Government Support for Improving Cost of Doing Business in Hong Kong

It is in the public domain that the government of Hong Kong has lived by its word generously without attaching strings to offer support to both local and international investments so that they can effectively start and do well in its soils. The administration has put in place mechanism and plans to attract the world of multinational corporations as well as small enterprises in Hong Kong to start their business. Such incentives include loan guarantees, innovations and incubations financial and advisory support and marketing financial aids.

Innovation and research funding

The Hong Kong government rolled out a research program dumped as SERAP. Small Entrepreneur Research Assistance Program provides financial support in the areas of research and development of technology that can come to the market and hit easily to such companies that are ready to take the challenge.

Under the same scope, the government started to pool the innovation and technology fund (ITF). This is a separate fund that is responsible for innovative ideas and technological upgrade for the companies. This helps the companies to remain competitive in the fast evolving technology days for maximum profitability.

Marketing Financial aid and loan guarantee

There are many supportive programs here;

The Creative Smart Initiative: This aid is specifically meant for the small medium sized enterprises in the creative industry. It helps these entities to brand their product in the market through international competitions and exhibitions.

The EMF (SME Export Marketing Fund): this motivates businesses in Hong Kong to stand in the renowned overseas exhibitions, B2B advisements and international business missions. The funding can overcome up-to fifty percent of companies approved expenditure that amounts up-to 50,000 dollars HK.

Financing Guarantee Scheme of SME provides loan guarantees for companies up to HK$12 million or ranging from 50 to 70 percent.

SME Loan Guarantee Scheme (SGS) those companies who are in need of financial aid for either capital or working equipments, the scheme secures their loan up to a total of $12 million HK.

Incubator programs

Hong Kong being an art and cultural city, there are government programs supporting incubation of ideas in the inventive industry as well as other industries.

The cyberport incubation program assists the SMEs in the digital media ideas and helps them come to the breakeven point and grow.

Design Incubation Program (DIP) gives housing to design upcoming professionals and professional guide.

DesignSmart Initiative gives up to HK$100,000 funding for small scale enterprises to start design projects

Hong Kong Science & Technology Parks scheme provides subsidized office space and highly valued professional consultancy and a small financial aid package to support research and development.

HONG KONG- An ideal Hub for Businesses

Located in a very advantageous place, Hong Kong is the ideal place for business as it is situated at the heart of Asia. The most thrilling business markets are present here. Shanghai, Taipei, Manila, Kuala Lumpur and Perth, all share the same time zone with Hong Kong while Bangkok, Jakarta, Seoul and Tokyo only have a difference of one hour.

Hong Kong is also a travel hub with over 100 airlines offering flights to approximately 180 destinations. It goes without saying that this plays a vital role in the success of the place as a regional centre. All key markets in Asia are less than a four hour flight away. In addition to this, about half of the world’s populace can reach here within five hours via airway. Also, about 1000 flights ply their route between Hong Kong and the rest of the world on a daily basis and you have the ideal location to conduct business.

The Pearl Delta Region-PDR- is China’s biggest and the most productive area when it comes to manufacturing. The region is located in the northern side of Hong Kong and business associates can easily commute even on a daily basis between the two. This basically means that Hong Kong offers easy and convenient access in both geographically and commercially to business opportunities in mainland China.

The PDR, as it is known, plays home to tens of thousands of factories managed or owned by Hong Kong or overseas companies. The vastly successful nature of the region from a manufacturing stand point has directly led the major cities of the Pearl Delta Region- Shenzhen, Guangzhou and Don guan- being counted as among the wealthiest cities in China. The domino effect is that they have now become strong market for customer goods and consumer services in their own right.

Considering the huge role transport plays in any business, several transport links are currently under construction. This will include the Guangzhou-Shenzhen-Hong Kong Express Rail Link. The rail connecting Hong Kong to Guangzhou will stretch over 142 Kilometers and it will only take one 48 minutes to cover the distance. This transport system will connect to the existing train services on the mainland essentially connecting Hong Kong further still with major cities in southern China and even beyond. All this is in an effort to ensure the easy flow of people and goods between Hong Kong and the Mainland, hence creating a conducive environment which is vital to get successful in business.

Consumer Products and Retail

The mystery of a productive retailing falsehoods in assembling an attractive number of customers; this may involve the amount, and the nature of customers. If there should arise an occurrence of Hong Kong, a famous shopping goal incorporates all.

