Singapore vs Hong Kong
Hong Kong has the lower headline tax (8.25%), and Hong Kong is cheaper to set up (from $1,200).Which is better depends on where you live and where your customers are.
| SGSingapore | HKHong Kong | |
|---|---|---|
| Entity | Private limited company (Pte Ltd) | Private company limited by shares (Ltd) |
| Corporate tax | 17% headline, ~8.5% effective on first S$200k for new startups | 8.25% on first HK$2m, 16.5% above — territorial |
| Setup cost from | $2,500 | $1,200 |
| Setup time | 1–3 business days | 1–5 business days |
| Minimum capital | S$1 | HK$1 |
| Local director | Required | Not required |
| Remote formation | Yes | Yes |
| Residency visa | Possible | Possible |
| Banking | Moderate | Difficult |
| Best for | Serious Asia-focused businesses, tech startups raising capital and holding structures that need a top-tier reputation. | Trading, sourcing and e-commerce businesses dealing with China and Asia that want a low-tax, territorial system. |
Choose Singapore if
Serious Asia-focused businesses, tech startups raising capital and holding structures that need a top-tier reputation.
- Incorporation often completed within one day, fully online
- World-class reputation, banking and treaty network
- Startup tax exemption on the first S$200,000 of profit for three years
Choose Hong Kong if
Trading, sourcing and e-commerce businesses dealing with China and Asia that want a low-tax, territorial system.
- Low two-tier profits tax and a territorial system — offshore profits can be exempt
- No local director needed, 100% foreign ownership
- Fast online incorporation, often within a day