Starting A Business In Hong Kong And Funding It

It could have been Singapore, Taiwan, Korea, Malaysia, Hong Kong, or any other countries in Asia. But you may have chosen to base your new business or new startup in Hong Kong. You may want to take advantage of the international environment and the status of the default gateway to a much bigger market (i.e. China). One of the first things that you would follow up is the Hong Kong company registry i.e. Registration of your business as a legal limited company. The reason is that this will benefit you when you have very important business partners (who are shareholders) of your business, and you will most likely at some point receive funding/investment from one or more angel investors.

You may start with self-financing / self-funding your own business in the very beginning. You will have to think creatively. Tap into your own personal savings. Over the past few years when working as an employee for other companies, you would have gained some good working experience and gathered some savings. It could be the best time to spend this money. You may also have assets you do not really use, or the assets are not urgent in use by you or one of your family members. Such asset may be real estate related i.e. Your house, apartment, bonds you have bought in the past, etc.

The next option is to make use of your credit cards. Depending on how many cards you have and the amount of credits that are available to you from your bank (or credit card companies). But the downside of doing this is eventually you will still have to return the money, and the upfront amount of money you could receive from the credit card company (or your bank) may be very limited. A better version of borrowing money is to borrow against the equity of your property. Usually it would be the market value of property that you are to borrow against. You could luckily have borrowed a much larger sum of money.

On the opposite side of getting money, there is the saving of money. From time to time depending on the nature of your business, you may go on business trips to meet your big clients and/or some of the largest investors. Hong Kong is surrounded mostly by the sea unless your investor is in China. You may well fly out to meet them. To get to the airport, skip taking the Airport Express train which is one of the most expensive transportation. Take the normal underground train (MTR). Certainly there are many other methods in which you can save and make more money. Most of the differences that you can make is down to your correctness of your business direction and how hard and smart you can work towards your predefined business goals.

Justin Author