Company registration in Macau

Macau as a gateway to Asia: opportunities in 2024

Macau in 2024 strengthens its position as a key business center aimed at attracting international investors. The region's government has introduced a five-year strategy to support sustainable economic growth and diversify the economy. One of the key elements of this plan is the development of the financial sector and the creation of conditions for technology companies. In 2024, Macau aims to increase the share of non-gaming industries in GDP to 60%. This includes actively promoting modern financial services and initiatives such as the launch of startup hubs and research clusters.

In addition to financial incentives, Macau is focusing on developing infrastructure for hosting international conferences and exhibitions (MICE). This expansion of the MICE sector is helping to transform the region into an international tourism and business meeting hub. The government is also actively engaging businesses from the health and sports sectors to create comprehensive solutions for long-term economic development. This multilateral approach makes company registration in Macau beneficial for those who want to enter the Asian market and take advantage of unique conditions.

Macau offers favorable conditions to foreign companies. The program is aimed at helping in opening a business. MainlyA strong emphasis is placed on facilitating procedures. Administrative barriers have also been reduced. Tax rates have become more attractive. The program includes grants for innovation. Companies with unique projects can receive subsidies. Access to the Chinese market is open. Preferential taxes attract entrepreneurs. Government support remains stable.

International Quality Development (IQD) program: what it is and how it works

The International Quality Development (IQD) program, initiated by the Macau government, is aimed at attracting foreign direct investment and developing key sectors of the economy. This project provides companies wishing to start operating in the region with significant tax benefits and administrative relief, including simplified licensing procedures and reduced regulatory barriers.

The program includes a number of incentives for companies that want set up a company in Macau, including subsidies for start-up costs and access to government grants for innovative projects. The authorities are actively promoting the IQD initiative as part of the “1+4” strategy, which is aimed at reducing the region’s dependence on the gambling business and expanding its economic base. In particular, the emphasis is on the development of four new areas: modern financial services, healthcare, technological innovation and the MICE sector (Meetings, Incentives, Conferences, and Exhibitions). In 2024, new support measures were launched as part of this program, which makes business registration in Macau much atmore attractive for foreign investors.

The Macau government sees IQD not only as a way to attract capital, but also as a means to improve the region's competitiveness in Asia. Within the framework of the program, mechanisms for rapid access to the markets of China and other countries in the Asia-Pacific region have been developed. As a result, Macau is becoming an important hub for companies looking to expand their presence in the Asian market, as evidenced by a rise in the number of registered firms and a 12% increase in foreign direct investment in 2024.

Laws

Choice of legal form

There are different forms of companies in Macau. Each is suitable for different business goals and levels of responsibility. Popular ones include Sociedade por Quotas (LDA) and Sociedade Anónima (SA). There are other forms that allow flexible management.

All forms are regulated by the Commercial Code. The Code defines the rights and obligations of the parties. Understanding shapes is important for choosing a strategy. 

Choosing the right form helps optimize taxes. It also protects the interests of owners and ensures efficient management.

Registration procedure: step by step

The modus operandi for corporate enlistment in Macau encompasses a series of imperative phases that necessitate completion in an unyielding progression. Each stage mandates rigorous adherence to statutory ordinances to guarantee the prosperous inception of the corporation and the commencement of ventures. In the year 2024, the Macau administration alleviated a plethora of formalities for overseas capitalists, abbreviating the cumulative registration duration to 15 business intervals. Let us now scrutinize the particulars of each echelon in this procedure.

1. Name reservation. The first stage is to open a company in Macau, is to select and reserve unique name. According to the Commercial Registry, the company name should not be repetitive or too similar to existing firms. After submitting an application and checking its uniqueness, the selected name is reserved for up to 90 days. It is important to remember that the reservation fee is approximately 200 MOP (about 25 USD). This allows you to avoid situations where conflicts may arise due to name matches at subsequent stages of registration.
2. Preparation of constituent documents. After reserving the name, the next step is preparing the documents. The main documents include the Charter and the Protocol of the founders. For foreign founders, translations into Chinese or Portuguese are required. All translations must be notarized.
3. Filing an application in the Commercial Registry. When all documents are ready, they must be submitted to Commercial Registry along with the application form and office rental agreement. In 2024, registration fees range from 1,500 to 3,000 MOP (approximately 190–375 USD), depending on the size of the authorized capital and the type of company. The document verification process takes from 7 to 15 working days. At this stage, the company receives a temporary certificate confirming that all legal formalities have been completed, and the company can proceed with the registration of other documents.
4. Obtaining a registration certificate. After opening a bank account and submitting its details to the Commercial Registry, the company receives a final certificate confirming the right to conduct commercial activities. This document allows the company to officially begin operations, sign contracts and open branches in Macau. Full registration takes from 20 to 30 working days, depending on the complexity of the company structure.

