Hong Kong Small Businesses Set Record Expectations for Growth and Innovation in 2023

Must Read

After their recovery from the CoVid-19 pandemic, small businesses in Hong Kong are now ready to take their primary step towards growth. 

CPA Australia conducted their annual Asia-Pacific Small Business Survey, which involved 4,280 small businesses in 11 APAC markets as their respondents. Three hundred and twelve of the participants were from Hong Kong.

More than half of the small businesses polled (58%) expect to increase the number of employees this year, a significant increase from the 26% in 2022. 

Cliff Ip, Deputy Divisional President of Greater China for CPA Australia, claims that Hong Kong’s rebound from a “low base” following the previous three years contributes to the increase in confidence. 

More than half (56%) of small firms experienced growth in 2022, and 65% of business owners anticipate economic growth in 2023, suggesting a bright future. According to the report, the recovery was greatly aided by government relief efforts, and technological advancements boosted earnings.

Around 10% of their earnings, according to 78% of respondents, come from eCommerce platforms. The report also showed that 84% of sales were made using digital payment methods, and more than 60% of small businesses claimed their technology investment had contributed a significant profit.

The relaxation of financing requirements has benefited Hong Kong’s small enterprises, with 74% planning to seek external funding in 2022, primarily from banks and grants from the government. 

More than seven out of 10 small enterprises said it was simple to get outside funding. Although the government’s initiatives have been helpful, 91% of small businesses intend to seek external funding this year, showing that maintaining liquidity and enhancing cash flow is crucial in the current environment. 

Another notable trait is using outside counsel, with 93% of small enterprises doing so in 2022, mainly from IT consultants and banks or financial institutions. Hong Kong’s full reopening presents exciting opportunities for small businesses to expand their products and services and tap into emerging markets; however, being resilient to changing conditions can make them thrive in the post-pandemic world.

“Technologies, business conditions and regulations can change quickly. Professional advice is important to small businesses to put them on the right track to overcome challenges,” Davy Leung, Deputy Chairperson of CPA Australia’s Small and Medium Enterprises Committee – Greater China, said.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisement -spot_img
Latest News
- Advertisement -spot_img

More Articles Like This

- Advertisement -spot_img