What is a Company Secretary and How does it Affect Your Business

Efficiency in a company is indeed boosted with a skilled company secretary. A company secretary duties Hong Kong involves a myriad of tasks that ensure that the company operations are in check.
A company secretary in Hong Kong needs to fulfill their duties and responsibilities because it can, directly and indirectly, affect the flow of work in the company as well as long-term success.

Definition of a Company Secretary in Hong Kong

A Hong Kong company secretary is a combination of an officer and a gatekeeper. These individuals make sure that a company fully complies with applicable laws and regulations governing the niche of work of a company.

Directors and shareholders usually could not accommodate the tasks of a company secretary. Similarly, the board of directors or a sole director cannot act as a company secretary. 

There are also differences in the roles of a company secretary and a secretary. A secretary in Hong Kong would have duties limited to handling clerical duties. On the other hand, the company secretary duties Hong Kong involve far more advanced responsibilities. 

A company secretary plays a crucial role in a company’s legal maintenance. Therefore, this position is indeed demanding because of the needed prudency and experience with working around legislation.

Is It Necessary to Appoint a Company Secretary?

It is a requirement in Hong Kong to have a companies registry for the company secretary role. A Hong Kong compliance ordinance, named Companies Ordinance Cap. 622 mentions the requirement of appointing a company secretary.

Appointing a company secretary is a statutory requirement. Hence, the ordinance stipulates that registration would be hindered if the role is not filled.

Aside from being required to appoint a company secretary, there exist numerous reasons why this role is essential. It does not have to be limited to completing a statutory document of the company as seen in the latter part of this article which enumerates the duties of a company secretary.

Company Secretary Duties in Hong Kong

A company secretary fulfills many roles for the company. These individuals are the head administrator of the company.

Here are some of the specific company secretary duties Hong Kong. Each of these must be carefully taken into consideration when picking an appropriate candidate for the position.

• Keeping company records

The secretary makes sure that the records and books of the company are well-documented and updated. Moreover, these records would help them know if they are still compliant with the laws of Hong Kong authorities.

Moreover, the company secretary must register the statutory records and make them available when needed. Instances where these documents are required are during inspections or filing of tax returns.

• Acts as a liaison officer that connects the company to the government when needed

Bridging the company to the government means that the company secretary is well-educated to engage in these skills. So, the company secretary is professional, responsible, and well-informed.

Indeed, there are numerous regulatory bodies in the government. And it is expected of a company secretary to report to all of them, as needed.

Furthermore, the company secretary can also inform authorities and the government of changes in the management of their company, as well as appointments and resignations of their directors.

• Can extend decision-making, governance, and administrative processes as needed.

Furthermore, there are instances where the company secretary extends their duty to perform sound advice to directors of a company. This is based on the fact that the company secretary is capable of incorporating their knowledge in administrative tasks and the practice of the law.

• Ensure compliance of the company to policies in Hong Kong

To ensure compliance of a company, the company secretary must first have the utmost understanding of the policies and guidelines that exist. From here, the company secretary can provide the necessary duties that the company must fulfill to also avoid penalties.

• Organizing and attending board meetings

The company secretary is also tasked to organize board meetings. The scope of these tasks includes giving notices of meetings, preparing the agenda, circulating the documents needed for the meeting, and compiling the minutes of the meetings.

• Produce, publish, and distribute the company documents

After meetings or important administrative decision-making, the company secretary is tasked to disseminate information to the company. Formal communications are also undertaken by their role.

Essentially, the company secretary is responsible for keeping the company on track with the needed legal obligations. This makes sure that they will not miss out on any communications and deadlines to authorities.

How To Choose a Company Secretary

Choosing a company secretary needs ample decision-making. And, as stipulated by the legislation, there are certain requirements to claim the position.

• Firstly, the company secretary should not be the company’s sole director
• The individual should be a person that is over the age of 18 or a legal entity 
• The company secretary must be an ordinary resident of Hong Kong
• In cases where a company is opted to fill the position, it must have a registered address in Hong Kong
• The body with the capacity to appoint a company secretary is the director.
• It is best to choose service providers which have TCSP licenses for your company’s secretarial needs.

A company can rely on a candidate’s professionalism, prior experience, and efficiency. Choosing a company secretary could be based on these three criteria.

Professionalism pertains to a candidate’s keen understanding of the laws and regulations. And, their professionalism and mastery of the field are further sharpened by having a record of high-quality performance in similar jobs in the past. 

Lastly, do not forget that a company secretary will be bombarded with numerous tasks. Hence, these individuals must have what it takes to be efficient through time management.

How We Can Help?

A company secretary’s duties Hong Kong involve a combination of personal skill set and dedication to the tasks at hand. And since it is not merely something to fulfill an ordinance in Hong Kong, choosing the best entity for the task is difficult.

We at Premia TNC have a suggestion for this dilemma. We are a group of skilled professionals that can fill the role of company secretary in Hong Kong. Given our team of knowledgeable and efficient individuals, working with a company will be a breeze.

Our team is always open for communications regarding the filling of a company secretary role. We have our lines open and we are ready to accommodate clients in need.