Since 1980, Orangefield ICS has been advising companies on establishing and growing their business in China using Hong Kong as the gateway. It has partnered with major banks, law firms, and government entities seeking a full end-to-end business system for important clients, or for those needing a firm capable of managing the entire scope of services under one roof. ASIA TODAY editor sat down with Managing Director Asia Mr. Vincent Bremmer to hear about the latest developments and the roadmap for 2013.
Q: What have been the major achievements for 2012, and what is the roadmap for 2013 for Orangefield ICS?
From an Asian perspective: The acquisition of ICS Trust Asia by Orangefield Group in Q2 and its subsequent integration was one of our major achievements combined with the establishment of our Shanghai office during Q4 of 2012.
For our clients, it should be and has been business as usual and the fact that we did manage to integrate the ICS Trust business without any disruption and actually managed to expand the business quite quickly after the acquisition has been the most satisfying.
From a group perspective: The growth of the global network of offices from 14 to 19 offices globally including major acquisitions in the US, UK and HK has been our major achievement. This all driven by the need of our clients for global support and our history of building close and successful relationships with our clients when doing business in various jurisdictions.
Roadmap for 2013: promote Orangefield ICS’ Doing Business in China Services throughout our network mainly in Asia-Pacific, the US, Canada, UK, Benelux and Germany while also introducing our corporate services (company formation, management & accounting, legal services) to support Chinese clients requiring professional corporate services for their foreign investments and advise them on the requirements and advantages of the various jurisdictions within the global network of Orangefield Group.
Q: What are Orangefield ICS’ main strengths and what is its vision?
Orangefield ICS’ strengths include commitment to clients first and foremost and being recognized as a business partner enabling clients to enter into markets where they are not that familiar.
With respect to Orangefield ICS, this specifically has been the case with assisting Western clients enter the Chinese market either directly or through Hong Kong whereby Orangefield ICS advise clients on the most appropriate legal structure, arranging the establishment of appropriate legal structures, assist with identifying the right location & human resources, dealing with the authorities, banks and other institutions etc.. Once fully operational and active, Orangefield ICS continue to support our clients with legal, financial services and, for our Trade Clients, our specialized Trade Services in order to ensure full compliance with all legal, tax and financial obligations.
Orangefield ICS’ vision is to continue to build and maintain strong relationships with our clients whilst retain our ‘entrepreneurial’ culture and spirit. One of the main reasons of our success has been our ability to connect with our clients, our joint entrepreneurial spirit and professionalism when doing business. Our clients are operating more and more from a global perspective and demand to partner with a reliable and quality services provider such as Orangefield ICS supporting them locally with expertise and professional workforce when entering these new jurisdictions and markets.
We do believe and foresee a growing demand for our services especially from clients moving into Asia and coming from Asia. As the understanding and need for professional services to support foreign investments continues to grow.
Q: What are your current flagship projects in the region?
To answer this question, first I would like to say that Orangefield ICS appreciates the relationship with each of our clients, small or large, in the same way.
Orangefield ICS has various flagship projects in the region as our client base consists of reputable, very well know private, corporate and fund clients. To give you two specific, different examples which explains our specific capabilities and relationship with our clients:
a) Orangefield provides global corporate & fund administration services to one of the most successful Private Equity Fund Managers in Asia (located in Hong Kong) meaning that we handle the fund administration of their PE (Private Equity) Funds whilst also providing full corporate services to each of their investment structures which are located in various jurisdictions within the network of Orangefield offices (depending on the location of the target company). This model enables the client a centralized offering of services through our fund administration team. All the required corporate services to the investment structures will be coordinated, reported and channeled through said fund administration team to provide the client clear and dedicated points of contacts and ensure the necessary maintenance of their investments structures without the need for a detailed and time-consuming coordination from their side.
b) Orangefield ICS provides services to a company in the luxury yacht industry, which works with a Shenzhen-based ship builder to manufacture its mid-sized yachts. The business exhibited rapid growth and the client recognized this as an opportunity to expand their operations, not only to capture the business opportunities at hand, but also to reduce production costs and enhance quality controls. Orangefield ICS formulated a China strategy that secured the client’s interests, and placed the company in a position for long-term growth. At the request of the client, we provided and are still providing the following services:
ii. Land Acquisition: In order to set up the manufacturing facility, land was needed, and all land in the desired area was government owned. Over a three-month period, Orangefield ICS represented the client in meetings with the local government and satisfied the requirements for the land acquisition.
iii. Hong Kong and China Structuring: We incorporated a Hong Kong company as the investment holding structure for the WOFE and other operations in Asia and subsequently incorporated the WFOE; the WFOE allows the client to maintain 100% control over operations and eliminates their need for a local partner.
iv. Banking and Treasury Function: We set up the required banking accounts and provided treasury services.
v. Accounting: We are providing accounting services in accordance with management requirements and ensuring compliance with regulations in both Hong Kong and China.
vi. Other Services: Orangefield ICS continues to assist clients with various services such as (1) secure contractors for the building process, (2) develop internal control systems, (3) assess the effectiveness of internal control measures, (4) develop and enforce its management reporting system, (5) deal with the Chinese government and local authorities on inquiries, applications and handling of financial and tax issues.