So the process is to register a company in Macau, Involves six key steps and requires strict adherence to all procedures. Successful completion of all steps allows you not only to work legally in Macau, but also to gain access to the markets of China and the entire Asia-Pacific region, which makes the region a promising place for business.

Taxation and financial benefits

Macau's tax system in 2024 is attractive for business. Low profit rates remain relevant. There is no VAT charged here. This creates favorable conditions for companies. The system encourages the registration of new businesses.

A simple tax regime reduces business costs. This makes doing business cheaper. Company registration in Macau - a profitable solution. This choice is suitable for entrepreneurs who reduce their tax burden.

The rudimentary corporate levy in Macau is a pecuniary excise, the quotient of which fluctuates contingent upon the enterprise's revenue. Pursuant to the Macau Complementary Fiscal Code, it is levied upon all emoluments procured by entities inscribed in Macau, irrespective of the situs of their domicile or headquarters. An anomaly is rental returns derived from immovable property sited in Macau, which are taxed autonomously under the real property imposition schema.

Cumulative supplementary fiscal levies fluctuate from 3% to 9% for gains up to MOP 300,000, with remuneration surpassing this demarcation subjected to a 12% surcharge. Earnings beneath 32,000 MOP are immune from imposition. Pursuant to the 2024 financial plan ratified by the Legislative Assembly, the exemption benchmark was augmented to MOP 600,000 for proceeds procured during the fiscal annum of 2023. Profits transcending MOP 600,000 are liable to a 12% assessment. Such alterations must be corroborated annually, save for those delineated in the pertinent fiscal statutes.

It is likewise paramount to observe that Macau imposes no levies on emoluments, principal, pecuniary accretions, or remunerations, rendering it alluring to transnational fiduciary conglomerates and pecuniary syndicates.

The categories of fiscal obligors in Macau are partitioned into two classifications:

• Group A: This consortium encompasses enterprises possessing a chartered capital of no less than MOP 1 million or demonstrating an average gain surpassing MOP 1 million over a triennial period. Additionally, included within this classification are the progenitor entities of multinational conglomerates. Entities in Group A are mandated to uphold exhaustive fiscal ledgers, and their taxable earnings are computed on an actualized foundation, subject to fiscal recalibrations.
• Group B: This consortium comprises solitary entrepreneurs and corporations that fail to meet the stipulations of Group A, alongside those who neglect to retain meticulous fiscal chronicles. The revenues of such establishments are computed on a presumption framework if the disclosed income falls beneath internal thresholds delineated by fiscal authorities for analogous sectors.

Macau's tax system helps companies streamline operations. Companies avoid high income taxes. In neighboring countries the rates are higher. For example, in Hong Kong - 16.5%. In Singapore the rate is 17%.

Macau stands out for its lack of VAT. There are also no value added taxes. This reduces costs for products and services. This is an advantage for exporters to the Asia-Pacific region.

Accounting services and compliance

Accounting services in Macau includes mandatory record keeping, tax return filing and financial reports, as well as compliance with audit requirements. In 2024, local regulators strengthened their enforcement of financial transparency as part of anti-money laundering and anti-terrorist financing (AML/CFT) measures. This is due to Macau's growing role as an international financial center and its desire to meet global corporate governance standards. As a result, companies must strictly comply with all accounting and reporting requirements to avoid penalties and loss of business reputation.

In accordance with extant legislation, every corporation is obliged to submit fiscal declarations annually to the Bureau of Fiscal Affairs. Abbreviated documentation templates are furnished for diminutive and medium-scale enterprises, yet grandiose corporations are mandated to undergo obligatory examinations. As of 2024, the median expenditure for audit services for enterprises with an annual turnover exceeding 1 million MOP (approximately 125,000 USD) fluctuates between 50,000 to 150,000 MOP (roughly 6,250 to 18,750 USD). The expenditure is contingent upon the intricacy of the corporate framework and the requisition for supplementary consultations. For entities that transgress reporting timeframes or furnish erroneous information, pecuniary penalties may ascend to 100,000 MOP (around 12,500 USD), coupled with an interdiction on commercial activities until the infractions are rectified.

