More Companies Set Up in Hong Kong: Preferred for Business

Hong Kong Has Always Been a Preferred Choice for Business People to Set Up Office

Ask any person delving in the business of their preferred place to set up shop, and most will state Hong Kong as their top three. The Government of Hong Kong has made their beloved jurisdiction a tax haven for both individuals and businesses alike. Moreover, the start-up scene in Hong Kong is also gaining traction. With numerous facilities and financial assistance, more companies set up in Hong Kong within the last couple of years.

 

Fact or Fiction

At some point, people are sceptical of the statement that more and more companies are setting up offices in Hong Kong. But, recently, a survey was done to find out if any new companies were setting up shop in Hong Kong. The study proved that from 2017 onwards, more companies were setting up offices in Hong Kong. According to the survey that was carried out by the Census & Statistics Department and Invest Hong Kong, these companies are mainly from overseas as well as Mainland China. They are operating as regional headquarters, regional offices and local offices. There is an increase of 9.9 per cent from 2017 to 2019 with 8,225 offices in 2017 and 9,040 offices in 2019. This proves the fact that Hong Kong remains attractive to businesses from around the world and Mainland China.

 

More Companies, More Jobs

With more companies set up in Hong Kong, the more anticipated job openings are available for the taking. Of the nine thousand and more companies that set up in 2019, at least more than one thousand operate as regional headquarters. A regional headquarter is an office with a parent company located outside of Hong Kong. Such office has managerial control over offices in Hong Kong and other places. Then there are 2,490 operating as regional offices which coordinate operations in the region of Hong Kong and other areas. And finally, there are 5,009 local offices set up in Hong Kong with parent companies outside of Hong Kong. The survey also documented an 11.3 per cent increase in jobs with 493,000 in 2019 compared to 443,000 in 2017. Mainland China tops the list with the most number of companies set up in Hong Kong, up to 1,799 companies. Japan is second with 1,413 companies, the United States of America with 1,344 companies, the United Kingdom with 713 companies and Singapore with 446 companies.

 

Start-up Making a Scene

The start-up scene in Hong Kong is making headlines too. In the 2019 Startup Survey by InvestHK, start-up companies have increased up to 42.8 per cent to 3,184 companies from 2017. These start-ups have provided jobs for up to more than twelve thousand employees. The start-up business spanned many sectors, including financial technology, supply chain management & logistics technology, e-commerce, as well as ICT. As it is constantly stated, the more, the merrier. The same applies to Hong Kong, where Mainland China and the global business community seemed to be attracted to the city in more ways than one.