Simplify Business Set-up for Foreign Business Owners and Entrepreneurs
Hong Kong is renowned for being an easy place to set up a business and setting up a company in Hong Kong is very simple. There are not put a lot of restrictions on foreigners to open a business, foreigners who wish to set up business in Hong Kong can easily relocate by applying for an appropriate visa as well as own 100% shares of a private limited company.
Premier Strategic Location
Hong Kong is an ideal location as well as the pathway for expanding your businesses before having a business penetration into the global market. Hong Kong is strategically located at the heart of Asia, it enjoys peerless transport connections and alongside many of the region’s most exciting business markets.
It shapes Hong Kong a world’s most multicultural cities, that culturally diverse workforce contributes to Hong Kong’s well-earned reputation as a true international metropolis, with a large expatriate community.
Hong Kong’s with an independent legal system which is separate from Mainland China’s and adopts English common law. The legal environment remained unchanged after the retrocession in 1997. All are equal before the law.
Such a legal system in Hong Kong leans to favor the business environment by providing fair business surroundings at all times. Hong Kong also has long been, and remains, a safe city with a low crime rate that brings the safe and secure.
Clean government pursues free business interests on a level playing field without concern for corruption and most corruption-free economies in the world.
Gateway to China
Hong Kong is a highly appealing trading partner and investment conduit for Mainland China.
In 2003, Mainland of China and Hong Kong signed the free trade agreement, Closer Economic Partnership Arrangement (CEPA). CEPA covers 4 broad areas of trade in goods, trade in services, investment and economic and technical cooperation. CEPA bringing new business opportunities to the Mainland, Hong Kong and all foreign investors. Hong Kong server as a perfect springboard for foreign investor enters into the market of Mainland of China.
Regular flights and several new rail and road links ensure smooth and speedy travel across the border, while Hong Kong offers the benefits of a simple and low tax regime, free-market policies, and free flow of information.
Low, simple and competitive tax regime
Hong Kong charges some of the lowest tax rates in the world that compliment a simple tax system; this is the main reason why foreigners seek to start a business in Hong Kong – low taxes.
The city only imposes direct taxes and has generous allowances and deductions which reduce taxable amounts. These are the tax rates in Hong Kong:
|Profits tax||The 2-tier tax regime is adopted 8.25% for a first net profit of HK$2 million the outstanding is capped at 16.5%|
|Salaries tax||maximum of 17%|
There is no capital gains tax, nor any withholding tax on dividends and interest tax. Furthermore, there is no sales tax or VAT and estate tax in Hong Kong.
World Class Infrastructure
Hong Kong is one of the easiest cities to transport around worldwide as well as one of the busiest airports in the world which over 120 airlines providing service to flight over 220 destinations.
Hong Kong has taken endless measures to continuously develop and upgrade its infrastructure in order to meet the growing demands of businesses, like opened Hong Kong-Zhuhai-Macao Bridge, and raising Hong Kong International Airport Master Plan 2030. The Guangzhou-Shenzhen-Hong Kong Express Rail Link was operated from 2018 to offer speedy rail travel between Mainland China and Hong Kong. It provides the completed transportation network for efficient and easy connecting all major cities.
Hong Kong is also the preferred Exhibition and Convention Centre for most businesses in the region. The Hong Kong Exhibition and Convention Centre has received several awards and accolades. It is often voted as the ‘Best Convention and Exhibition Centre in the Asia Pacific’. In addition, support the integrated industry with infrastructure to help reduce the per-business expense, as well as help companies, operate in a highly conducive, environment-friendly setting like Cyberport and the Hong Kong Science and Technology Parks.
With the city has made great investments in its broadband and fibre-optic infrastructure, everyone is able to reap the benefits of a reliable, high-speed internet connection.
Hong Kong’s telecommunications infrastructure is one of the most technically advanced in the world. Businesses can enjoy reliable and secure communications throughout the territory, the internet penetration over 90% in the city.
Many investors and entrepreneurs are choosing to set up their businesses here, our experts are happy to provide more information to streamline your business plan.
Free Port in Oversea Trading Business
Hong Kong is well perceived as its status of “free trade zone” and straightforward customs clearing. Duty is only paid on limited products such as liquors, tobacco, hydrocarbon oil and methyl alcohol. However, the import of wine and beer has been made to duty-free.
This has promoted Hong Kong as Asia hub of import, export and storage business serving retail and individual buyers.
With a population of 7 million, it enjoys the second-highest buying power in Asia even Hong Kong appears to be a small market. Hong Kong has a lot of knowledgeable, experienced and well-connected talented person and it would be an advantage to partner with investors, intermediaries and project owners worldwide.