Why Set Up Business in Taiwan?
Strategically located at the crossroads of Asia, Taiwan has boasted a reputation of being an ideal platform in connecting China and Southeast Asian countries. Apart from its geographical advantage, Taiwan is also renowned for having made great strides in acknowledging the importance of intellectual property rights.
Listed below are just some of the interesting benefits and opportunities you will enjoy when setting up a company in Taiwan.
Dynamic Government Regulations and Policies
Foreign companies that are interested to setup businesses in Taiwan will usually register a limited liability company (LLC) which can be carried out with only one shareholder and one director, who can both be non-resident foreigners.
Unlike some countries, where a foreigner is not allowed to have a full ownership of a company, the Taiwanese government allows a foreigner to own 100% of a Taiwanese company. There is no minimum paid-up capital requirement for setting businesses in Taiwan.
Alternative corporate structures including the possibility of registering a branch or representative office is also available if you are interested to set up companies in Taiwan through a foreign entity.
Diverse Incentive Programs
Tax incentives are strongly advocated by the Taiwanese government for companies that plan to establish themselves in locations e.g. science parks, export processing zones, agricultural technology parks, and free trade zones.
Besides, low interest loans were introduced to cater specifically for innovation and R&D projects. The loan amount applied can be up to 80% of total expenses of the approved plan with up to a maximum amount of NTD 65 million per loan.
Solid Industrial Clusters
Being named as the 5th best in the world in terms of “State of Cluster Development” by the World Economic Forum, Taiwan offers solid industrial clusters and supply chains that cater to the ever demanding market needs.
In general, the industrial clusters in Taiwan are categorised into electronics and technology in the north, precision machinery in the central areas, and heavy industry in the south.
In addition to its 7 international harbours and 17 airports, Taiwan has a comprehensive transportation network which includes the island-wide conventional rail and highway systems; the west coast high-speed rail line; a national freeway system and several regional freeways.
Besides, the extensive availability of network has placed Taiwan 18th in the world in the 2015 World Economic Forum‘s “Network Readiness Index”.
Educated Labour Force
Running a business is incomplete without hiring the right talent to carry out the day-to-day operations. With more than 300,000 fresh graduates each year, Taiwan has never run short in supply of young and high quality labour force from different field of studies.