Q: the purpose of my set up HK company is to apply for a joint venture or wholly foreign-owned enterprise in the mainland. The shareholders of the Hongkong company are all mainland residents.

Generally speaking, Hongkong companies can be made up of mainland shareholders. But if a foreign joint venture or sole proprietorship is to be established, the foreign trade and economic cooperation will usually invite at least one overseas shareholder to sign the document.

In this sense, it is necessary to arrange an overseas shareholder to enter the company.