What are the differences between shareholders and directors?
Shareholders and directors are different in comparison in the following rights and obligations:
Shareholders' rights and obligations are as follows:
To take part in meetings of shareholders, and entitled to voting power in proportion of shareholding
To understand the operating and financial conditions of the company
To elect and to be elected as members of Board of Directors
To obtain dividends
To pre-empt shares transferred by other shareholders
To subscribe in priority the shares newly issued by the company
To have distribution from the remaining property after liquidation of the company
The meeting of shareholders shall consider and pass the annual auditors' report
To employ or dismiss directors in shareholders meetings and determine directors' remuneration
Directors' rights and obligations are as follows:
To take charge of ordinary operations and decisions of the company
To keep accounting book and businessrecord
To take charge of bank account management
To secure the loan borrowed with the company's property
To propose profits distribution scheme
To propose authorized capital increase scheme
To convene meetings of shareholders
To execute resolutions passed at meetings of shareholders
Can the shareholder and director be the same person?
Yes. The shareholder and director of the companycan be the same person.
How many shareholders and directors shall a limited company have at the least?
At least one shareholder and director, which can be the same person.
Can non-Hong Kongresidents become shareholders and directors of Hong KongLimited Company?
Chinese residents or overseas persons who over 18 years old and holding passports or ID cards can become shareholder or directors of Hong Konglimited company.
Is it necessary for non-Hong Kongresidents to hold passports in order to be shareholders and directors of limited company?
No. But if the company wants to open a bank account in Hong Kong, shareholders and directors shall hold valid passports or travel permits and ID cards.
Can limited company act as shareholder or director of another limited company?
Yes.
Can the information of directors and shareholders of the company be made available to other persons?
Yes. All information of limited company registeredin Hong Kong, including names, addresses and shareholding percentage of shareholders and names, ID card numbers or passport numbers and addresses, shall be available to the public. If the information of shareholders and directors want to be kept confidentially, Blueprint can provide services of nominee shareholder and nominee director.
