Every business operating in Hong Kong must hold a valid Business Registration Certificate (BRC) issued by the Inland Revenue Department (IRD). This applies to all business types: private limited companies, sole proprietorships, partnerships, and foreign company branches. Registration must be completed within 1 month of commencing business. Failure to register or renew is a criminal offence with fines of up to HKD 5,000 and up to 1 year imprisonment. This guide covers who must register, what it costs, how to apply, and how to stay compliant.
Highlights of this article
- Every business operating in Hong Kong must register with the IRD within 1 month of commencing business, regardless of revenue or size.
- A 1-year Business Registration Certificate costs HKD 2,350 from April 1, 2026. A 3-year certificate costs HKD 6,170.
- The 8-digit Business Registration Number (BRN) issued with the BRC serves as the Unique Business Identifier (UBI) and Tax Identification Number (TIN) across all government departments since December 2023.
- Online applications are processed in 1 to 3 working days. In-person applications at the Business Registration Office are typically processed the same day.
- An expired BRC can cause banks to freeze or close corporate accounts, making timely renewal a business-critical obligation.
What Is Business Registration in Hong Kong?
Business registration is the process of obtaining a Business Registration Certificate from the IRD under the Business Registration Ordinance (Cap. 310). The BRC authorises a business to operate commercially in Hong Kong and must be displayed at your place of business at all times.
Business registration is separate from company incorporation. Company incorporation creates a separate legal entity through the Companies Registry. Business registration authorises that entity to trade commercially. This applies to all business types, including sole proprietors, partnerships, and limited companies. A private limited company must complete both at the same time. A sole proprietor only needs a BRC.
The BRC contains:
- Your 8-digit Business Registration Number (BRN)
- Business name and address
- Nature of business
- Certificate validity dates
The BRC must be renewed annually or every 3 years. It must also be obtained separately for each branch location.
Who Needs to Register a Business in Hong Kong?
Under the Business Registration Ordinance (Cap. 310), all of the following must hold a valid BRC:
- Private limited companies (obtained simultaneously with incorporation)
- Foreign companies with a Hong Kong branch or representative office
- Sole proprietorships
- General and limited partnerships
- Online and e-commerce businesses operating from Hong Kong
- Any person or entity carrying on a trade, profession, or business for profit in Hong Kong
Exemptions:
- Charitable institutions exempt under Section 88 of the Inland Revenue Ordinance
- Licensed outdoor hawkers
- Pure agricultural, market gardening, or fishing activities
There is no revenue threshold or turnover exemption. Any commercial activity requires a BRC within 1 month of commencement. If you are unsure whether your activity qualifies, register. The penalties for non-registration are significant.
Business Registration Fees in 2026
The IRD revised fees on April 1, 2026, reinstating the Protection of Wages on Insolvency Fund (PWIF) levy of HKD 150 after a waiver period.
| Certificate Type | 1 Year | 3 Years |
|---|---|---|
| Standard BRC (company, sole prop, partnership) | HKD 2,350 | HKD 6,170 |
| Branch office BRC | HKD 230 | HKD 658 |
For a new private limited company, the BRC fee is paid together with the Companies Registry incorporation fee in a single payment:
| Item | Fee |
|---|---|
| Incorporation fee (e-filing) | HKD 1,545 |
| Business Registration Certificate (1-year) | HKD 2,350 |
| Total government fees (e-filing + 1-year BRC) | HKD 3,895 |
Air Corporate's all-inclusive incorporation package from USD 1,070 covers the government fees, company secretary for the first year, registered address, and all document preparation. For the full breakdown, see our company registration cost guide.
How to Apply for Business Registration
Step 1: Prepare your details
Gather the following before starting your application:
- Business name (must not be identical or too similar to an existing registered business)
- Business address (registered address in Hong Kong)
- Nature of business (description of the activities you will carry on)
- Identification: HKID card (residents) or valid passport plus proof of residential address (non-residents)
Non-residents registering a sole proprietorship may appoint a local resident agent using Form IRBR177, though this is not legally required.
Step 2: Choose the correct form
| Business Type | IRD Form |
|---|---|
| Sole proprietorship | Form 1(a) |
| Limited company | Form 1(b), submitted as part of company incorporation |
| Partnership | Form 1(c) |
Step 3: Submit your application
Online (recommended): Sole proprietors and partnerships apply through the IRD eTAX portal. Limited companies apply through the Companies Registry e-Registry portal as part of the one-stop incorporation process. Online applications are processed in 1 to 3 working days.
