Hong Kong is the third city among renowned global business cities, right after New York and London. Recognized among the most significant financial hubs in the world, it has improved to the highest triple A level rating. With an impressive capita GDP of approximately US32, 000 it resembles the European Union standing tall ahead of the larger nations. With the importance of the financial sector to the economy and the impact of the economic crisis, Hong Kong is a famous and admirable jurisdiction.
1. Social And Political Environment
Hong King holds outstanding rankings in the global business. It is the second most economically efficient country in the world, according to the IMD World Competitiveness Yearbook). According to Transparency International – Corruption Perceptions Index 2010, the country is ranked as the 13th least corrupt country in the world.
Moreover, Hong Kong has a stable economic and political environment, not forgetting a pro-business government with an independent legal system. Certainly one of the reasons the country is a popular choice of regional operations in Asia. The country also has 1251 headquarters and 2328 regional offices (Hong Kong SAR Government’s Census and Statistics Department)
Located in China, Hong Kong plays a crucial role in accessing the Mainland China market, which is a perfect stop for many foreign entrepreneurs. You can save time with a one hour drive from the world’s largest manufacturing region (the Pearl River Delta), producing 30% of china’s exports.
In general, Hong Kong accounts for a large share of inward investment in Mainland China, with China as the largest trading partner for Hong Kong. The countries international reputation as a financial powerhouse attracts Chinese companies for the primary and secondary listing to get access to the Asia markets. In 2010, the Hong Kong Stoke Exchange (HKSE) became Asia’s second-largest stock exchange in capitalization, which was directly behind the Tokyo Stock Exchange.
HKSE came above Shangai Stoke Exchange partly because most Chinese companies view the country as an efficient avenue to expand business with Asia. As the centre of Asia, Hong Kong is also useful in terms of links with the international market. In addition to this, the HK airport is within 5 hours flight to all major trading jurisdictions in the region.
As one of the most advanced metropolitan areas in the world, Hong Kong is well equipped in infrastructures such as transportation, telecommunication, IT connectivity and utilities. A combination of the world-class international airport with efficient logistics facilities like the cargo airport, and shipping container port makes Hong Kong an attractive platform for global businesses. Majorly businesses that rely on active transport of human personnel and products around the world benefit from the wonderful infrastructure.
4. Policy And Taxes
A lot of companies that opt for company formation in HK benefit from its low and simple tax system. A corporate tax rate of 16.5 %( maximum) and a personal income tax peaking at 15$, it has the 3rd lowest tax misery in the world (according to Forbes’ Tax Misery Index). There also benefits in company registration in HK from having no capital gains tax, no sales tax or VAT, no withholding tax or returns tax and eventually. However, HK is not perceived to be an international tax haven.
5. Company Registration Requirements
The registration process in Hong Kong is a piece of cake. Mainly you are required to poses a proper company name and corporate structure to ensure that the company meets HK Company Law requirements. Which include a minimum one company direct( who does not need to be an HK resident), Hong Kong resident company secretary, and finally a minimum issued capital requirement HK$1 . You will also be required to register the business-with operational requirements such as opening a Hong Kong corporate bank account setting up an office, securing employment visas est.
Company formation in HK is perfect deal for international entrepreneurs to register their business. Apart from enjoying the geographical area, HK is also a diverse multi-cultural environment that is efficient for international trade and exciting as a place to live.
6. Productive Workforce
The country offers a highly-skilled, well -educated and trained workforce. Primarily a local talent pool of skilled specialists and business men who are known for their deep understanding of growing business culture.
Employees in Hong Kong are generally considered hardworking, competitive, continually seeking to enhance themselves. Even though English is the most applied language in business settings, you will be pleased to know that a great deal of the labor force can also connect with Cantonese and Mandarin.
7. Business Support And Assistance
Hong Kong has a number of remarkable associated programmers at the government and individual level, offering the best business support assistance. The programs help grow and develop your company in every aspect of the business.
