Want to start a company in Hong Kong but not sure how to do so? Then there is no one better than Startupr to help you set up your business efficiently in Hong Kong. Hong Kong is a perfect place to set up your business due to its strategic location, business-friendly environment and diverse market.
Because of these reasons, many new entrepreneurs have started their businesses in Hong Kong. Companies Registry Hong Kong has released the business formation statistics for the year 2022, which we will be discussing later on in the article. We will further be discussing the factors that impact business formation in Hong Kong and why you should choose Hong Kong as your business location. Also, we will be discussing how Startupr can help you set up your business in Hong Kong.
Companies Registry Hong Kong Business Formation Statistics for 2022
The Companies Registry released the statistics for Hong Kong Business Formation and according to which a total of 104,120 local companies were newly registered with the registry in the year 2022. A total of 1,391,678 local companies were registered under the Companies Ordinance by the end of the year 2022. And, according to the Hong Kong company registration statistics, in comparison with the year 2021, the number of local companies that were newly registered in 2022 was 16,506 more than in the year 2021. The Companies Registry has continued the process of enhancing the protection of susceptible personal data while maintaining transparency and effectiveness of the Companies Registry.
What are the factors impacting Business Formation in Hong Kong?
Several factors have an impact on business formation in Hong Kong. These factors may vary from market trends to investment opportunities. We will now discuss these factors in detail.
- The Economic Climate and Market Trends – Hong Kong has a very vibrant market with a highly stable business environment. The economic climate in Hong Kong supports businesses to settle and grow their businesses in Hong Kong. Having a simple taxation system is also among the points that make Hong Kong a perfect place for establishing a business. Moreover, Hong Kong has been highly successful in adapting to market trends which makes it more attractive to foreign businesses. Thus, it is more likely that Hong Kong may get business from foreign countries due to its favourable economic climate and market trends.
- Government Policies and Regulations – One of the most important factors that impact business formation in Hong Kong is government policies and regulations. The Hong Kong Government is highly supportive of startups and businesses that want to set up their offices in Hong Kong. The Hong Kong Government favours entrepreneurs with innovative ideas and has introduced many policies and regulations that help in the easy establishment of businesses in Hong Kong. Furthermore, many seminars and events are regularly organized to help entrepreneurs set up their businesses in Hong Kong.
- Access to Funding and Support for Startups – Another reason that helps in the formation of a business in Hong Kong is access to funding and support for the startups. There has been constant growth in the startup funding industry. The funds and support that a startup is getting in Hong Kong are gradually rising, which makes it easier for entrepreneurs to set up their businesses in Hong Kong. Additionally, the Hong Kong Government has set up a co-investment fund with a group of venture capitalist firms named Innovation and Technology Venture Fund (ITVF) to help local startups quickly get funds.
- International Trade and Investment Opportunities – Hong Kong has been highly successful in attracting international investors and traders due to its business-friendly immigration policies and its status as a free port. Hong Kong offers visa-free entry for visitors from over 170 countries which makes it easier for international traders and investors to set up their businesses or invest in businesses in Hong Kong. Moreover, Hong Kong provides numerous investment opportunities to investors, due to which they can invest in companies effortlessly and simply.
Why Register Your Business in Hong Kong in 2023?
Certain reasons make Hong Kong a suitable place to register your business in 2023. These reasons are mentioned below.
- Easy Registration – Company registration in Hong Kong is extremely easy. You can maintain your capital in any currency, including USD and Euro. A Hong Kong company only needs 1 director and 1 shareholder, and they don’t need to be Hong Kong residents. A physical office isn’t required for the companies to register themselves. Instead, a registered address is sufficient to complete the process.
- Simple Taxation – Hong Kong has one of the most manageable taxation systems in the world. Hong Kong offers several tax benefits to companies registered in Hong Kong. If a company has no operations in Hong Kong, it is legally tax-exempt. If you have processes in Hong Kong, then no need to worry because Hong Kong has one of the lowest tax rates in Asia, which helps in saving capital and makes Hong Kong extremely attractive to investors.
- Business Environment – Hong Kong is among the top places for conducting business operations due to its favourable business environment. Moreover, the official business documents are made in English and Chinese, which makes it easier for foreign investors and entrepreneurs to understand the procedures and work there. This provides an incredible business environment for companies to grow.
- Economical Incorporation – According to the 2019 World Bank Survey, Hong Kong is ranked as the 4th most accessible place to do business. Incorporating a company in Hong Kong is highly economical, and it takes only a week to complete the company incorporation procedures.
These are the reasons that make Hong Kong a perfect place to register your company in Hong Kong in 2023.
Want any Expert Assistance in Opening a Business in Hong Kong?
As mentioned above, according to the statistics released by the Companies Registry in Hong Kong, the number of businesses formed and registered in Hong Kong has increased in 2022 and is likely to increase in 2023. Therefore, we can conclude that there is no better place than Hong Kong to start your business in 2023. Hong Kong provides several benefits to companies that register in Hong Kong, which include easy registration, a simple taxation process, a favourable business environment and an economical incorporation procedure.
If you want any expert assistance in opening a business in Hong Kong, then there is no one compared to Startupr. Startupr provides several facilities that can easily help you start and register your business in Hong Kong. Startupr also offers many additional services, which include bank account opening, mail forwarding, accounting and bookkeeping, obtaining a Hong Kong office address, company incorporation, notarising documents, company survey filing, changing company name and many more services.