ESTABLISHING AN OFFICE IN HONG KONG

Hong Kong offers a wide variety of premises to suit any business.

Choosing a location

Central is considered Hong Kong's main business district. Leading names in the banking, accounting, legal and corporate worlds can all be found here. Of course, office space in such a sought-after location comes at a price, so many companies choose to locate in other popular areas, including Admiralty, Wanchai, Causeway Bay, Sheung Wan and Quarry Bay on Hong Kong Island and Tsim Sha Tsui (TST) and Kowloon East on the Kowloon peninsula.

Hong Kong's excellent public transport system means that companies can choose to locate in more affordable locations and remain easily accessible for clients and staff.

Leasing an office

Leases are typically for two to three years with an option to renew. They should always come with a full tenancy agreement. Outgoings will include:

• Cash security deposit (up to three months' rent, including service charge and government rates)
• One-off fee to the property agent (normally one month's rent)
• Management service charges - typically covering air conditioning, security, common areas, cleaning and other building services
• Government rates at five percent of annual ratable value, payable quarterly in advance
• Government rent is calculated at three percent of the ratable value of the property and is adjusted in step with any subsequent changes in the ratable value
• Legal fees (if you employ a lawyer to process the tenancy agreement)

Serviced or virtual offices

Serviced or virtual offices are a popular choice for newly arrived companies.

　　-Serviced offices are available across the city, allow for short-term leases and often provide tenants with a range of administration and secretarial services.

　　-Virtual offices provide a mailing address and a receptionist, who will answer the phone on behalf of your company.

Industrial buildings

Hong Kong offers three main types of industrial buildings for office set-up:

　　- Flatted factories - for general manufacturing, normally intended for sale or lease,

　　- Industrial/office premises - floor space in developments with planning permission and lease modification for industrial/office use,            certified for occupation,

　　- Specialized factories - primarily purpose-built for specialized manufacturing process, usually for occupation by a single operator.

Most of the flatted factories and industrial/office buildings are found in Kwun Tong and Tsuen Wan. Around 80 percent of specialized factories are in the New Territories.

Specialist centers (R&D, laboratory, high-tech facilities)

If your company is involved in science, technology, design or research and development, and requires specialized facilities, there are a number of excellent options available.