In person: Visit the Business Registration Office at 1/F Revenue Tower, 5 Gloucester Road, Wan Chai (for sole proprietors and partnerships) or the Companies Registry at 14/F High Block, Queensway Government Offices, 66 Queensway (for company incorporations). Same-day to next working day processing.
By post: Mail the completed form and payment to the Business Registration Office. Allow 2 working days plus postal delivery time.
Step 4: Display your certificate
Once received, the BRC must be displayed prominently at your registered place of business. Each branch location requires a separate BRC at HKD 230 per year.
Starting a new business in Hong Kong? Air Corporate handles the full registration: company name check, Companies Registry filing, IRD registration, and Business Registration Certificate. From USD 1,070 all-inclusive. Get started →
The Business Registration Number: BRN, UBI, and TIN
The BRC contains an 8-digit Business Registration Number. Since December 27, 2023, the IRD designated the BRN as the Unique Business Identifier (UBI) across all Hong Kong government departments. The BRN also serves as the company's Tax Identification Number (TIN).
In practice, this means:
- Most government forms, tax filings, and licensing applications now require the BRN
- Banks require the BRC and BRN when opening corporate accounts
- The BRN does not change on renewal. Only the validity dates are updated.
The BRN is an 8-digit number. It is distinct from the Company Registration Number (CRN), which is the 7-digit number on the Certificate of Incorporation issued by the Companies Registry to incorporated companies only. For the difference between the two, see our guide to Business Registration Number vs Company Registration Number.
Renewal and Ongoing Compliance
The IRD sends a demand note 1 month before the BRC expiry date. Renewal options:
| Option | Fee | When to choose |
|---|---|---|
| 1-year renewal | HKD 2,350 | If you want flexibility or are uncertain about continuing |
| 3-year renewal | HKD 6,170 | Better value if you plan to continue operating |
Renewal can be completed online through the IRD eBR portal, in person at the Business Registration Office, or by post.
After registration, all businesses must also:
- Notify the IRD within 1 month of any change to business name, address, or nature of business
- Notify the IRD within 1 month of stopping business operations
- Retain all business records for a minimum of 7 years under the Inland Revenue Ordinance (Cap. 112)
- File an annual Profits Tax Return with the IRD, even if the business made no profit
For private limited companies, additional compliance obligations apply, including filing an Annual Return with the Companies Registry and completing an annual audit. Air Corporate's company secretary service from USD 955 per year manages all deadlines, renewal notices, and statutory filings.
Consequences of Non-Registration and Late Renewal
Operating without a valid BRC is a criminal offence under Cap. 310. The consequences are both legal and practical:
| Breach | Penalty |
|---|---|
| Failure to register within 1 month | Fine up to HKD 5,000 + backdated fees for all unregistered years |
| Failure to renew before expiry | Fine up to HKD 5,000 |
| Failure to display BRC at place of business | Fine up to HKD 5,000 |
| Continued operation after formal notice | Prosecution and up to 1 year imprisonment |
Beyond legal penalties, an expired BRC creates practical problems:
- Banks treat an expired BRC as a compliance failure and will freeze or close corporate accounts
- Government licences (e.g., money service operator, liquor licence) require a valid BRC as a condition
- Entering leases, tenders, and major contracts becomes difficult without a valid BRC
Renew before the expiry date. Do not wait for the demand note. It is a reminder, not the deadline.
Business Registration vs. Certificate of Incorporation
A common point of confusion for founders:
| Business Registration Certificate | Certificate of Incorporation | |
|---|---|---|
| Issued by | Inland Revenue Department | Companies Registry |
| Who needs it | All businesses (companies, sole props, partnerships) | Incorporated companies only |
| Purpose | Authorises commercial operations | Confirms legal existence as separate entity |
| Validity | Annual or 3-year renewal required | No expiry (permanent) |
| Display required | Yes, at place of business | No |
| Fee | HKD 2,350 (1-year) | HKD 1,545 (e-filing) |
Private limited companies need both. Sole proprietorships and partnerships need only the BRC. For what the CI contains, how to get certified copies, and when you need an apostille, see the Certificate of Incorporation guide. For the full incorporation process, see how to register a company in Hong Kong.
