Neat Team June 30, 2021 9:44 am

Hong Kong SMEs: How to overcome the barriers when starting a business

The challenge facing SMEs in Hong Kong

Small and medium-sized enterprises (SMEs) are considered the backbone of Hong Kong’s economy. With a total number of 340,000, the SME market  makes up more than 98% of Hong Kong businesses and is expected to grow in upcoming years. 

Despite Hong Kong’s size and scale, the majority of SMEs are sole traders, partnerships, family business, and street vendors. These are typically small business units and most of them are not well prepared with the necessary knowledge to set up, operate and grow a local enterprise.

From misunderstandings about governance standards, excessive registration procedures to strict compliance burden that cramps business potential, SMEs face many challenges during the initial phase of their business development.

Unlike some large local enterprises who have acquired good advisory services or private lawyers to fully comply with governance procedures at the early stage of running a business, SMEs tend to lack the budget required for such consultants, putting pressure on the business owners to take care of all the regulation nuances on their own.

Many SMEs in Hong Kong have weak governance frameworks at the start-up stage and are under threat of facing hefty penalties from the government or even strike-off for failing to comply with the regulation during the business setup and operating process. 

The solution for SMEs in Hong Kong 

In the turbulent time of the Covid-19 pandemic and quarantine, it is more important than ever that SMEs run at full speed to stay adaptive and reactive. However, many SMEs are still incorporating their business with traditional and unfit methods. For instance, a lot of entrepreneurs or small vendors would spend hours wrestling with paperwork, licensing, and permits on their own, or wasting time running back and forth to the government offices.

For Hong Kong SMEs to walk toward the path of success with ease, they need a more flexible and agile solution to set up and manage their company in good standing, while fully complying with governance practices.That’s where having BBCIncorp as a reliable companion on the business incorporation journey becomes an inevitable solution.

BBCIncorp utilizes the digital onboarding experience, which helps entrepreneurs structure and set up their Hong Kong business in a fully online paperless manner, which is simplified and more efficient than the traditional methods. Business owners are not required to be physically present to incorporate their company, which is especially beneficial for them during Covid-19 as they can stay safe at home and avoid hours of lines and bureaucratic hassles.

In addition, SME owners can manage their company 24/7 from anywhere in the world with BBCIncorp’s company management portal, and get access to a wealth of information resources about doing business in Hong Kong.

BBCIncorp not only delivers affordable and reliable solutions to SME’s, but also provides business compliance support and well-versed responses to any business regulatory changes.    

To find out more about how BBCIncorp can work for your Hong Kong business, visit website.

BBCIncorp x Neat partnership: Incorporate & set up a business account in no time

Understanding the need to set up business financial accounts and define the right business direction, Neat and BBCIncorp have partnered up to help SMEs and start-up enterprises unlock their full potential. 

You can now incorporate your business in Hong Kong with BBCIncorp and easily set up your Neat account.  The Neat account will give you access to local and international payments, simple invoice collections, virtual and physical Neat Visa cards and third party integrations (e.g. Xero and Stripe), which are all available through an easy to use dashboard and Neat App. All of these can be done completely online, without barriers to entry and complicated procedures.

Regardless of your business types and structures, our bespoke solutions will be delivered to meet your requirements with excellent quality.

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