Under Amazon’s new policy in 2025, Hong Kong companies are favored by new sellers. This article explains the complete registration process and key points of address compliance!
Under Amazon's new policy in 2025, will Hong Kong companies become the "hot potato" for new sellers? Attached is the complete company registration process + address compliance plan!
In October 2025, the cross-border e-commerce industry will usher in major changes. The State Council issued Order No. 810, and the Amazon platform began to report sellers’ store operating cash flow, identity information, and account information to the Chinese tax authorities in batches. This policy directly led to a 40% drop in the approval rate of mainland Chinese entities, and sellers faced unprecedented compliance pressure.
At the same time, the Amazon platform launched a "triple penetrating" review mechanism to conduct penetrating verification of registered addresses, payment accounts, and billing addresses. Problems such as "shell companies" and "address association" instantly became high-risk factors leading to account suspension, and the traditional operating model encountered fatal challenges.
Against this background, the number of Hong Kong company registrations bucked the trend and soared by 186%, and the approval rate was 27 percentage points higher than that of mainland Chinese entities, making it a safe haven for cross-border sellers.
1. Why have Hong Kong companies become the “hot potato” of sellers?
1. Tax cost optimization: low tax rates reduce operating costs
Hong Kong implements the principle of "territorial source taxation". If profits come from overseas (such as Amazon's European and American sites), you can apply for exemption from profits tax. The tax rate advantages are extremely obvious:
The tax rate on the first HK$2 million of profits is only 8.25%, and the tax rate on the remainder is 16.5%. Compared with Mainland China's 25% corporate income tax and 20% personal income tax on shareholder dividends, the tax cost advantage is very significant. In addition, Hong Kong has no value-added tax, business tax, or dividend tax, and has signed double taxation avoidance agreements with more than 40 countries, which can further reduce the tax burden.
2. Free flow of funds: solving the problem of foreign exchange control
Hong Kong has no foreign exchange controls and supports accounts in 13-15 major currencies such as US dollars and euros. Funds can be transferred efficiently to all parts of the world. Sellers can connect directly through Amazon, PayPal, and Stripe to break through the personal foreign exchange limit of US$50,000 and solve the pain point of "slow collection and difficulty in settling foreign exchange."
3. Multi-platform operation adaptation: Reduce the risk of related account closures
For sellers who operate multiple platforms such as Amazon, eBay, and Shopify at the same time, Hong Kong companies can open accounts as independent entities, forming "subject isolation" from mainland company accounts. This model can effectively reduce the risk of related account closures caused by "multiple accounts of the same entity" and improve operational stability.
4. Strong compliance and adaptability: complementary policies to optimize costs
In response to Amazon's new regulations, Hong Kong companies can export through formal foreign trade agents and 1039 market procurement channels, and the declaration process is the same as that in mainland China. At the same time, Hong Kong’s tax policy can be matched with the mainland’s export tax rebate and park tax rebate policies to further optimize operating costs.
2. Amazon-approved “True Independent Address” Compliance Plan
亞馬遜審核三大核心標準
- legal compliance: Provide an independent lease contract certified by Hong Kong stamp duty, eliminate "one address with multiple certificates" anchor agreement, and ensure the exclusive right to use the address.
- Proof of operational traces: Provide electricity and water bills in the last 3 months in the name of the landlord to prove that the address is actually used.
- Completeness of supporting services: The address needs to support physical mailbox receipt and bank receipt receipt, and company-specific water signs/house numbers can be customized to cope with on-site verification.
1. Address consistency requirements
Amazon compulsorily requires that the registered address, the Hong Kong Company Registry filing address, and the bank account address be consistent. If there is any discrepancy, proof of address change must be submitted when registering, otherwise the review may fail.
2. Compliance address solution
① When registering a Hong Kong company, an independent address is the top priority
The registration process itself is not complicated. It can be started by providing proof of shareholder identity and confirming the company name. However, the choice of address directly determines whether to follow up:
core screening criteria: "Independent address" must be selected. This is the key to Amazon and bank review to avoid "low-price virtual addresses". Most of these addresses have one address with multiple certificates and no actual business premises. Although the annual fee is only a few thousand yuan, it can easily trigger Amazon-related store closures in the future, and may also face the risk of Hong Kong tax inspection.
