The Hong Kong Society of Accountants (HKSA) has received less than 20 applications from accounting firms wanting to become limited companies under rules introduced last August.
The new rules permit accounting firms to operate as limited companies rather than partnerships to help reduce their liabilities.
Under partnership rules, if one accountant needs to provide compensation to clients, another partner's personal assets may be needed to help pay.
If the firm is a limited company, then only the company and the accountant responsible for the mistake would pay compensation. Assets of other partners would be unaffected.
Despite the apparent benefits, applications to change have not been many - a trend HKSA president Tim Lui said did not surprise him.
'Some firms are comfortable with the existing partnership model and may not want to change,' he said.
