Banking and Financing

Banking in Hong Kong
Hong Kong is a major banking and financial centre in Asia. There are more than 130 licensed banks in Hong Kong as of August 2002. They provide a full range of financial services to their clientele in Hong Kong and in the Asia Pacific region. Services include retail banking, corporate banking, trade financing, investment services, etc. Banking facilities are extended based on the viability and credit risk of the individual company.

List of Banks in Hong Kong

Most leading Canadian banks have their own representation in Hong Kong. You may wish to consult your existing banker whether they have a branch in Hong Kong and what type of services they offer.

Opening a Bank Account

The procedures for opening a bank account in Hong Kong are relatively simple. You should first complete your company registration. Generally, you are required to submit the following documents:

• Business registration certificate and the related registration regulation forms

• Certificate of Incorporation

• Memorandum of Articles of Associations

• Identity card or passport of the directors and their particulars

• Certified copy of resolutions of board of directors regulating the conduct of the account

If you wish to open a bank account with your existing banker in Canada, you should obtain a reference letter from your Canadian branch. Since the operation in Hong Kong may be separated from the Canadian operation, this will ensure that the branch is informed of your current banking relationship in Canada.

Venture Capital in Hong Kong

Banking facilities aside, companies may also raise capital from the venture capital community. Hong Kong is the largest venture capital hub in Asia. With over 130 members, The Hong Kong Venture Capital Association provides a good venue for those who are seeking a venture capital partner to finance their project.

Financial Support from the Hong Kong Government

To maintain a level playing field, the Hong Kong government does not have any special financial support programs for overseas investors. All locally registered Hong Kong companies are entitled to the same treatment and financial support from the government, regardless of the nationality of their shareholders and owners.

To encourage the development of new technology and innovation, the Innovation and Technology Commission (ITC) provides various forms of support to companies in the technology field. For more details on various funding scheme, please refer to http://www.info.gov.hk/itc/

Statistics on Operating Costs

To conduct your own feasibility study on some key operating costs, such as average rental charges in Hong Kong, average salary levels in Hong Kong, general business expenses (utilities) and other expenses (accommodation and domestic help), please visit http://www.investhk.gov.hk/