{"id":159821,"date":"2025-08-08T11:20:08","date_gmt":"2025-08-08T04:20:08","guid":{"rendered":"http:\/\/www.thestorythailand.com\/?p=159821"},"modified":"2025-08-08T11:20:09","modified_gmt":"2025-08-08T04:20:09","slug":"investhk-thai-startups","status":"publish","type":"post","link":"https:\/\/www.thestorythailand.com\/en\/investhk-thai-startups\/","title":{"rendered":"Hong Kong courts Thai startups with major incentives"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">In an aggressive and multi-faceted push to cement its status as a premier international business hub, Hong Kong is rolling out the red carpet for foreign entrepreneurs, with a particular focus on Thailand\u2019s burgeoning startup scene. Government agency Invest Hong Kong (InvestHK) is spearheading the initiative, offering a powerful cocktail of non-equity grants, a favorable tax regime, extensive networking support, and streamlined pathways to residency, signaling a clear strategy to attract global talent and innovation.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The move comes as Hong Kong seeks to differentiate itself from regional competitors, positioning itself not merely as a gateway to Mainland China but as a strategic, two-way launchpad for global expansion.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">&#8220;We provide comprehensive, free-of-charge support for companies looking to land in Hong Kong,&#8221; said <strong>Lu Chin Yung<\/strong>, Senior Vice President of InvestHK\u2019s Startups Team, during a recent outreach event. &#8220;Our role extends beyond providing information; we connect businesses to the right people and resources to ensure their success. With 34 offices globally, including on the ground in Bangkok, and ten dedicated sector-specific teams, our support is both localized and deeply specialized.&#8221;<\/p>\n\n\n\n<h4 class=\"wp-block-heading\">A Multi-Million Dollar Bet on Innovation<\/h4>\n\n\n\n<p class=\"wp-block-paragraph\">Central to Hong Kong&#8217;s appeal is a robust, multi-stage funding apparatus designed to de-risk the notoriously challenging startup journey. The support begins with an &#8220;Ideation Program&#8221; that can provide a grant of approximately HK100,000(US12,800), enabling founders to validate their business concepts without shouldering the initial financial burden.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">For ventures that demonstrate potential, the government-backed Hong Kong Science Park and Cyberport offer an &#8220;Incubation Program&#8221; that unlocks up to HK1.3million(US166,000) in non-dilutive funding. &#8220;This is a grant, not a loan,&#8221; Lu emphasized. &#8220;Even if things don&#8217;t work, we are not going to take it back. We want to encourage innovation.&#8221; This support is often bundled with subsidized office space, a significant benefit in a city known for high real estate costs. Beyond this, further acceleration programs can invest millions more and even provide funding for Hong Kong-based startups to join prestigious overseas programs like Y Combinator.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This state-funded support has fueled a dynamic ecosystem now numbering over 4,700 startups, a figure that has grown steadily by 7-9% annually for the past five years. InvestHK has identified several key sectors where it sees maximum potential: Fintech, ICT\/AI, E-commerce, EdTech, and Data Analytics. The opportunities are underpinned by a pro-business economy with a simple, low tax system\u2014corporate profits are taxed at just 8.25% on the first HK$2 million and 16.5% thereafter, with no VAT or sales tax. This structure, according to Lu, boosts disposable income and domestic spending power.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\">Thai Success Stories Pave the Way<\/h4>\n\n\n\n<p class=\"wp-block-paragraph\">The strategy is demonstrably bearing fruit, with several Thai companies already making significant inroads. Jewelry brand Ravipa serves as a compelling case study in retail, launching its first Hong Kong store in late 2023 and, buoyed by strong sales, opening a second location in under six months.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In the tech sector, Thai food-waste app Yindee has found such a receptive market that Hong Kong is now its most successful city of operation. Yindee\u2019s journey illustrates the power of local partnerships, having established a key collaboration with the local Big C supermarket chain to reduce food waste. Their success highlights that market entry can be achieved directly, without necessarily going through incubation programs, for businesses with a clear market fit.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\">Talent Visas and Residency a Key Differentiator<\/h4>\n\n\n\n<p class=\"wp-block-paragraph\">To further bolster its talent pool, the government has introduced aggressive visa policies like the Top Talent Pass Scheme. The program grants a two-year visa to graduates from the world&#8217;s top 100 universities, critically, without requiring a prior job offer. This policy has already attracted over 40,000 applications, allowing a new generation of entrepreneurs to move to the city and establish their ventures from the ground up.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In a move that sets it apart from regional hub Singapore, Hong Kong offers a clear-cut path to permanent residency and potential citizenship after seven years of continuous residence. &#8220;You don&#8217;t waste your time staying in Hong Kong,&#8221; Lu noted. &#8220;You might be able to get a new identity that allows you to go further.&#8221; This long-term incentive provides a level of stability that is highly attractive to founders looking to establish a permanent base.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\">Strategic Advice for Founders<\/h4>\n\n\n\n<p class=\"wp-block-paragraph\">For Thai entrepreneurs considering the leap, Lu Chin Yung advises a pragmatic and open-minded approach based on three core principles.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">First, Adapt and Localize. &#8220;You cannot do a direct copy,&#8221; he urged. &#8220;Hong Kong has a different cost model. You must adapt to the Hong Kong way, leveraging digital platforms and starting with a smaller footprint to compete.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Second, Build Partnerships, Not Walls. He cautioned founders against viewing everyone as a competitor. &#8220;When you go overseas, you are there to make partnerships. These new friends will lead you on to more opportunities.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Finally, Start with Reconnaissance. &#8220;Before you commit, come to our events. Understand the ecosystem, share your ideas, get feedback, and build your network. That confidence is crucial for success.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">As Hong Kong continues to refine its value proposition, its message to the world, and especially to its Southeast Asian neighbors, is unequivocal: it is open for business, backed by capital, and ready to transform promising ideas into global enterprises.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.thestorythailand.com\/en\/07\/08\/2025\/159762\/\">Minor Food targets 4,500 stores in global franchise push<\/a><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.thestorythailand.com\/en\/06\/08\/2025\/159679\/\">Agentic AI set to redefine SaaS, says AWS expert<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Hong Kong is actively courting Thai startups with a powerful suite of incentives, including non-equity grants, low taxes, and streamlined 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