Opening a hair or beauty salon in Hong Kong (2026)
Business Registration, MPF, Trade Descriptions Ordinance for prepaid packages, and the Octopus + AlipayHK reality of bookings.
Business Registration
Apply for a Business Registration Certificate at the IRD — HK$2,200 for 1 year. Sole proprietorship is fastest; limited company via CR costs ~HK$1,720 + registration.
MPF
Hire any staff for 60+ days and you must enrol them in an MPF scheme (5% employer + 5% employee, capped at HK$1,500/month each).
Prepaid packages and the TDO
After multiple high-profile salon collapses, the Trade Descriptions Ordinance is enforced aggressively against misleading sales practices. Cooling-off rights on prepaid packages > HK$3,000 are now expected — disclose clearly and document consent.
Profits Tax
Two-tier system: 8.25% on first HK$2 million, 16.5% above. No GST/VAT in Hong Kong.
Booking and payment mix
Octopus, AlipayHK, WeChat Pay HK, FPS, and credit cards — all expected. Beautifyx supports all four via Stripe and FPS QR.