In addition to financial reporting, companies are required to file tax returns and comply with all local tax laws. In 2024, corporate income tax is 12% on the first 600,000 MOP and 15% on amounts above that threshold. This tax regime makes accounting services in Macau relatively simple compared to other Asian jurisdictions such as Hong Kong or Singapore, where rates can reach 17% or higher. However, the slightest deviations from established standards can lead to unscheduled inspections and the imposition of additional tax obligations.

The problem of compliance with regulations is especially relevant for companies with foreign participation. According to IPIM (Institute for the Promotion of Investment in Macau), in 2023, the share of foreign companies accounted for about 37% of all registered firms in the region. Most of them face difficulties adapting to local reporting standards, which requires the involvement of qualified accountants and lawyers. 

It is important to consider the statutory audit requirements, which include not only reviewing financial statements, but also assessing the compliance of all company activities with local and international regulations. The audit is conducted on the basis of standards approved by the Macau Accounting Standards Board and should include an analysis of income, expenses, capital structure and internal controls. The presence of all these measures allows Macau to maintain a high level of confidence from investors and partners, which is especially important for companies operating under the Belt and Road Initiative.

As a result, accounting services in Macau requires careful approach and compliance with all requirements. Companies that fail to comply with the law can face serious consequences, ranging from heavy fines to complete shutdown of operations. To minimize risks and ensure stable operation in the market, it is recommended to attract qualified local specialists who will help adapt to the local accounting system and regulations.

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Buying a ready-made company as an alternative

Procurement of a chartered enterprise in Macau – a lucrative alternative. This holds pertinence for individuals desirous of expeditiously infiltrating the marketplace. This acquisition permits the commencement of one's venture without delay. Crucial when time is of the essence. The enrollment of a nascent corporation may demand several weeks.

In 2024, Macau simplified the process of purchasing shelf companies. This makes the option even more attractive for foreign investors. This way, the business can be started right away.

Acquiring an enterprise in Macau presents merits such as curtailed temporal requirements for structural phases, comprehensive juridical entitlements, and instantaneous functionality. As of 2023, dormant corporate procurements represented 18% of mercantile exchanges involving extraneous capitalists, signifying an escalating fascination with this ingress tactic.

The cost of verification depends on the company. It can vary from 30,000 to 100,000 MOP. This is about 3,750–12,500 USD. Checking helps avoid hidden problems. It identifies debts, lawsuits and other risks.

As a result, purchasing a shelf company is a convenient way for foreign entrepreneurs to quickly open a company in Macau and start working on the market. This method is especially beneficial for those planning to use Macau as a regional base for expansion into Chinese and Asian markets, thanks to the favorable tax regime and support from local authorities.

Liquidation and transfer of a company to service

Liquidation of a company in Macau is a multi-step process that requires compliance with local regulations and careful preparation of documents. This process can take anywhere from 6 to 18 months depending on the type of liquidation and company structure.It is paramount to differentiate between two principal categories of dissolution: discretionary dissolution (on the condition that the enterprise is not encountering fiscal tribulations) and obligatory dissolution, wherein the enterprise is incapable of fulfilling its commitments to creditors. The selection of dissolution variant hinges on the fiscal state of the establishment and the aspirations of the proprietors.

