Young wary of starting a business
More than 80 per cent of young adults have no interest in running their own business, with most citing lack of support for start-ups and the high capital cost of entering business as the main reasons, a survey by the Trade Development Council found.
Council assistant chief economist Daniel Poon Wing-choi said the rate of entrepreneurship among young Hongkongers was lower than in many neighbouring cities. 'But one must consider Hong Kong is a developed economy and job opportunities abound,' he said. 'With jobs that offer stable income and lifestyle, it's normal that many opt for the salary.'
The survey found only 6 per cent of young adults had their own business, but Poon said those who had become bosses were getting some good results, with about 70 per cent of them having broken even.
The council surveyed more than 1,000 locals aged 18 to 35 over three months, ending in January. Eighty-three per cent were uninterested in being their own boss, with most citing lack of sufficient capital.
About 10 per cent were interested, but most said they had no plan to start anything within three years, and many said they wanted more financial support and subsidies on rent.
The Hong Kong Federation of Youth Groups, which jointly carried out the survey, is the only social body that offers loans to young people trying their hand in the business world.
Federation supervisor Gary Tang Leung-shun said the federation had received 1,100 applications for its interest-free HK$100,000 loan since the project began in 2005. More than HK$5 million had been lent.
'Young people can afford to be a little more adventurous than they are,' he said. 'Because whatever the results, they gain either a good amount of money or a precious lesson in the end.'
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The proportion of respondents who said they were interested in trying to start their own business: 10%
