Why Set Up Business in Macau?
Macau has a booming economy, thanks largely in part to its huge gaming sector. A booming economy means a high level of tourism. And for businesses, it is all about opportunities for expansion where the flourishing economy is at.
Macau is a part of the Special Administrative Region (SAR) of the People’s republic of China. The country’s economic strength can mostly be attributed to its resorts and entertainment projects. This means that Macau has access to large foreign exchange reserves thanks to these tourism and gaming sectors. That combined with its low tax rate of approximately 12% makes it a very attractive and lucrative location for investment purposes indeed.
Any overseas investor can open a business in Macau. There are no restrictions or constraints towards investors who wish to establish a company in Macau. There are, however, regulations that govern the various economic activities, which is typical for every country.
One such regulation for example, is foreign investors who wish to set up a business in Macau can do so on the condition that they take on a local partner as a shareholder. If a foreign investor wishes to be the sole owner of the business, then the investor can only open a branch of the business in Macau, not start it up from scratch. The low tax rate and free trade economic system are just some of the many reasons why investors would want to consider starting something in Macau.
Other reasons in invest in this region are:
Macau is Strategically Positioned
Macau is one of the main economic windows into China, and being part of the SAR of the People’s Republic of China has only served to further enhance the relationship between the two countries.
Macau is Continuously Improving Its Legal Framework
Having an open economy means Macau’s integration into the international trade system and the use of international business rules and practices are beneficial for the country’s economic development.
Macau Has Efficient Capital Markets and Portfolio Investment
Macau allows for the free flow of financial resources, and foreign investors can obtain credit in the local financial markets.
Stable Political Environment
Macau is a politically stable country, which makes it an ideal business investment location. Having a politically stable environment is crucial because it provides the ideal environment for nurturing a new business. A good political country is also able to offer its investors more in terms of tax breaks and other perks depending on the nature of the intended business, which are all important factors to help boost the growth of a new business.
Good Human Resource Development
Macau is invested in its people. The country invests on growing and developing the education of its people, as well as encouraging its citizens to attend professional training courses. This helps ensure its people are more than well equipped to meet the demands of an ever growing, competitive market.