptions in case of sale

Do you intend to sell your business? Be sure to incorporate it to benefit from attractive tax exemptions on your capital gains.

Currently, the sale of shares in a Canadian-controlled private corporation that uses at least 90% of its assets to do business in Canada entitles you to claim a one-time tax exemption on personal capital gains in Canada. $ 800,000 in height. Hong Kong company incorporation is very easy

The above benefits make incorporation one of the most popular corporate legal forms. If you’re wondering if incorporation is right for you, check out our article: Should you incorporate your company? Five questions to help you decide.