Facts about Hong Kong
Hong Kong is an attractive destination for foreign direct investment, its robust regulatory framework, strategic location and well-developed financial services sector are offering a pro-business environment for worldwide investors to do businesses here.
Hong Kong was a former British colony. On the 1st July 1997, it became Hong Kong Special Administrative Region (HKSAR) of the People’s Republic of China (PRC). For any start-ups, small and medium enterprises (SMEs), multinational companies wishing to launch a business in Asia, Hong Kong is the primary location for them to register the company in this city.
Hong Kong has a strategic geographical position, located in the heart of Asia Pacific
- Located less than four hours flight from the most potential markets in Asia such as Mainland China, Singapore, Malaysia, Indonesia Japan, Korea and the Philippines.
- Its location allows access to half the world population in less than 5 hours of flight.
- Located one hour from the Pearl River Delta, the world’s largest manufacturing region and the fastest growing region in China
Hong Kong has a regulatory framework beneficial to the investors
- Simple and predictable tax system, with low taxes on profits (16.5%) and salaries (15%).
- Does not levy taxes on sales, dividends and capital gains to companies established in the city
- It allows the free flow of goods, capital, information and human resources
Hong Kong banks accounts are convenient and reliable.
Hong Kong is a top-notch international financial hub in the world. Nearly three-quarters of the world’s largest banks have branches and representative offices there thanks to its free trade and free of capital flow policies. Hong Kong residents, foreigners and companies around the world are free to choose to open accounts from various Hong Kong banks.
A Hong Kong bank account makes great benefits to any businesses from around the world:
- Free flow of capital (None of FX control, capital gain tax, and profit remittance control is imposed.)
- Multi-currency accounts (it is a very common feature Hong Kong banks.)
- Strong currency peg at US$1 to HK$7.75~7.85 since 2005 (HK dollars is de-facto US dollars.)
- High level of confidence shown to customers and investors (Hong Kong is a well-known financial hub.)
- Robust regulatory on banking sectors (Banking in Hong Kong is low risk.)
Other characteristics that make Hong Kong attractive
- World-class infrastructure and an international business environment
- English is the primary language for doing business and contracts are made in this language
- Skilled and efficient workforce
- A cosmopolitan lifestyle and a varied and vibrant expatriate community
- Good political stability
- Legal system is based on British common law and rule of law
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