HONG KONG

Hong Kong, albeit not the cheapest, is by far the best place for doing business with China and Asia. Its forte lies in the quick access it offers to manufacturing sites in China and through it the potential for cheap, high quality goods. Additionally, Hong Kong’s link to China through CEPA (Closer Economic Partnership Agreement) makes it the perfect place for mainland linked business.

Reasons for doing business in/through HONG KONG:

English as the Second Language:  you can easily communicate in English, Mandarin, and Cantonese. Most public facilities have bilingual system (such as Train ticket, shops, etc..) at the same time there is a wide offer of professional companies for translation services.

Cultural Diversity: People with different races and countries are working together, it is a blend of East and West, with many minorities.

Simple tax system: Territorial, Types of income earned in Hong Kong: Salaries, Rental from properties, Trading profits from businesses, Capital gain vs Revenue gain, Dividend, Interest, No VAT or other indirect tax

Fourteen tax treaties signed with other countries:  PRC, Hungary, Belgium, Kuwait, Thailand, Austria, Luxemburg, UK, Vietnam, Ireland, Netherlands, Liechtenstein, Indonesia, Brunei Darussalam,

Flow of products free of tax: No Goods and Services tax (GST), No Import tax except for luxury items such as tobacco and liquor, No re-export tax

International financial center with all kinds of currencies trading: You can trade the most–traded currencies in the foreign exchange market: US dollars, Euro, Japanese yen, pound sterling, and Swiss franc. Other currencies such as Chinese Yuan, Indian Rupee, Indonesian Rupiah, Malaysian Ringgit, Thai Baht, and South Korean Won.

Good system of law to protect individual properties with good protection of patents and intellectual properties: Land Registry: Land Titles Ordinance, Company Registry: Companies Ordinance, Ordinances for trademarks, registered designs, patents, and copyright: Trademarks: Trademarks Ordinance, Registered designs: Registered Designs Ordinance, Patents: Patents Ordinance, Copyright: Copyright Ordinance

Welcome foreign investments as gateway from east to west and vice versa: Individual name vs sole proprietorship, Joint names vs partnerships, Local vs overseas incorporated companies