TCSP Licence in Hong Kong: A Guide for Trust or Company Service Providers

For startups entering the Trust and Company Services sector in Hong Kong, securing a Trust & Company Service Provider (TCSP) license is mandatory for legal operation. Moreover, it’s important to keep in mind that the process can be complex due to the requirements in place.

To assist you in this critical endeavor, this article is created to provide a detailed roadmap on the regulatory framework and the steps for obtaining the TCSP license. Read more now!

What is a Hong Kong TCSP license?

A Hong Kong Trust or Company Service Provider (TCSP) license is an authorization granted by the Registrar of Companies⁽¹⁾. It allows the holder to carry on a trust or company service business in Hong Kong, including forming corporations or other legal persons, providing registered office or business addresses, and acting or arranging for another person to act in specified corporate or trust roles.

Under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (AMLO), any person carrying on a trust or company service business in Hong Kong must hold a valid TCSP license unless an exemption applies. The licensing regime took effect on 1 March 2018.

Sample of a Hong Kong TCSP License (source: Hong Kong Companies Registry)

Beyond serving as a formal requirement, obtaining a TCSP license means that the applicant and each relevant person have satisfied the statutory fit and proper test. Among other relevant matters, the Registrar considers previous criminal convictions, compliance with the AMLO, bankruptcy proceedings involving individuals, and whether a corporation is in liquidation, subject to a winding-up order, or under receivership.

A TCSP license is normally valid for three years. A licensee wishing to continue carrying on its trust or company service business must apply for renewal at least 60 days before the license expires.

Which companies must obtain a TCSP license in Hong Kong?

Specifically in the landscape of Hong Kong, the TCSP license applies to a broad range of companies involved in trust and company service activities within the jurisdiction.

Examples of applicable businesses

Here are some common types of companies that fall within the scope of the TCSP licensing requirement in Hong Kong:

• Trustee services such as Hong Kong trust companies: These organizations provide trust and fiduciary services for individuals, families, and enterprises such as estate planning, asset protection, and trust management.
• Nominee shareholder services that involve acting, or arranging for another person to act, as a nominee shareholder for a person other than a corporation whose securities are listed on a recognized stock market.
• Provision of directors for companies that offer nominee director services to act on behalf of the beneficial owner, or to fulfill specific roles within the company

Whether a person provides trust or company services “by way of business” depends on all the circumstances. Relevant factors include whether the person:

• Undertakes one or more TCSP activities;
• Advertises or publicizes the business activity or receives referrals from other companies;
• Aims to make a profit from the activity; and
• Carries out the activity with reasonable or recognizable continuity.

This means both local and overseas enterprises operating in Hong Kong and within the industry fall under the purview of TCSP licensing regulations.

Exemptions to the TCSP license regulation

Exceptions to relevant enterprises obtaining a TCSP license in Hong Kong are typically rare and narrowly defined. However, certain entities or individuals may be exempt from licensing obligations under specific circumstances.

Under section 53B of the AMLO, the TCSP licensing requirement does not apply to:

• The Government
• Authorized institutions: Institutions within the meaning of section 2(1) of the Banking Ordinance, including licensed banks, restricted license banks, and deposit-taking companies
• Licensed corporations: Corporations licensed by the Securities and Futures Commission whose trust or company service business in Hong Kong is ancillary to their principal business
• Accounting professionals: Certified Public Accountants, Certified Public Accountants (Practising), corporate practices, and CPA firms as defined under the applicable legislation
• Legal professionals: Solicitors and foreign lawyers as defined under the Legal Practitioners Ordinance
• Prescribed persons: A person of a class or description prescribed by the Secretary for Financial Services and the Treasury by regulation

The treatment of accounting and legal professionals depends on their professional status and business structure. For example, a corporation that is not an accounting corporate practice must obtain a TCSP license even if its directors are accounting professionals. Corporations operated by legal professionals are also required to apply.

Please note that whether you’re exempted or not, engaging with legal professionals is crucial to staying compliant with the ever-changing landscape.

Penalty for TCSPs with no license

Engaging in trust or company service business activities in Hong Kong without a license is a serious offense under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance.

If an individual or entity is found conducting such activities without the required TCSP license, they can face severe penalties upon conviction. These penalties include:

• Fine: A person convicted of carrying on a trust or company service business without a license may be fined up to HK$100,000.
• Imprisonment: The person may also be sentenced to imprisonment for up to six months.

