Hong Kong is a business-friendly city. Apart from its strategic location, it also offers many benefits to business owners who want to enter the Asian market. From the ease of company registration to opening a bank account, it’s practically hassle-free to do business in the city.
Favourable tax system
Hong Kong has a relatively low and simple tax system. Income tax is capped at 15 per cent while corporation tax is only at 16.5 per cent. These make the Hong Kong tax system clearly favourableto businesses. Business owners should also have to worry about tax on capital gains and offshore income among other tax liabilities. Additionally, the city exempts international shipping activities from profits tax.
Fast and simple company setup
Businesses may register under any company structure to suit their requirements. The most common structure, however, is the Limited Company. Unlike in most Asian territories, Hong Kong allows foreign-owned companies to operate in the city. If a company is meant to be a branch office, it may be registered as a branch office of the parent company or a representative office.
Setting up a Hong Kong company is very straightforward. You just need to decide whether you are going to buy a registered company or apply to start a company under your desired name. There isn’t much difference in costs but an already established company is faster to set up.
Hong Kong maintains a highly developed capitalist setting, enjoying a top ranking in the Index of Economic Freedom. This indicates that the city is the best place in the world to start and grow businesses.
Even if you’re from the other side of the world, Hong Kong is very accessible. The city is home to more than 85 airlines that operate out of Hong Kong International Airport. This makes Hong Kong a global business hub.
Hong Kong is a great place for entrepreneurs and their families. With its numerous international schools, excellent healthcare, low crime rates, and wonderful scenery, the city offers not just a place to work but also to live.