New Markets & Exporting

A rapidly growing digital services organisation sought guidance on whether to expand offshore by establishing operations in New Zealand. The leadership team had been approached with an opportunity to form a new entity in-market alongside prospective partners, but required independent advice to understand structural options, risk exposure, capital requirements and whether the expansion was commercially sound.

Auscorporate delivered a full market entry assessment covering entity structure, ownership options, capital requirements, tax considerations, employment law, transfer pricing and pandemic-related operational risks. We also evaluated the capability and operating independence required for an offshore entity to succeed without relying on travel or intervention from its parent company — a critical factor during border-restricted periods. Scenario analysis was conducted for multiple entry routes, including incorporation, licensing, joint ventures, call-option structuring, outsourcing, and exporting.

Our advice enabled the client to understand the viability, risk profile and capital intensity of each route, while identifying governance and strategic control considerations that would affect shareholder alignment and long-term enterprise value. We provided clear recommendations to support a staged assessment process, ensuring leadership retained control, protected brand equity and avoided premature investment or partner commitment.

This work provided our client with clarity to move forward confidently, equipped with structured options, risk-adjusted scenarios, and a decision pathway aligned with their capability, shareholder interests, and long-term growth strategy.

A scaling technology client was exploring international expansion and sought clarity on whether establishing operations in Hong Kong was commercially viable. The leadership team required independent advice to understand entity structuring options, employment conditions, labour cost differences, taxation exposure and regulatory requirements before committing capital or entering into foreign operating agreements.

Auscorporate was engaged to conduct a market entry assessment comparing employment and operational conditions between Australia and Hong Kong, including wage levels, taxation brackets, leave entitlements, employee protections and ongoing HR obligations. We analysed incorporation pathways, including branch establishment, limited liability company formation, and non-resident business operations encompassing registration, governance, shareholder requirements, and regulatory compliance thresholds. Our work also evaluated barriers to banking setup, director presence requirements, company registry obligations, and documentation prerequisites for maintaining Significant Controllers Registers.

With salary, tax and labour frameworks materially different from Australia, as evidenced by comparative wage and income tax ranges. We modelled cost implications, regulatory risks, employment structuring considerations and administrative complexity. We also highlighted risk factors including statutory penalties for non-compliance, wage payment obligations, employee protection laws and long-service eligibility periods, ensuring leadership understood liability exposure, setup friction and ongoing governance cost.

Our assessment enabled the client to progress its international strategy with confidence. It gained clarity on the cost of operating offshore, the obligations involved in hiring local employees, the regulatory steps required for incorporation and the capital requirements necessary to sustain a presence in Hong Kong. By balancing commercial opportunity with risk visibility, the company was able to make informed decisions about timing, structuring and feasibility — rather than committing to expansion on assumption.