I see a many people all over the internet, in many offshore forums, discussion groups and blogs writing:
There is no way how to have openned a business bank account in Hong Kong, or> my Hong Kong business bank account was closed.
The most of what I write is just based of total ignorance and not understanding how business and banking in a Hong Kong works.
The most of people does not know how to work with Hong Kong banks and bankers.
I am international lawyer. I work in offshore industry for more than 15 years. In that years I build a the ability to see connections that other people do not see. I have ability to analyze the small details that make the difference between success and failure.
Here is a truth from a real experiences:
If you try to open bank account in Hong Kong remotely - you will fail. Banking law in Hong Kong does not allow to open accounts remotely, now. If anyone is trying to say oposit, it is just not a truth.
If you will walk to the bank alone and show that you are a one man show - they will not open an account or if they will, it will be closed soon. Hong Kong banks are too huge. They do not need your money from a small business. Small businesses are too hig risk for almost no profit in exchange.
If you will show just 2-4 pages business plan prepared in a standard template to the bank - they will not open an account or if they will, it will be closed soon. You are showing them, you are too small and you are not willing to invest a few bucks to make things necessary for successfull business.
If there are no transactions or just a few transactions with a low amount - account will be closed. Bank is a business like any other. They are not a charity. Its purpose is to earn a money. Monthly maintenance fees in Hong Kong are low. They earn money on transactions. If you do not let bank earn some money, why whould they keen you onboard? Every small business means risk for them. It have to be balanced by reasonable profit.
If the only time when you see your banker is the day of bank account openning account will be closed. I will explain later the reason.
Here is is how it works:
Hong Kong is a jurisdiction with strong chineese mentality. This mentality is build on creating a stable relationships.
Hong Kong banks are not interested in a small businesses nor one man shows.
How to be successful and have your account lasting?
1. Before openning a Hong Kong bank account - you will need a Hong Kong mobile number + Kong Kong virtual landline - bank want to see your willingness to do something for them - they does not feel safe to communicate with you on a foreign phone numbers. Business which has a foreign number means too mich risk for them. And none Hong Kong banker will call you to a foreign phone number in case of need. If you are not a huge client.. Your banker has to feel secure. He needs to know, he can call a local number if he needs to speak with you.
2. Before openning a Hong Kong bank account - have a complete corporate design ready - hire some freelancer - there are many portals (guru.com, getafreelances.com, ...) - You will need logo, website desing, letter head paper, business cards, folder, envelopes.
3. Before openning a Kong Kong bank account - have your web funcional - your web must contain your hong kong address, hong kong phone number and at least some basic terms and conditions. Photo of company director with its name is absolutely huge advantage.
4. Before openning a Kong Kong bank account - Hire some freelancer to write your business plan on your company letter head paper. No free templates to be used. It have to look realy profesional. Each banker loves numbers. There has to be calculations for next 3 years, included. As detailed as possible. No one will care in a future, if this numbers were correct - it was just a plan..
5. Before openning a Kong Kong bank account - Have printed your business plan in 4 copies. Have it in your company folder - this has to have your company design.
6. Before openning a Kong Kong bank account - Have printed a full buch of your company business cards. It should contain company logo, company name, company address, your position in a company, company phone number. QR code of company linked to website where is a company director photo is advantage. Having your photo on a backside of a business card is advantege. I will explain reasons later.
7. Before openning a Kong Kong bank account - Prepare a bag with a small gift for the banker - the best is something what you sell, or something else. Samples are good and helpfull.
8. Before openning a Kong Kong bank account - Hire some freelancer to write introduction materials about your company. You can use this texts on your website, later.
Do you know what is the most kept secret of Hong Kong bankers?
They file their opinion about you into the bank system just after your interview is finished. The most of its opinion is about how they feel about you and your business. Subjective opinion of the banker is very important. Your banker files opinion about you and your business into their system every 6 months.
How to act when openning a Hong Kong bank account? - Interview
1. Do not go to the bank alone. Have with you a local lawyer or registered agent. The best is, when you can have also some foreign lawyer with you. Banker will see, you are a serious business willing to play by the rules.
2. The clothes is extremely important. If you are a man, you have to wear a suit. You can hav a black, dark blue, or grey. No other colors. The same your foreign lawyer and a local lawyer or registered agent. Wear conservative shoes. No sandals.. You will need a conservative watch. Do not wear a scarf nor tie.
