Both Hong Kong and Singapore have their benefits and disadvantages in equal measure when it is a question of erecting a business. Some of the factors that you should consider when incorporating a company include the activity of the company, location of clients and suppliers, ease of doing business, taxation laws, ease of incorporating a company, type of documents required, and banking facilities required by the applicant.
Among others, these are some of the questions that any investor should ask before making their final decisions on where to invest. Both Hong Kong and Singapore are in Southeast Asia, and it is hard to choose the best place to set your business. Some decades ago, Hong Kong was popularly known for its business opportunities, and most expats preferred the location for business purposes and employment opportunities. However, that is not the case with the current business opportunities and possibilities. Singapore is picking, and it has grown into a business hub for the expats. These are some of the comparisons that this article will highlight to enable you to make informed decisions on the best place to invest.
Singapore is located between the East and the West. It maximized the benefit and rose to an Entrepot to serve both ends. Its central position gives it an upper hand when it comes to utilizing the port and thus receiving a relatively high number of visitors in its port. It has one of the best port facilities and connects over 600 major ports distributed globally. Singapore’s shipping port is ideally one of the busiest and oldest ports in the world. Its extensive marine services network makes it a destination for most investors.
Nonetheless, Hong Kong equally occupies a favorable location. Its proximity to China exposes it to more consumers thus customers. Approximately 1.2 billion potential consumers make Hong Kong’s location advantageous to incorporate a business. Singapore and Hong Kong give ease of access to the emerging economies within the Asian subcontinent. Singapore’s Changi Airport and Hong Kong’s International Airport are arguably some of the best airports globally. Both of the airports offer accessibility to all world’s major cities, making them better options for investors.
As an investor, depending on whatever your consideration with location is, any of the states can be a better option to start and run your business as they both offer an advantage in a way or another. Thus location is a win-win when comparing Hong Kong to Singapore.
Ease of doing business
Both Singapore and Hong Kong are known for their ease of doing business, and the entire process of starting a company in both countries is approximately three working days. The availability of infrastructures in both states is added advantages to the ease of doing business in Hong Kong as it is in Singapore. As of 2020, Singapore was ranked 2nd in the world with ease of doing business while Hong Kong was ranked 3rd. Therefore, Singapore wins with the ease of starting and doing business.
Quality of life
While both Hong Kong and Singapore are similar in several factors that one would consider when doing business, it is not the case with the quality of life. Singapore is considered as one of the easiest places to adapt to when doing business. The cosmopolitan city has a stunning social and ethnic fabric that offers a unique blend of different cultures and lifestyles. It is considered one of the modernized and civilized states, and English is the widely used language of communication. Besides, Singapore enjoys a healthy, nutritious, and pollution-free environment free from congestion and traffic. Singapore offers a wide variety of foodstuffs, and it follows the urban standard of living that gives its citizens a relatively higher quality of life than its rival Hong Kong. Thus, Singapore ranks higher than in Hong Kong in the quality-of-life consideration. Therefore, if you are not familiar with the Southeast Asia lifestyle, then you are more likely to adapt fast in Singapore than you will in Hong Kong.