After approaching Orangefield ICS with their objectives in mind for expansion, the client well surpassed his initial expectations and was satisfied with being able to also meet his business objectives. With Orangefield ICS taking charge of all financial and administrative procedures and handling complex government compliance matters, we also enabled the client to focus on their core business.
Q: Who are your main competitors in the Asian market? Are they international or local service providers?
The answer to this question partly depends on which line of business we are looking at when determining Orangefield’s main local and global competitors.
In the Corporate services arena there is a plethora of service providers from one man band who have local expertise through to medium sized firms that provide volume services followed by international firms.
There are however a select few who have the international network capacity and with the track record of successful business dealings with clients in China.
With regards to the Fund Administration Services, these too will vary however far more dominated by the larger financial institutions. However this creates an opportunity and an advantage for Orangefield ICS clients given the independent and transparent nature of the Orangefield ICS business model, compared to the large institutions.
Q: How do you compare working with clients based in China who wish to go abroad versus clients who wish to enter Asia with their products or business?
With respect to clients based in China, our success has been hugely attributed to our ability to understand and manage the cultural nuances across the different jurisdictions. Our strengths focus on providing corporate services to support their specific needs as they transition in becoming familiar and comfortable with outbound investments. This also includes collaborating and advising Chinese Stately Owned Enterprises.
The Orangefield Group has seen a similar development in other countries in the region and managed to build strong relationships with various very well-known Asian clients (for example Korean and Japanese listed companies. The fact that our existing clients & business partners are introducing Orangefield to other clients is due to our ongoing commitment to quality and being able to offer continuity and expertise across different jurisdictions.
Q: What are the most popular services in your portfolio?
- “Doing Business in China Services” (local Hong Kong & China)
- “Trade Services” (local Hong Kong & China)
- Corporate Services to foreign investment structures (Global)
Q: Are your clients mostly large-sized or publicly traded companies?
Both; Orangefield ICS is providing services to large-sized privately owned companies and listed companies coming from different industries and locations.
Q: What are your expansion plans in the region?
For the mid to long term our plans involve establishing a more extensive and dedicated network of offices in China while maintaining our network of qualified Chinese agents triggered (i) by the need for more local support to Orangefield ICS’ existing and future clients doing business in China and (ii) look for- & support outbound activities of our existing and future Chinese clients both through our China, Hong Kong offices as well as liaising with other Orangefield offices in the international network to achieve an integrated service offering for our clients.
For the near future, Orangefield ICS aims to open two offices in China during 2013. One of these offices being in Beijing as this will be the most beneficial location to support our existing Chinese clients (SOE’s) as well as advising any potential clients on outbound investments. The second office to be opened in 2013 highly depends on the needs of our clients and the regions where our existing clients are the most active. This fits within Orangefield ICS’ overall desire to always look at the needs of our clients first and support these needs comprehensively.
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Caption: Mr. Vincent Bremmer, Managing Director Asia of Orangefield ICS – Hong Kong launch at the China Club 30th November 2012
ORANGEFIELD ICS SERVICES
Since 1980, Orangefield ICS has been advising companies on establishing and growing their business in China using Hong Kong as the gateway. We are a preferred partner of major banks, law firms, and government entities seeking a full end-to-end business system for important clients, or for those needing a firm capable of managing the entire scope of services under one roof.
Our team of professionals possess in-depth knowledge of Hong Kong, China, Asia and international markets, laws and regulations. Our goal is to handle all corporate, banking, accounting, tax and trade matters on your behalf so that you can focus on your core business activities and opportunities in the China marketplace.
Corporate Services
Orangefield ICS advises on the formation and management of companies in Hong Kong, China and offshore (Anguilla, BVI, Belize, Seychelles, Nevis and many more jurisdictions) while our Virtual CFO services are designed for our clients to know their operations are compliant and they can concentrate on their core business.
• Efficient and tax effective corporate structures for personal and business use
• Incorporate in Hong Kong, China and offshore
• Provide all management services (company secretarial, registered office, directors and shareholders)
• Introduce major banks and open bank accounts
• Act as bank signatory
• Virtual CFO services (financial reporting to head office, bookkeeping, accounting, regulatory compliance regarding business licenses, tax filings, employees and foreign currency control, management of fund transfers and all financial and banking matters
Doing Business in China
Orangefield ICS has recognized expertise in providing clients an integrated solution for China market entry using Hong Kong as a gateway.
• Advise on international and PRC structure
• Establish a RO (Representative Office) or a WFOE (Wholly Foreign Owned Company) for manufacturing, warehousing, retail, etc.
• Prepare and submit documents for business licenses and certificates
• Obtain required government approvals and tax registration
• Establish and manage corporate bank accounts and relationships in China
• Manage human resources related matters including staffing, structuring employment contract and obtaining required work visas
Trade Services
Orangefield ICS is well respected and acknowledged for its expertise in establishing and managing Direct Import/Export programs to support all your trade activities through a Hong Kong base.
• Manage the banking relationship and the daily transactions
• Handle all trade documentation from customers and vendors
• Oversee all invoicing and order processing
• Liaise with quality control, logistic services providers and vendors to handle all insurance, shipping, and logistics matters
• Provide Trade Fair Assistance Services
Coordinate Factory Audit and Product Testing