3. Have a leather briefcase or diplomatic bag. Have a metal case for a business cards. You need to have all documents and folders in a briefcase or diplomatic bag.
4. In an interview, introduce your local lawyer and your foreign lawyer first. Just before you introduce yourself. They have to have a business cards with them. At the time of introducing, they have to hand over their business cards to the banker. Check their business cards in advance if it looks realy serios and contains all necessary information.
When introducing yourself - hand over your business card to the banker. At the same time give a bag with a little gift to the banker. It is not a corruption. It is a little gift. Bankers loves a gifts. It is all about how you let them feel about you.
5. The most of foreigners just answer a questions of bankers, because they does not know, what is important. And banker know, if you are a professional or not. If you play their game, youre chances are too low. You have to keep initive al this meeting in your hands. When banker asks a first question about your company, do not answer. Politely tell him, tha you would like to introduce your company and go through company business plan point bny pont. And tell him, that you are ready to answer all his questions afterwords.
Open your briefcase of diplomatic bag and handle all 4 company folders with materials about your company and business company - one to the banker, one to your foreign lawyer, one to local lawyer and one for you.
Open the folder and take out Business plan and printed materials about your company. Your local lawyer and foreign lawyer has to do the same. You will see - banker will follow you. You have him at your power, now. You are playing a game by your rules.
Start with a company introduction. Slowly turn pages and speak about your company fluently. Every few minutes use some phrase how you are looking forward for a cooperation with the banker, or how great this bank is.. Do nos speak more than 5-7 minutes. Just after, explain your company business plan. Point by point. Do hot be hurry. Let banker to read business plan, let him to read a numbers. Accent total amounts of expected turnover.
Just after, ask a banker, if he has any questions. The most of them will be just about what you talked a few minutes before. Do not be nervous. It is a game only. It does not matter how many times will banker ask the same question in other forms. Just answer. Quietly, friendly and be polite. Smile as much as you can.
6. When banker will start filling a forms, be sure he will file a data, which are absolutly in a harmony with your business plan.
7. When you will be leaving an interview, just say him, that you are realy happy that you spent sime time with him.
What to do the same day after the meeting:
1. Write a short email directly to the banker - Say thank you for opportunity to get to know him and that you are looking forward to cooperation. The same has to be done by your foreign lawyer and by your local lawyer or agent.
Guess what the banker will do just after you leave... He will scan a QR code from your business card. If the first what he will see is your photo and name, he will smile. He will read all data on your company website afterwords. If everything will be in a harmony with your printed company materials and a business plan, you have a very high chance to have acount openned, soon,.
Be sure, that if you do everything right, he will file excellent opinion about you and your business into their system. The person on department, who is responsible to make decision about the account openning will likely open your account. Opinion of the banker is 90 % of success. Just 10 % is everything else.
If banker opinion about you is positive, the person in a background will just check your name and passport in a few international blacklists, will check a company website. Be prepared, that that person who will be doing a backgroun check on you, will try to call a phone number from your business card and phone number on your company website as well.
You need to have a 2 different numbers. One is a Hong Kong mobile phone. When they will call you on that phone, just respond by saying your name and a company name. On a virtual landline, you need a virtual PBX with greetings recording. Never forward your calls from this number to your mobile number. The greetings audio shall ask them to file a correct extension. Whereas that person will not know a correct extension, whey will end a call. This will let them feel, you are a real company with more extensions, more people..
Your account will be openned in a few days..
What to do after?
Your banker has to file his opiniot about you and your company every 6 months. It is absolutely important to build a relationship with your banker. Call him every one month. At least for a few minutes. Just ask him how is it going, if there is anything what you can do for him... Like to be calling to a friend. Write him some polite email every 3 months. Just say that you are happy to know him and be a customer of the bank..
If you will have active relationship with a banker, he will write a positive review about you every time. Accounts with negative reviews are closed. Do you know, what KYC means? KYC - Know Your Customer. It does not mean - meet your customer once on interview and never more.. Word know means to know in a real. It is not just about having some papers in your file. It is about bankers knowledge about you, your business...
Send a banker a small gift on important chineese holidays and feasts. Try to make him your friend. Also when you live in a foreign country.
Conclusion:
Banking in a Hong Kong is about feelings and relationships. Make banker feel good and build relationships. If you will do it right, all doors will be openned for you.
