
As of 2023, the number of overseas & mainland companies in Hong Kong has reached 9,039, of which mainland companies have the largest number, reaching 2,177. What advantages attract mainland enterprises to develop in Hong Kong?
1.Open & Free Trade Environment
Ranked as “the freest economy in the world” for 25 consecutive years
Simple procedures for enterprises to set up companies in Hong Kong.
No foreign exchange controls, free flow of funds
Hong Kong's airport and port have a significant global logistics status.
Import goods are exempt from tariffs.
2.Financing Convenience
Large capital market with strong liquidity.
Enterprises can raise funds through various means, including equity and bonds.
Professional financial institutions help companies obtain funds more efficiently.
3.Simple Tax System & Low Tax Rates
Only local income is taxed; overseas profits are tax-exempt.
The tax rate for company profits below HK$ 2 million is 8.25%, with a rate of 16.5% on profits exceeding that amount.
Agreements signed with over 40 countries to avoid double taxation.
4.No Foreign Exchange Controls & Offshore RMB Market
Hong Kong is the world's fourth largest foreign exchange trading center, with an average daily turnover of US$690 billion.
The Hong Kong dollar is pegged to the US dollar, resulting in lower exchange rate risk.
Hong Kong is the world’s largest offshore RMB market, handling 70% of global offshore RMB transactions.
5.Professional services
A hub for global financial, legal, accounting & other professional talents.
Provide support for the company’s international strategy and improve management and operational efficiency.
6.Conclusion
By choosing Hong Kong as the base for international business, companies can make full use of its unique market environment and policy advantages to further expand their global business territory.
If you want to know more about corporate services, please contact Oceanus Strategic. We will publish more interesting articles in the future, so stay tuned.
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