The Hong Kong Government Will Provide Dedicated Fund and Support to Small and Medium Enterprises
The Hong Kong Special Administrative Region will implement additional measures to strengthen and support Hong Kong’s SMEs. One of the new initiatives is having a dedicated service team called SME ReachOut. The team will be having personalized meetings with SME owners to identify funding schemes suitable for their needs. They will also be all ears to answering questions relating to funding applications. SME ReachOut aims to reinforce SMEs’ understanding of the government’s efforts and available funding schemes. In turn, SMEs can better utilize the programmes for the benefit of their enterprise expansion or business exploration. The team has started their work since 1 January 2020.
The government has also added more funding to the Dedicated Fund for Branding, Upgrading & Domestic Sales (BUD Fund) and the SME Export Marketing Fund (EMF). The additional funding will raise the cumulative funding ceiling and the ratio of initial payment to enterprises joining the schemes. Currently, the BUD funds are limited to enterprises expanding into Mainland and ASEAN markets. From 20 January onwards, the fund will allow enterprise expansion into all economies that have signed the Free Trade Agreement with Hong Kong. Cumulative funding ceiling per enterprise will also be doubled to four million dollars. The BUD Fund is aimed at assisting Hong Kong enterprises to improve their product or services in terms of branding exercises, upgrading their business operations as well as domestic sales. These will help enterprises to enhance their competitiveness and facilitate their business development. The SME Export Marketing Fund (EMF) current funding ceiling per enterprise will also be doubled to eight hundred thousand dollars, which will help those enterprises participating in promotion activities. Eligible enterprises may also apply for the initial payment of up to 75 per cent of the total approved funding under both BUD Fund and Export Marketing Fund.
The HKSAR Will Provide the Necessary Support SMEs
The Hong Kong Special Administrative Region is conscious of the current economic situation. SMEs make up a substantial part of the economic activity and contribution to Hong Kong. The HKSAR will thus do its utmost to provide the necessary support to strengthen SMEs. The measures put in place will provide flexible and practical support to enterprises in developing markets. Enterprises can also look forward to improving their competitiveness while capturing new business opportunities. SMEs should take up this opportunity to reassess their business plan so that they are more resilient and sensitive to business needs in exploring new markets.