There is no way how to have openned a business bank account in Hong Kong, or> my Hong Kong business bank account was closed.
The most of what I write is just based of total ignorance and not understanding how business and banking in a Hong Kong works.
The most of people does not know how to work with Hong Kong banks and bankers.
I am international lawyer. I work in offshore industry for more than 15 years. In that years I build a the ability to see connections that other people do not see. I have ability to analyze the small details that make the difference between success and failure.
Here is a truth from a real experiences:
If you try to open bank account in Hong Kong remotely - you will fail. Banking law in Hong Kong does not allow to open accounts remotely, now. If anyone is trying to say oposit, it is just not a truth.
If you will walk to the bank alone and show that you are a one man show - they will not open an account or if they will, it will be closed soon. Hong Kong banks are too huge. They do not need your money from a small business. Small businesses are too hig risk for almost no profit in exchange.
If you will show just 2-4 pages business plan prepared in a standard template to the bank - they will not open an account or if they will, it will be closed soon. You are showing them, you are too small and you are not willing to invest a few bucks to make things necessary for successfull business.
If there are no transactions or just a few transactions with a low amount - account will be closed. Bank is a business like any other. They are not a charity. Its purpose is to earn a money. Monthly maintenance fees in Hong Kong are low. They earn money on transactions. If you do not let bank earn some money, why whould they keen you onboard? Every small business means risk for them. It have to be balanced by reasonable profit.
If the only time when you see your banker is the day of bank account openning account will be closed. I will explain later the reason.
Here is is how it works:
Hong Kong is a jurisdiction with strong chineese mentality. This mentality is build on creating a stable relationships.
Hong Kong banks are not interested in a small businesses nor one man shows.
How to be successful and have your account lasting?
1. Before openning a Hong Kong bank account - you will need a Hong Kong mobile number + Kong Kong virtual landline - bank want to see your willingness to do something for them - they does not feel safe to communicate with you on a foreign phone numbers. Business which has a foreign number means too mich risk for them. And none Hong Kong banker will call you to a foreign phone number in case of need. If you are not a huge client.. Your banker has to feel secure. He needs to know, he can call a local number if he needs to speak with you.
2. Before openning a Hong Kong bank account - have a complete corporate design ready - hire some freelancer - there are many portals (guru.com, getafreelances.com, ...) - You will need logo, website desing, letter head paper, business cards, folder, envelopes.
3. Before openning a Kong Kong bank account - have your web funcional - your web must contain your hong kong address, hong kong phone number and at least some basic terms and conditions. Photo of company director with its name is absolutely huge advantage.
4. Before openning a Kong Kong bank account - Hire some freelancer to write your business plan on your company letter head paper. No free templates to be used. It have to look realy profesional. Each banker loves numbers. There has to be calculations for next 3 years, included. As detailed as possible. No one will care in a future, if this numbers were correct - it was just a plan..
5. Before openning a Kong Kong bank account - Have printed your business plan in 4 copies. Have it in your company folder - this has to have your company design.
6. Before openning a Kong Kong bank account - Have printed a full buch of your company business cards. It should contain company logo, company name, company address, your position in a company, company phone number. QR code of company linked to website where is a company director photo is advantage. Having your photo on a backside of a business card is advantege. I will explain reasons later.
7. Before openning a Kong Kong bank account - Prepare a bag with a small gift for the banker - the best is something what you sell, or something else. Samples are good and helpfull.
8. Before openning a Kong Kong bank account - Hire some freelancer to write introduction materials about your company. You can use this texts on your website, later.
Do you know what is the most kept secret of Hong Kong bankers?
They file their opinion about you into the bank system just after your interview is finished. The most of its opinion is about how they feel about you and your business. Subjective opinion of the banker is very important. Your banker files opinion about you and your business into their system every 6 months.
How to act when openning a Hong Kong bank account? - Interview
1. Do not go to the bank alone. Have with you a local lawyer or registered agent. The best is, when you can have also some foreign lawyer with you. Banker will see, you are a serious business willing to play by the rules.
2. The clothes is extremely important. If you are a man, you have to wear a suit. You can hav a black, dark blue, or grey. No other colors. The same your foreign lawyer and a local lawyer or registered agent. Wear conservative shoes. No sandals.. You will need a conservative watch. Do not wear a scarf nor tie.
