BMP Wealth regularly works with a network of global professionals. These include lawyers, accountants, tax and trust advisers, company secretaries, property agents and commercial banking resources. We bring the right team together for a company’s specific needs, so that our corporate clients benefit from unique solutions. Most commonly requested business advice revolves around the following:
Tax efficient employee benefits
A well constructed employee benefits package can act as a very cost effective way of recruitment and retention. Buying an employee benefits package can also reduce the company profits tax bill. Alternatively, salary sacrifice means that employees can pay for benefits, but save the tax associated with the benefit cost.
Employee benefits usually include:
- Group insurance such as life cover, travel insurance, income protection, medical or critical illness. Joining a group scheme is usually a cost effective way for your staff to obtain protection and peace of mind.
- Mandatory Provident Fund scheme is a legal requirement for all employers to provide their Hong Kong staff with. These schemes are mandatory retirement savings and form a vital element of Hong Kong’s long-term retirement solutions.
- Staff working arrangement, which can include advice on flexi-hours, holidays, bonus calculations and team building events.
Business continuation involves risk management strategies to transfer or remove risks that can jeopardise your business. These usually include:
- Shareholders’ protection. A facility to provide companies with the resource to acquire shares from the estate of a co-shareholder who may have died or become permanently disabled. By retaining the shares within the company, the company retains control and value.The alternative is the person who inherits the shares become a member of your board of directors and usually add very little, if any, value. They also drain company profits by taking an income and/or dividends.
- Key Persons Insurance. While most business owners understand the need to protect against unforeseeable risks related to their capital assets – fire and theft coverage for example – risks relating to another key asset, human capital, are often overlooked. What happens to your profits if your top sales person, your top research analyst or your partner with specific knowledge or contacts passes away or becomes permanently disabled? Key person protection will provide funds to your business, which should be enough to cover loss of profit and the costs associated with recruiting another person, or sufficient to distribute amongst shareholders and creditors if the business is dissolved.