A vast number of business support programmers and financial incentives encourage the growth of SMEs. Chief organizations like the Hong Kong Trade Development Council encourage international companies to do business in the Mainland and Asia, also assisting in Hong Kong Companies locating new markets.
Thanks to the Hong Kong Productivity Council, there is the use of more efficient methods throughout Hong Kong’s business sectors. This is why the support and consultation Center for company formation in HK is a comprehensive and informative and advisory centre for SMEs. There is also financial assistance available through some noted government funding schemes.
Jeff Lopes: The Story Of A Successful Entrepreneur
Jeff Lopes is one of the most successful entrepreneurs from Toronto. He is one of the rare types who got into the business world in his teen years. He opened his first company even before he turned 17.
Right from a very young age, he has been very passionate about the things he does. He believes in hard and smart work. His company Kimurawear is a worldwide popular brand that has sold over a quarter-million gloves. Although his business has been hit by the pandemic, he is not the one to sit back and watch. He took this time to reassess and reset his business to come back even stronger.
Jeff Knows Inc Podcast
Jeff has recently founded his podcast channel through which he tries to inspire all young entrepreneurs. The name of his podcast channel is Jeff Knows Inc.
He invites other successful entrepreneurs on his podcast to talk to them and listen to their journey. Not just that, he also shares his journey and experience with the audience. He shares his rights and wrongs with the audience with the hope that they will get to learn important things from his journey. Jeff Knows Inc. platform to listen for everyone who wants to be successful in life.
Jeff on his personal life
Jeff is a complete family fan. He has two children and a lovely wife. Despite being a busy person, he always manages to take out time for his family.
According to him, no matter, what you are doing, you should always leave it and pay attention to your kids when they are talking to you. He is a man who likes to follow his schedule so that he can pay full and equal attention to everything in his life.
He is one of the rarest people who doesn’t mind to balance both his family and business life.
Jeff on his success
Jeff has been successful in his business venture right from the beginning. According to him, hard work is the only way to achieve success and that’s exactly what he does.
He said that setting goals for yourself are very important. You should set goals for three months so that your motivation stays alive. He advises others to turn their passion into their career so that they don’t have to hate what they do to earn.
Things to Remember While Taking a Loan Against Property
A loan against property is immensely helpful for businessmen and salaried workers. If you are a self-employed person, looking forward to expanding your business, you can take a LAP to finance the process. Also, if you are facing critics expenses and crises, borrowing a loan against property is what you are likely to do. A LAP not only helps you maintain your savings but also allows you to pay the borrowed amount in installments over a long period as per your choice. However, before you proceed to borrow from any bank, make sure you keep the following points in mind:
You must be knowing that the amount of the loan depends upon the value of your property. To determine the amount of loan you are eligible to get, banks calculate the current value of your property. Also, consumers are eligible to get a loan amounting to 70 to 80% of the property’s value. Keeping all these factors, you must calculate your LTV ratio, which the bank would provide.
Ownership of Property
Before the bank grants you the loan, it checks whether the land where your property is standing isn’t under any kind of dispute. If it is found that your property ownerships documents aren’t verified or incomplete, you won’t be granted the loan. Also, if the property has multiple owners, each of them has to agree with obtaining a loan against property.
We have already mentioned that the loan amount depends upon the current value of your property. Also, it cannot exceed 70% of its current value. However, you must approach various companies, banks, and non-financial groups. Settle with the one that provides you with the maximum value against your property.
Before accepting the agreement of any provider, make sure to calculate the amount that you have to repay. Only if you are convinced it’s a good deal, you must proceed. Generally, the interest rates for a loan against property is less, which means that the repayment amount is small. However, you must consult with various loan providers and choose the one that offers loan at the most affordable rate.
Your lender might provide you with a few value-added services which might increase the repayment amount. So before you accept the agreement, know about these services to receive a satisfactory experience. SME loan by Avant consulting group is offered at low rates, keeping in mind the convenience of consumers. Quickly contact them and borrow your loan as soon as possible.