Give priority to addresses that can provide a full set of compliance documents: Cooperate with professional institutions to ensure that the other party can issue stamp tax leases, landlord utility bills, and provide physical mailbox services. Only in this way can you successfully pass Amazon's second review and bank account opening review, and there is no need to repeatedly provide additional documents in the future.
② Open a public account in Hong Kong and bind Amazon’s compliance collection
After you have a compliant Hong Kong company and an independent address, you can apply for a public account. The key point is to "prove that the business is genuine + the subject is consistent":
- Account opening preparation: Bring Hong Kong company registration documents (CI, BR, NNC1, etc.), independent address rental contract, utility bills of the past 90 days, and give priority to banks that support cross-border e-commerce (such as HSBC, CCB Asia), so that the review will be smoother.
- Prove business authenticity: When opening an account, proactively explain to the bank that you "operate an Amazon store" and provide store links and past order records (if any) to avoid being refused account opening due to "ambiguous business."
- Key points of payment binding: After the account is opened, it is directly bound to the Amazon store for payment collection. Be sure to ensure that "the payment entity (Hong Kong company) is consistent with the Amazon registered entity." Otherwise, the funds may be frozen by the platform, and subsequent unfreezing is extremely cumbersome.
③ Make compliance tax planning based on independent address
After the infrastructure is completed, tax planning needs to be in place simultaneously to take into account compliance and cost savings:
- Keep proof of true business operations: If there are local employees, keep attendance records; keep office supplies purchase receipts and address-related operating documents. This type of document is the key to proving the "genuine operation" of a Hong Kong company and can be used to respond to platform and tax inspections.
- Apply for offshore exemption: After the end of the fiscal year, organize a complete set of documents: order contract (indicate that the place of signature is not Hong Kong), logistics bill of lading (sent from mainland China to overseas, without Hong Kong transit), independent address office records, apply for profits tax exemption from the Hong Kong Inland Revenue Department, legally enjoy tax advantages, and reduce operating costs.
3. The whole process of Hong Kong company registration
- Company name registration: It is necessary to confirm that the company name to be used has not been registered by others, and it must strictly comply with the naming rules of the Hong Kong Companies Registry and avoid using sensitive words.
- Prepare registration documents: Prepare various registration documents in detail, including company articles of association, clear identity documents of shareholders and directors, true and valid proof of registered address, and letter of appointment of company secretary, etc.
- Submit registration application: Applicants can freely choose to submit registration applications online or offline according to their own needs. Online submission is often more convenient and efficient.
- Pay registration fees: Company registration fees and business registration fees must be paid. The amount will vary depending on the service provider selected and actual business conditions.
- Waiting for approval: The approval time varies depending on the submission method. Generally, electronic registration takes about 1–2 working days, and paper registration takes about 5–7 working days.
- Get the certificate: After passing the review, the registration office will officially issue the "Company Registration Certificate" and "Business Registration Certificate", and the company will be officially established.
- Open a bank account: You can choose a local bank in Hong Kong or a well-known international bank with Hong Kong business. When opening an account, you must prepare company registration documents, identity certificates of directors and shareholders, detailed business plans and other information.
4. The Importance and Practical Guidelines of Real Operations
1. Why must Hong Kong companies operate truly?
The Hong Kong government is strictly investigating shell companies, and the Immigration Department has launched a strict investigation mechanism for self-employment renewal cases, clearly targeting the "three noes" companies with "no employees, no capital flow, and no actual business premises" as key targets. Shell companies in the cross-border e-commerce field also face tax risks, capital flow risks, platform compliance risks and legal risks.
2. Four practical points for real operations
① Physical office space: Choose a location in the core business district of Hong Kong, rent a Grade A office building, the area is consistent with the business scale, and keep the lease contract, utility bill receipts and property-stamped certificate of occupancy.
② Team formation and compliance management: Priority is given to hiring Hong Kong permanent residents, paying 5% of employees’ monthly salary to the Mandatory Provident Fund, signing a standard labor contract, and purchasing employee compensation insurance.
③ Leave real traces of business: Sign real purchase contracts with domestic suppliers, and retain logistics documents and customs declaration forms; service companies that undertake local business in Hong Kong must sign service agreements and issue invoices.
④ Tax and data compliance: Declaring profits tax on time and retaining business vouchers; avoiding repeated taxation and rationally using tax agreements; ensuring data compliance and isolating domestic legal risks.