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  • 1 Post By carang
  • 3 Post By bryant.english

sole-proprietorship or limited, someone please help?

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  1. #1

    Join Date
    Jan 2012
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    29

    sole-proprietorship or limited, someone please help?

    hello everyone,
    i was hoping someone could help me on this. i want to set up a company, with only me as the director, it would be basically to babysit at other people's places.

    im really confused about:
    1) should i be registering a limited company or a sole-proprietorship,?
    2) in my situation, what would be the advantages and disadvantages of both in hk?

    iv heard that a limited company must have its accounts audited every year, and that means more costs, so apart from protecting your assets, what else does a limited company offer?

    thx a lot.


  2. #2

    Join Date
    Jan 2008
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    1,966

    Why do you need sole proprietorship for baby siting? How much turn over you expect? Just put the money in your pocket.


  3. #3

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    Quote Originally Posted by Oldtimer:
    Why do you need sole proprietorship for baby siting? How much turn over you expect? Just put the money in your pocket.
    i don't expect much money but since im an expat, dont want to go the illegal way to work. i have a dependent visa, so am just hoping to make some money in my spare time when husband is at work.

  4. #4

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    Apr 2005
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    in that case, you want a sole proprietorship. if you have a limited company, you need to have an accountant audit your books every year.

    if you have a sole proprietorship with less than a certain amount income, you can just file it on your personal salaries tax forms. much less hassle.

    Oldtimer likes this.

  5. #5

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    Jan 2008
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    I have to agree with Cara. Register the sole proprietorship.


  6. #6

    Join Date
    Jun 2010
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    Tuen Mun
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    I notice you factored in protecting assets as an advantage of an LLC and I wondered if you are thinking in terms of public liability? If so you can and should get public liability insurance and you can get this as a sole proprietor.

    I have public liability insurance for my centre and it covers me teaching outside of the classroom also - something like $10 000 000 for $4500 per year and covers for damage to thrd parties and/or their property!

    I was pretty happy with that!


  7. #7

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    Jan 2012
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    Quote Originally Posted by carang:
    in that case, you want a sole proprietorship. if you have a limited company, you need to have an accountant audit your books every year.

    if you have a sole proprietorship with less than a certain amount income, you can just file it on your personal salaries tax forms. much less hassle.
    Ill go with the sole proprietorship then. Do you know,by any chance, if i still need to go to the business registry to register or go directly to the inland revenue?

  8. #8

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    Jan 2012
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    Quote Originally Posted by carang:
    in that case, you want a sole proprietorship. if you have a limited company, you need to have an accountant audit your books every year.

    if you have a sole proprietorship with less than a certain amount income, you can just file it on your personal salaries tax forms. much less hassle.
    And thx a lot for your reply.i really appreciate.

  9. #9

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    Apr 2005
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    the business registry IS in inland revenue building. just go there. depending on the queues, it's taken as little as 30 minutes as much as an hour or two.


  10. #10

    Join Date
    Jan 2012
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    Carang thx for the tips..went there yesterday and it took only 30mins,its quite a simple and easy process..cheers mate