1. Dissolution of an enterprise in Macau. This undertaking commences with the ratification of a decree by stakeholders at a plenary convocation. In the primordial phase, the corporation designates a liquidator, who is compelled to submit a communique to the Mercantile Registry and commence cessation protocols. In 2024, the mean expenditure for juridical liquidation amenities fluctuates between 50,000 and 150,000 MOP (roughly 6,250–18,750 USD), contingent upon the intricacy of the configuration and magnitude of the assets of the establishment. The dissolution regimen comprises the ensuing stages:
   • Submitting a petition for dissolution. The dissolver presents to the Mercantile Register a petition and a protocol of the shareholders’ convocation corroborating the resolution to terminate the corporation.
   • Nomination of the dissolver. The dissolver must be vested with plenary authority to administer the corporation’s holdings, discharge liabilities, and apportion assets.
   • Intimation of creditors and concerned entities. The dissolver is obliged to apprise all known creditors of the initiation of dissolution. Should there be obligations, all encumbrances must be liquidated prior to the formal cessation.
   • Disposal of holdings and settlement with creditors. The corporation’s holdings, encompassing immovable property and apparatus, are liable to disposal. The proceeds are allocated to satisfy encumbrances.
   • Presentation of the dissolution financial statement. Upon the completion of settlements, the dissolver is to submit a conclusive dissolution financial statement to the Bureau of Fiscal Affairs.
2. Company bankruptcy in Macau. If financial difficulties arise and the company is unable to fulfill its obligations, bankruptcy proceedings become necessary. This process may require court intervention. If a company is unable to pay its debts, the court may appoint a provisional liquidator and initiate forced bankruptcy proceedings. In 2024, about 12% of cases bankruptcy in Macau was initiated by creditors, indicating an increase in the number of companies experiencing financial difficulties in the region. In such situations, the liquidator is required to provide the court with a detailed account of the state of the company's assets and propose a plan to satisfy the claims of creditors.
   • Appointment of a provisional liquidator. The court can appoint a provisional liquidator, who takes over the management of the company and is responsible for the sale of assets and settlement of debts.
   • Court hearings and approval of the liquidation plan. All actions of the liquidator are controlled by the court, which requires additional time and increases costs.
   • Settlements with creditors and distribution of funds. In case of forced closure, the payment procedure is followed. The claims of secured creditors are satisfied first. Then there are the employee requirements. Shareholders receive payments last.

As of 2024, about 22% companies in Macau chose a transfer to a new service instead of liquidation, which allows us to minimize costs and preserve the legal structure of the company for future use. The procedure for liquidating a company or transferring it into service requires careful compliance with all legal regulations and control by shareholders and creditors. Successful completion of all stages allows you to close the company or optimize its management without loss of business reputation and additional financial risks. It is important to engage qualified attorneys and auditors to ensure that all actions are fully compliant with local laws and requirements.

Gambling and entertainment sector: opportunities and regulation

Gambling sector in Macau is one of the largest in the world and generates a significant portion of the region's income. In 2024, despite plans to diversify the economy, the gaming industry remains a key part of Macau's business environment. The main regulation of casinos is carried out in accordance with new licenses issued in early 2023, which involve stricter controls and increased requirements for operators. This allows us to ensure market stability and create a transparent environment to attract new investors.

Registration of a company in Macau Gaming-related activities require compliance with strict requirements, including obtaining a special license to operate a casino or related services (for example, hospitality or entertainment). Companies wishing to enter this market must prove their financial viability, have a clear development plan and comply with the rules of the Gaming Inspection and Coordination Bureau (DICJ). At the end of 2023, the total number of active casino in Macau was 41, and the total revenue from the gambling sector reached 130 billion MOP (about 16.2 billion USD). This highlights the importance of careful compliance with all regulations when business registration in Macau.

Companies that wish to obtain a gaming license have high minimum capital requirements and must obtain planning approval from the DICJ. The cost of applying for a license can be up to 10 million MOP (about 1.25 million USD), and the application process takes up to 12 months. Inspected companies are required to adhere to responsible gaming rules and implement anti-addiction programs, making the sector highly regulated and socially responsible.

Thus, company registration in Macau Gambling business requires a comprehensive approach and strategic planning, but can open up great opportunities for companies that can meet the high standards of the market.

Macau's affiliation with China and function in the Silk Road and Belt Endeavor

Macau is adroitly situated within the BRI. This renders it a pivotal nexus for ingress into Asian markets. In 2024, the area is vigorously cultivating infrastructure. It fortifies its stature as a mercantile, logistical, and fiscal epicenter.

Under the BRI, Macau serves as a platform to connect the economic interests of China and other countries. The region is strengthening trade and investment ties. Companies opening business in Macau, receive unique opportunities.

They have access to integration into fast-growing markets. Companies can also count on support programs from the Chinese government.

The augmentation of infrastructural frameworks constitutes a pivotal segment of Macau’s engagement in the Belt and Road Initiative (BRI). For instance, the Hong Kong-Zhuhai-Macao viaduct undertaking has been inaugurated. The erection of a novel maritime terminal is likewise in progress. These endeavors enhance transit currents between territories. They aid in the proliferation of transshipment commerce. The emergent nexus truncates conveyance durations. Freight expenditures are diminishing. This is salient for global enterprises. Logistical operations and dissemination are rendered more proficient. These circumstances are propitious for corporations contemplating the orchestration of consignments.

