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Private Company Limited by SharesAmazon FBA & E-Commerce

Private Company Limited by Shares in Hong Kong — Amazon FBA & E-Commerce Formation Guide

For non-US residents, a US LLC (e.g., Wyoming or Delaware) is highly popular for Amazon FBA because it provides easy access to US payment gateways (Stripe, Mercury) and Amazon US, often with 0% US corporate tax if structured correctly. If selling primarily in Europe, a UK LTD or Estonian OÜ simplifies VAT registration and OSS compliance.

Last verified: June 13, 2026

Corporate Tax

16.5%

State Tax

0.0%

Formation Cost

$499

Annual Fee

$315

Forming a Private Company Limited by Shares in Hong Kong as a Amazon FBA & E-Commerce means a total tax burden of 16.5% and an official formation cost of $499. There is no minimum capital requirement. Standard formation takes 3-5 business days, or 1 business day expedited. No local director is required; the process can be managed remotely. This guide covers the steps, tax breakdown, banking options, and compliance requirements — all from verified data.

First-year total cost

$849

Ongoing (per year)

$664

Detailed cost calculator →

Why Private Company Limited by Shares for Amazon FBA & E-Commerce?

A business model where you sell physical products on Amazon's marketplace, utilizing their Fulfillment by Amazon (FBA) network. Choosing the right jurisdiction is critical for managing inventory taxes, VAT/Sales Tax nexus, and accessing global payment gateways.

Ideal for

  • US LLC (Wyoming/Delaware) for the US market
  • UK LTD for the European market
  • Estonian OÜ for digital nomads
  • UAE Free Zone for tax-free scaling

Challenges to watch

  • Sales tax and VAT compliance across multiple states/countries
  • Strict Amazon seller account verification processes
  • Product liability risks requiring corporate shields
  • Managing multi-currency cash flows and high conversion fees

Key decision criteria

  • Does the jurisdiction support easy Amazon Seller Central registration?
  • Can you easily open a business bank account compatible with Amazon disbursements?
  • What are the VAT or Sales Tax nexus implications for where your inventory is stored?
  • Do you need product liability insurance, and is it available for your entity type?

Private Company Limited by Shares formation requirements

Minimum capital

None

Standard timeline

3-5 business days

Expedited timeline

1 business day

Local director

Not required

Registered office

Virtual office allowed

Notarization

Not required

A local resident Company Secretary is mandatory, but directors can be of any nationality and reside anywhere.

See the full guide for all documents and requirements →

Estimated breakdown (based on avg. $150,000 revenue)

Gross Revenue$150,000
Corporate Tax-$24,750
Formation Cost-$499
Annual Fee-$315
Net Profit$124,436

Simulate with your own revenue →

VAT / Sales Tax

Standard rate 0%. Hong Kong does not impose any Value Added Tax (VAT), Goods and Services Tax (GST), or sales tax on goods and digital services.

Banking & payments for Amazon FBA & E-Commerce

Opening a traditional bank account in Hong Kong is notoriously difficult for non-resident founders due to stringent KYC and AML regulations, often requiring an in-person visit. However, fintech alternatives like Airwallex and Statrys have made it much easier to open multi-currency business accounts entirely remotely.

Supported payment gateways

StripePayPalAirwallexCheckout.comAdyen

Remote-friendly accounts

  • Airwallex

    Popular fintech for HK companies, offering multi-currency accounts and fast remote setup.

  • Statrys

    HK-based fintech tailored for SMEs and startups, providing local HKD accounts and forex services.

  • Currenxie

    Global account provider with strong presence in Hong Kong, ideal for e-commerce and trading.

Hong Kong incentives & advantages

Two-Tiered Profits Tax Regime

8.25% tax rate on the first HKD 2 million of assessable profits, instead of the standard 16.5%.

Enhanced R&D Tax Deduction

300% tax deduction on the first HKD 2 million of qualifying R&D expenses, and 200% on the remainder.

Patent Box Regime

A concessionary tax rate of 5% on eligible intellectual property income.

Private Company Limited by Shares formation steps

1

Step 1: Choose a company name and verify its availability through the Companies Registry Cyber Search Centre.

2

Step 2: Appoint at least one director (can be a foreigner) and one local company secretary.

3

Step 3: Secure a registered office address in Hong Kong (cannot be a PO Box).

4

Step 4: Prepare the Articles of Association (Standard Model Articles are commonly used) and incorporation form (NNC1).

5

Step 5: Submit the application electronically via the e-Registry portal and pay the incorporation fee (HK$1,545) and BRC fee (HK$2,350).

6

Step 6: Receive the Certificate of Incorporation and Business Registration Certificate (usually within 1-3 business days).

7

Step 7: Open a corporate bank account (often requires a business plan, proof of experience, and sometimes an in-person visit or video interview).

8

Step 8: Register for the Mandatory Provident Fund (MPF) if hiring local employees.

Amazon FBA & E-Commerce FAQ

Can I open a US Amazon FBA account as a non-US resident?

Yes. Forming a US LLC allows you to get an EIN and open a US business bank account, which makes the Amazon Seller Central verification process much smoother and avoids high currency conversion fees.

Do I need to pay US taxes if I sell on Amazon US?

If you are a non-US resident with a single-member LLC and no physical presence (ETBUS) in the US, you may not owe US federal income tax. However, you must still collect and remit Sales Tax in states where you have economic or physical nexus (like storing inventory in an Amazon warehouse).

Which is better for Amazon Europe: UK LTD or US LLC?

A UK LTD is generally better for Amazon Europe as it simplifies obtaining a UK/EU VAT number and EORI number, which are mandatory for importing and storing goods in European fulfillment centers.

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