3. Have a leather briefcase or diplomatic bag. Have a metal case for a business cards. You need to have all documents and folders in a briefcase or diplomatic bag.
4. In an interview, introduce your local lawyer and your foreign lawyer first. Just before you introduce yourself. They have to have a business cards with them. At the time of introducing, they have to hand over their business cards to the banker. Check their business cards in advance if it looks realy serios and contains all necessary information.
When introducing yourself - hand over your business card to the banker. At the same time give a bag with a little gift to the banker. It is not a corruption. It is a little gift. Bankers loves a gifts. It is all about how you let them feel about you.
5. The most of foreigners just answer a questions of bankers, because they does not know, what is important. And banker know, if you are a professional or not. If you play their game, youre chances are too low. You have to keep initive al this meeting in your hands. When banker asks a first question about your company, do not answer. Politely tell him, tha you would like to introduce your company and go through company business plan point bny pont. And tell him, that you are ready to answer all his questions afterwords.
Open your briefcase of diplomatic bag and handle all 4 company folders with materials about your company and business company - one to the banker, one to your foreign lawyer, one to local lawyer and one for you.
Open the folder and take out Business plan and printed materials about your company. Your local lawyer and foreign lawyer has to do the same. You will see - banker will follow you. You have him at your power, now. You are playing a game by your rules.
Start with a company introduction. Slowly turn pages and speak about your company fluently. Every few minutes use some phrase how you are looking forward for a cooperation with the banker, or how great this bank is.. Do nos speak more than 5-7 minutes. Just after, explain your company business plan. Point by point. Do hot be hurry. Let banker to read business plan, let him to read a numbers. Accent total amounts of expected turnover.
Just after, ask a banker, if he has any questions. The most of them will be just about what you talked a few minutes before. Do not be nervous. It is a game only. It does not matter how many times will banker ask the same question in other forms. Just answer. Quietly, friendly and be polite. Smile as much as you can.
6. When banker will start filling a forms, be sure he will file a data, which are absolutly in a harmony with your business plan.
7. When you will be leaving an interview, just say him, that you are realy happy that you spent sime time with him.
What to do the same day after the meeting:
1. Write a short email directly to the banker - Say thank you for opportunity to get to know him and that you are looking forward to cooperation. The same has to be done by your foreign lawyer and by your local lawyer or agent.
Guess what the banker will do just after you leave... He will scan a QR code from your business card. If the first what he will see is your photo and name, he will smile. He will read all data on your company website afterwords. If everything will be in a harmony with your printed company materials and a business plan, you have a very high chance to have acount openned, soon,.
Be sure, that if you do everything right, he will file excellent opinion about you and your business into their system. The person on department, who is responsible to make decision about the account openning will likely open your account. Opinion of the banker is 90 % of success. Just 10 % is everything else.
If banker opinion about you is positive, the person in a background will just check your name and passport in a few international blacklists, will check a company website. Be prepared, that that person who will be doing a backgroun check on you, will try to call a phone number from your business card and phone number on your company website as well.
You need to have a 2 different numbers. One is a Hong Kong mobile phone. When they will call you on that phone, just respond by saying your name and a company name. On a virtual landline, you need a virtual PBX with greetings recording. Never forward your calls from this number to your mobile number. The greetings audio shall ask them to file a correct extension. Whereas that person will not know a correct extension, whey will end a call. This will let them feel, you are a real company with more extensions, more people..
Your account will be openned in a few days..
What to do after?
Your banker has to file his opiniot about you and your company every 6 months. It is absolutely important to build a relationship with your banker. Call him every one month. At least for a few minutes. Just ask him how is it going, if there is anything what you can do for him... Like to be calling to a friend. Write him some polite email every 3 months. Just say that you are happy to know him and be a customer of the bank..
If you will have active relationship with a banker, he will write a positive review about you every time. Accounts with negative reviews are closed. Do you know, what KYC means? KYC - Know Your Customer. It does not mean - meet your customer once on interview and never more.. Word know means to know in a real. It is not just about having some papers in your file. It is about bankers knowledge about you, your business...
Send a banker a small gift on important chineese holidays and feasts. Try to make him your friend. Also when you live in a foreign country.
Conclusion:
Banking in a Hong Kong is about feelings and relationships. Make banker feel good and build relationships. If you will do it right, all doors will be openned for you.