Being one of the favored shopping plazas of prosperous Mainland Chinese, It has turned out to be an unparalleled ‘shop window’ for the traders and a pathway for assistant advancement. One has the possibility of increasing the retail business with brilliant chances owing to a free port i.e. No import or trade impose on large portions of the merchandise and an insignificant expense base of in the ballpark of 16.5 %income charge.


Regardless of assuming that you are a wholesaler, retailer, and a wholesaler or specifically concerned with purchasing, sourcing, or exchanging, Hong Kong give you a twin overlap profit of closeness to the source and an open right of recovery to purchasers. The in general circumstance is blasting all around the year for both indoor and open air shopping while four discrete seasons cow the occasional usage.

The momentous position  of the city with its status as Asian Hub, makes Hong Kong an impeccable perfect entryway to Mainland China and to different other cutting-edge assembling areas and advertises that incorporate the same amount as the accompanying locales: Bangladesh, Thailand, Indonesia and Vietnam. In the meantime Hong Kong has an accumulation of ability right from the outline to all items.

The season of merriments as Christmas and Chinese New Year, The Hong Kong gives an improved shopping action in the domain. The greatest image of global retail marks discovered in the Asia is verification that Hong Kong emerges as the planet’s most grand and productive areas.


Hong Kong turns out to be fifth most noteworthy exporter of important gems and the second biggest exporter of conventional adornments, everywhere throughout the planet. It emerges with its capability to lead the preparation pivot for immaculate gold things and turning into a critical center of jade creation with honorable position as the greatest broker and merchant of pearls. Also, it additionally has the distinction of being a capital of Asia’s precious stone stock.

The preparing of worth included assembly comes to be arouse at Hong Kong with its favored securing of some incredible fashion designers, very innovative, intentive and creative individuals, trustworthy and reliable buyers and cooperative suppliers.

Immigration Programs with Proper Details

At the same time as Mainland China forever entails a visa for admission, Hong Kong is a divide journey region with commerce gracious colonization strategies. Guests from over 170 states get pleasure from visa-free admission into Hong Kong, with restrictions varying flanked by seven and 180 days.
Working visa requirements
Overseas usually necessitate a visa before existing or operations in Hong Kong, other than Hong Kong’s visa programs designate with the intention of provisional guests are allowed to demeanor production consultation and symptom convention while on a guest’s travel permit.
Hong Kong travel permit forms
Service visa
To occupy citizens from abroad, you require revealing that a potential member of staff has particular abilities, information or practice not willingly accessible in Hong Kong. The planned member of staff must be supported by an owner in Hong Kong.
Venture visa
This necessitates you to be a partner of a Hong Kong inventory corporation. You can perform this by:
• Inventory and adjustment of a company in which you are the chief sponsor, or
• Empowering in a Hong Kong located corporation
You will also require making particulars of the feasibility of your planned commerce – or your monetary location if you are spending in an obtainable corporation.
Capital Investment Entrant Scheme (CIES)
Permitted CIES interviewees can look for service or set up commerce in Hong Kong. Provisions are:
• A resources speculation of HK$10 million into a justifiable quality division in Hong Kong
• Confirmation that you can hold yourself up
• Confirmation that you can prop up any reliant without community support
Dependant visa
A populace who productively pertain for a visa can convey their partner and contingent family under the age of 18, offered they have adequate finances and appropriate adjustment. The boundary on their residence is the equivalent as the visa holder – who is formally the ‘sponsor’. A partner holding a dependent relative visa can commence any type of legalized service in Hong Kong.
Hong Kong Identity Card
By rule every Hong Kong occupant in excess of the age of 11 years must take a Hong Kong individuality certificate at all periods. If you have authorization to continue in Hong Kong for supplementary 180 days, for case in point of an operational or speculation visa, you must be relevant for a Hong Kong individuality certificate. The submission at the colonization section is simple and cost free. You necessitate pertaining inside 30 days of advent in Hong Kong.
Employment Regulations
The Employment Ordinance puts out the least prerogatives for workers, such as constitutional public holiday, obligatory visionary finance expenses, ill and motherhood depart and separation and employment expenditures. Owners are appreciative to obtain the worker’s reimbursement indemnity plans for their workers under the Employees’ Compensation Ordinance.