HONG KONG IS STILL THE HUB FOR THE STARTUPS

BANK ACCOUNT

2021-02-20

For the past 2 years Hong Kong faces fraught with obstacles. We came across the US-China trade conflict, social incidents and outbreak of pandemic. Nevertheless, Hong Kong is distributing more resources to alleviate the pressure on companies and the general public, in order for Hong Kong to maintain itself as a hub and still is a good place to start a business. 

Hong Kong has been the gateway for setting up in Asia, and in particular China for decades. Furthermore, Hong Kong is still a favourable hub for startups. 

A Hub for Businesses

Unlike other countries, entrepreneurs can easily start a business in Hong Kong. Since the business registration process is simple and less expensive. Hence, Hong Kong’s strategic positioning in the heart of Asia, it’s easily accessible among all Asian countries, it also a gateway to Mainland China, this makes Hong Kong to be the ideal location hub for businesses and travel.

Even during the pandemic, with travel bans between countries. Centre O is still providing continuous and reliable private limited company registration services.  Allowing business owners to start their business registrations in Hong Kong without travel here. Our team can handle all the registration process, as well as bank account opening and setting up a local registered office without their presence in Hong Kong.

Excellent Tax Policies

Hong Kong’s tax system is direct and simple, In fact, Hong Kong is one of the lowest in the world. Corporate profit tax for under $2 million is 8.25% only, for over $2 million is 16.5%. The low taxes rate lessens the tax burden for the startups. 

Hong Kong adopts a territorial source principle of taxation. Only profits which have a source in Hong Kong are taxable. Therefore, no distinction tax difference made between residents and non-residents. The act encourages expats and entrepreneurs to startup in Hong Long. 

Furthermore, please noted Hong Kong doesn’t have taxes as below:

  • Sales Tax / Value Added Tax
  • Withholding Tax
  • Capital Gain Tax
  • Tax on Dividends
  • Estate Tax

Business-Friendly Environment

Hong Kong offers multi-currency bank accounts to businesses. In addition to this, Hong Kong is a global leader in banking sector that offers excellent banking facilities. Also, the business capital is free to flow in or out without restriction. Meanwhile, the entrepreneurs can easily sell their company shares to expand their business further through the cash that comes from the selling of the shares. Hong Kong has simplified the entire selling or the transfer of share process. Thus, the companies set up in Hong Kong can easily utilize the money by selling their business shares to attain assets for the company. 

Moreover, Hong Kong has a world-class infrastructure for railways, logistics, airports, telecom. This is an essential consideration for starting a business. As you can see your business is well connected to the world. 

The talent of Hong Kong is well-educated and adaptable with strong ethics. In addition, Hong Kong allows employment of professionals from overseas. The immigration policy of Hong Kong allows bringing the families for permanent settling as well. 

Apart from the existing hardware and software. Hence, Hong Kong has never disappointed any of the investors by providing a business-friendly environment to them. 

Dynamic City with a Wide Range of Sectors

The dynamic economy of Hong Kong is the principal reason to start a business in Hong Kong. Hence, many startups have come up in Hong Kong which is contribution to the economy of the region. The constant growing sectors of Hong Kong are:

  • Information Technology
  • E-Commerce
  • Hardware
  • Financial Technology
  • Professional Services
  • Healthcare
  • Data Analysis
  • Education and learning

 For further information, please contact us

You may want to read: WHY YOU NEED TO TAP INTO ASIAN MARKET THROUGH HONG KONG?

 

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