The Macau government offers tax incentives. Regulatory procedures for companies have also been simplified. These measures apply to BRI participants. Companies are exempt from income tax. The benefit can last up to five years.

This support extends to infrastructure projects. It also covers innovative developments. Such conditions attract international investors. They create a stable business environment. In 2024, registration has become easier. This is especially beneficial for strategic investors.

The active support of the Chinese government is also important. Macau is becoming a significant entry point for companies. It is convenient for entering global markets.

Technological innovation and startups in Macau

Macau is actively developing its high-tech sector, offering new opportunities for start-ups and innovative companies seeking to enter the region's market. As part of the "1+4" strategy, the Macau government has set itself the goal of reducing the economy's dependence on gambling and increasing the contribution of other sectors such as healthcare, financial services, technological innovation and cultural tourism. This program runs from 2024 to 2028 and is aimed at attracting high-tech startups and investors, making the region an attractive platform for those planning open a company in Macau or expand its operations in the Asia-Pacific region.

Registration of a technology company in Macau comes with benefits. Authorities provide subsidies for start-up costs. Also Tax credits and government grants are available. These measures support the creation of a Smart City. The government is developing a platform for innovation.

Particular attention is paid to projects with artificial intelligence. IoT and IT developments are also supported. In 2024, the IPIM Institute organized investment events. They attracted startups from China and Asia. More than 65 companies have expressed interest in Macau. These are companies in the health and technology sectors.

Companies plan to use Macau as a base. This will allow them to expand into international markets.

Also an important element of the ecosystem innovation in Macau is the creation of business incubators and acceleration programs. In 2024, InnoLab Asia offered a range of programs for startups that include mentorship, marketing support, venture capital and international internships. These programs help startups accelerate time to market and strengthen their position in the global innovation environment. Participation in such initiatives allows startups not only to benefit from funding, but also to gain access to networking and interaction with large corporations and research centers.

Macau creates favorable conditions for business. The region actively supports technology and innovation. The government provides assistance and opens access to markets. The startup ecosystem here is growing rapidly.

Macau is becoming an important hub for business. It is a hub for companies looking to innovate in Asia. The region offers opportunities for global growth.

Successful cases

Macau is zealously cultivating its avant-garde technology domain in an endeavour to allure global nascent enterprises and capitalists. As a component of the "1+4" paradigm, the administration proffers援助 initiatives and stipends to invigorate the proliferation of groundbreaking establishments. Let us examine a handful of prosperous illustrations.

• Ohana Family is a startup that has developed a platform for family leisure and health. In 2024, the company raised 3 million MOP (about 375,000 USD) and received a government grant, which allowed it to expand its services and enter the mainland Chinese market.
• Macao InnoLab is an innovation center that supports startups in the fields of IT and biotechnology. Since its inception, the center has attracted more than 65 startups and over 25 million MOP (3.1 million USD) in investments and grants. In 2024, InnoLab increased cooperation with Chinese universities for joint development.
• Alibaba inaugurated a bureau in Macau in 2023, perceiving the territory as a pivotal stronghold to augment its cybernetic and logistical offerings within the Greater Bay Zone. The corporation champions the evolution of indigenous ventures by facilitating ingress to its innovations.
• Huawei Cloud Innovation Center supports startups in cloud technologies and 5G. The center has attracted more than MOP 50 million (USD 6.25 million) in investment and partners with local universities to promote innovative projects.

Thus, Macau is becoming a center of technological innovation, offering a favorable environment for start-ups and companies focused on high technology and international markets.

Conclusion

Company registration in Macau provides international entrepreneurs with a number of unique advantages. The region offers favorable conditions for doing business thanks to a liberal tax system, no restrictions for foreign investors and stable legislation. Foreign companies can choose a suitable business form, taking advantage of flexible corporate governance rules and reliable protection of property rights. However, the registration process requires compliance with all local laws and the specific legal regulations of Macau.

If you are planning open a company in Macau, Our team is ready to offer professional advice and full support at all stages so that you can confidently start your business in this dynamically developing jurisdiction.