March 8th, 2020 by Vivian Au
March 8th, 2020 by Vivian Au
A recent survey from YouGov revealed that more than 70% of entrepreneurs spend over 90 hours per year on accounting only.
This is just wrong.
The only way to grow your business is to focus on finding and serving clients.
You should stay away from admin time-sinks by passing it to professionals you can trust.
There are basically 3 ways to handle the bookkeeping and accounting for your Hong Kong Company.
Wait until the end of the year
You basically wait until the end of the year to deal with your accounting. It is fine if your company has very few transactions. But it is otherwise not a good idea. Why? simply because you will not remember in November what happened with your Hong Kong company in January.
Also, when you wait until the end of the year, the work will be done in a rush with little room for tax planning and optimization.
Solo accounting software
Once you realize that waiting until the end of the year way is not a good option, you will be tempted to take an accounting software to keep track of your accounting and bookkeeping all year long.
That is a good idea, but these software programs can be complicated to use. As a result, you may end up spending a lot of time working just inputting your invoices and other records into the accounting software that you chose. Sometimes, your accountant will even tell you at the end of the year that you made mistakes using the software and that part of the work needs to be done again.
Monthly bookkeeping and accounting packages
The idea is simple: we give you access to your own dedicated professional accountant, available for you each day, but without the trouble or cost of having an accountant in-house on your payroll.
When you use our service, your accountant will do many things to make your life easier: such as sending your invoices, matching transactions with your bank statements, prepare your monthly expense reports, prepare payroll and MPF filings if you have employees or prepare your financial statements.
All this using a top-notch cloud accounting software that you can access anytime.
Communication with your accountant is easy through whatsapp or email. And when any information or document regarding your accounting is missing, your accountant will simply chase you.
Tax planning and optimization
Finally, because accounting does not make much sense without looking at tax matters, our monthly accounting package includes two conference calls each year to help with your Hong Kong company’s tax planning and optimization.
Do not look further if you want efficiency and peace of mind for your Hong Kong company bookkeeping and accounting.
Are you ready to let go of all the admin headaches? Switch to Air Corporate today and enjoy your freedom from admin.
March 8th, 2020 by Vivian Au
A few days ago we posted a video about the struggles of SMEs to open and keep a bank account, as well as the partnership between Air Corporate and Statrys, a neobank based in Hong Kong.
Following this video, we received many questions regarding this partnership, and will try to answer most of them here today.
What exactly is Statrys?
Statrys is a digital banking platform that allows SMEs to get access to a bank account, make and receive payments in many jurisdictions, and access attractive foreign exchange rates… So pretty much all the services offered by a traditional bank, except that the experience is tailored for SMEs and designed to offer them a frictionless experience.
Statrys is not a bank. It is a neobank licensed as money service operator registered in Hong Kong and a Small Payment Institution in the UK. Pretty much the same as many challenger banks in Europe.
This means that the funds of your company are held by Statrys partner’s bank, which one of the largest ones Asia. Statrys acts as the client interface for all the business finance operations of your company such as payments, money transfers, notifications, statements.
How easy or difficult is the process of opening an account with Statrys?
The whole purpose of Statrys is to make the client experience simple, fast and user friendly.
The account opening process takes a few days only, and actually less than 48 hours if you register your company with us at Air Corporate or if you appoint us as the Company Secretary for your Company.
We will also help you coordinate with Statrys to open your account, free of charge.
And the most important: the whole onboarding is done online and in a few clicks, meaning that you do not need to travel to Hong Kong to open your Statrys account.
What can I do with my company Statrys account?
The current version of Statrys allows your company to do 3 main things:
- Make and receive payments in many countries and in as much as 14 currencies
- Do foreign exchange conversions at very attractive rates, more attractive than the rates offered by the big banks or online forex platforms
- Keep track of your company finances by automatically generating bank statements
Statrys will soon be releasing debit cards. It also allows your company to also open local accounts in Europe or the US, which is great for online sellers. We will post another update on these features later on.
Get Started with a Statrys Business Account
Our partnership with Statrys allows you to enjoy the following perks:
- We guarantee that if you incorporate your company with Air Corporate, or if you appoint Air Corporate as Company Secretary for your Hong Kong company, you will get your Statrys multi-currency account within 48 hours
- We will assist with the ongoing compliance of your Statrys account, meaning that each time your company goes through annual renewal or is reorganized, we will take care of informing Statrys for you. This way you can focus on your business and spend minimum time on the administrative aspects of keeping your Statrys account alive.
In conclusion, if you have a problem opening a bank account for your company, or if your company bank account was frozen or closed, we can help.
As usual, please contact us for more information about Air Corporate or Statrys.
Ready to open your business account and register your company? Sign up today!
Everyone knows that it has become extremely difficult for SMEs to open and keep a bank account in Hong Kong.
Let’s see why, and what can be done about it.
Why are big banks closing so many accounts?
It is simple: over the last few years, most countries have increased their efforts to fight money laundering, terrorism, and tax evasion.
They realized that banks were not doing enough and imposed stricter obligations on them.
This led to many of the big banks being imposed huge fines and sometimes be at risk of losing their licenses.
Facing a lot of pressure, the banks had no choice but to apply much stricter standards and invest massively in compliance resources.
Of course, this resulted in additional operating costs for the banks: opening and maintaining a client bank account now costs a bank much more than 5 or 10 years ago.
One of our contacts at a big bank recently told us that the cost of compliance on any client now easily exceeds USD 1,000 per year.
Bank, therefore, turned their bank to clients who are not profitable for them. This includes:
- SMEs that do very few transactions each month, and on which the bank makes virtually no money
- Companies regarded as “complex”, meaning companies that require additional compliance work for the banks. For example, this is the case when the directors or shareholders of a Hong Kong company reside overseas or if the business is spread across several jurisdictions.
These clients are just not profitable enough for the banks.
The banks, therefore, use the excuse of their “limited risk appetite” to get rid of them.
How to easily open a business account for my company?
Some alternative to traditional banks has appeared over the last few years, with the rise of “neobanks” or “challenger banks”.
There are many of them in Europe and a growing number in Hong Kong.
One of them there is called Statrys.
If you are an SME with international business, Statrys allows to open a multicurrency business account for your company in 2 days, all online with no need to travel to Hong Kong.
Your Statrys account allows you to make and receive payments in many many countries and enjoy very attractive foreign exchanges rates.
Through our partnership with Statrys, we can guarantee that if you create your company with Air Corporate or if you appoint Air Corporate as your company secretary, you will obtain a Statrys multi-currency account for your company within 48 hours, all online. Guaranteed!
We will publish another video soon about our partnership with Statrys and how we can guarantee the opening of your Statrys account.
In the meantime, feel free to contact us if you are struggling with bank account problems.
And as usual, please subscribe to our channel for more tips about running your company in HK. Until next time, stay tuned.
Looking to register your company in Hong Kong? Register with Air Corporate today and get a free business kit to get you started.
Already have a company but need a business account? Check out our partner Statrys. Get 11 currencies in 48 hours, completely online.