The punishments for offenders have emphasized the importance of obtaining the appropriate TCSP license before conducting service activities. In Hong Kong’s highly regulated financial environment, compliance is not only vital but also essential for maintaining business integrity and reputation.

Application process for a TCSP license for your Hong Kong business

Below is a general overview of the Trust Company Service Provider license acquisition process in Hong Kong.

Step 1: Fill in the application form set

First, there are several essential application forms for you to complete. The initial set, which requires a fee of HK$3,440, includes:

• Application for a Trust or Company Service Provider Licence (Form TCSP1)
• Supplementary Information Sheet for Form TCSP1 (Form TCSP1-SIS) on the nature of the intended business
• Supplementary Information Sheet 2A for Form TCSP1 (Form TCSP1-SIS2A) on the number of employees and the target customer segment.

Sample of Form TCSP1 (source: Hong Kong Companies Registry)

Step 2: Prepare Fit and Proper Criteria Statement

Besides the forms, applicants must submit a Fit and Proper Criteria Statement for each relevant person or firm, such as the applicant, ultimate owners, partners, directors, and responsible officers. The fit and proper criteria are fundamental requirements used to assess the suitability, integrity, competence, and financial soundness of individuals and entities seeking TCSP licenses.

A fit and proper statement must be submitted for each relevant person who is subject to the assessment:

• Form TCSP4 is used for an individual applicant, ultimate owner, individual partner or individual director.
• Form TCSP5 is used for a corporate partner or corporate director.

The application fee is HK$3,440, plus HK$975 for each person subject to the fit and proper test. A person exempt from the fit and proper test does not need to submit Form TCSP4 or Form TCSP5, but documentary evidence supporting the exemption must be provided.

Step 3: Prepare other essential required documents

After the form sets are ready, it’s time to prepare other documentation for the licensing process. Supporting documents vary depending on the applicant’s legal form and circumstances. Applicants should follow the checklist in Form TCSP1 and submit all documents applicable to their case, which may include:

• A copy of a valid Business Registration Certificate
• Information on the corporation group’s structure and percentage of shareholdings of each group member
• Details of key personnel involved in the management and operation of the business, compliance officers, and money laundering reporting officers
• Persons exempted from submitting Form TCSP4/TCSP5 (if any) with supporting documents
• A copy of the authorization letter from the board of directors allowing the director to make an application

To ensure you have everything ready for submission, it’s important to consult with a professional firm in Hong Kong for tailored advice on your specific situation.

Step 4: Submit the TCSP application to the CR

It’s time to submit the application to the Registrar of Companies, including the form sets, the Fit and Proper Criteria Statement, and the supporting documents.

You can also choose to send the file in either softcopy or hardcopy:

Online submission

• Simply go to the Companies Registry website and register for an account
• Use the Apply for a Trust or Company Service Provider Licence function within the Online Services
• Upload your completed application forms and all supporting documents
• Pay the application fee using available online payment methods

To assist you with the process, here is a demo video from the CR for reference.

In-person or by post

For delivering the completed application forms in hard copy, you can submit them along with the fees to The Registry for Trust and Company Service Providers.

Their address is at Unit 1208, 12th Floor, One Kowloon, 1 Wang Yuen Street, Kowloon Bay, Kowloon, Hong Kong. Moreover, they receive hardcopy documents only between 8:30 and 5:30 on weekdays.

After submission, the Registrar of Companies will review your application. This process may include a detailed evaluation of your documentation and interviews with key personnel, so be ready if some relevant questions arise.

Step 5: Receive your TCSP license

Following a successful application, the TCSP license will be issued and the applicant’s name will be entered in the Register of Trust or Company Service Provider Licensees.

The Companies Registry’s 2026–2027 service standard for granting TCSP licenses is 2.5 months, with a target of meeting this standard for 90% of eligible applications. However, this standard does not apply to applications that require amendments, additional information, or further investigation.

For an application submitted electronically, the license will be available in PDF format for download from the TCSP Registry website. For a hard-copy application, the applicant will be notified to collect the license in person at the Registry’s office. Written authorization is required if a representative collects it on the applicant’s behalf.

To wrap up

In summary, obtaining a TCSP license is imperative for individuals or organizations providing trust and company services in Hong Kong. With our guidance in this article, you now have a clear roadmap to navigate the application process effectively.

Essentially, if you are planning to launch your business in Hong Kong or have any inquiries about conducting operations here, please contact our team for timely support. Our services cover the full spectrum of Hong Kong incorporation, post-corporate formation, and annual legal compliance.

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