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Hong Kong SMEs face rising business costs and rapidly evolving cyber risks, while AI is thought to significantly impact business productivity, finds QBE Hong Kong annual SME survey

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Almost 60% of survey respondents say increased costs and reduced profitability is a challenge, with about half finding cash flow and access to funding a challenge.To counter these issues, many continue to implement a wide range of measures, including the use of AI to support business productivity.While AI is having a positive impact on Hong Kong SMEs, risks loom, with the proportion of respondents concerned about AI-associated threats increasing.Fortunately, awareness of cyber risks is on the rise, as is the proportion of Hong Kong SMEs purchasing insurance as a means of protecting their businesses from these threats.

HONG KONG, Feb. 17, 2025 /PRNewswire/ — QBE Insurance today announced the findings from this year’s QBE Hong Kong SME Survey. Conducted between November 2024 and January 2025, 600 decision-makers gave their views on a wide range of business risks and opportunities, including the impact of artificial intelligence and cyber risks, and their appetite for insurance digitalisation.

Notably, today’s business challenges are being felt by many more Hong Kong SMEs than in the past. The percentage of businesses experiencing increased costs and lower profitability dramatically rose from 40% last year to almost 60% this year. Similarly, about half are challenged with both talent and labour shortages, as well as financial issues such as cash flow shortfalls and limited access to funding, compared to 39% and 34% respectively last year. The proportion of respondents experiencing such challenges rose across eight different categories year-on-year.

Echoing these findings, the economic outlook for the next 12 months is less positive than a year ago. Some 64% of respondents believe this year will be better economically than the past 12 months, versus 70% last year. Among several drivers of this viewpoint, 74% of today’s SMEs are experiencing deteriorating investor and customer confidence, up from just 63% last year. Survey respondents are equally as pessimistic about the performance of their respective companies: in the 2024 survey, 70% of respondents believed sales during the ensuing year would be better, compared to 65% in this year’s edition.

“Despite today’s difficult conditions, businesses are rising to the challenge,” observed Andex Fung, Head of SME Segment, Asia at QBE. “Over the past few years, Hong Kong SMEs have become more resilient to the myriad of challenges ahead of them, and continue to roll out measures designed to meet these. Three-quarters of Hong Kong SMEs have taken cost control measures, while 45% of respondents have streamlined their operations, and 42% have diversified their offerings. We believe these actions underscore the ability of local businesses to respond and adapt.”

AI adopted in business productivity, despite looming cyber risks

Increasingly, Hong Kong SMEs are leveraging AI when it comes to business productivity. This year, 57% of respondents said they were using the technology, up from 55% 12 months ago. Despite this, 57% also don’t believe AI will replace jobs in their respective companies any time soon.

While SMEs are upbeat about the current and future trajectory of AI, they are also wary of the future risks the technology poses. Some 47% said it presents a threat to business activity, up from 31% last year. The top AI risks include privacy issues and loss of jobs, cited by 69% of respondents; with 52% of SMEs having security concerns. Regarding the likelihood of AI replacing human roles, the majority of respondents only expect to see this in three areas — customer service, human resources, and sales and marketing — but not until after 2031.

Awareness of cyber risks overall is notably on the rise. Over half of SMEs say they are now fully informed of these, with 43% saying they are somewhat informed, up from 48% and 41% respectively. Despite this, the proportion of businesses experiencing a cyber event rose from 30% in 2024 to 33% this year. This increase might be the result of Hong Kong SMEs retracting on cyber protection activities. This year’s survey saw a fall in the proportion of businesses using cyber security solutions and software (down from 62% to 60%), staff training (45% to 43%), and cyber resilience consultants (42% to 36%).

While businesses may be reducing investment in these areas, they are however spending in other areas. The percentage of Hong Kong SMEs hiring dedicated cyber security staff rose from 43% to 49% over the past year, while those purchasing cyber insurance also rose, from 39% to 43%. The top three drivers for purchasing coverage this year include paying for legal services, hiring security or forensics experts, and covering the costs associated data breaches.

Of the 62% of respondents who do not have any form of cyber insurance, 63% would consider purchasing it, while 11% would categorically not consider it. Potential reasons include cost; the fact that their business doesn’t store data; and the perceived low impact of such events on their businesses.

“It’s heartening to see Hong Kong SMEs heighten both their knowledge as well as protection measures against cyber-attacks. The interdependency across sectors and businesses makes such risks unavoidable and the increased awareness of local SMEs demonstrates the role insurers like us can play in furthering their know-how and supporting their risk management in the current cyber risk landscape,” added Mr. Fung.

Insurance digitalisation sees a shift back towards offline channels

When purchasing insurance, whether cyber or any other form of coverage, customers prefer an experience that combines in-person and digital touchpoints. Overall, 68% of Hong Kong SMEs prefer offline channels (2024: 57%), versus 32% who prefer online (2024: 43%).

85% of SMEs prefer an insurance package tailored to their unique needs, covering multiple business risks, while 15% want individual products that cover specific business risks. “Although SMEs’ preference for online insurance channels has declined, our survey shows that a higher percentage of SMEs are using digital platforms for key touchpoints such as research, payment, inquiries, and claims,” noted Lei Yu, CEO for North Asia.

A notable finding from this year’s survey is a shift away from online towards offline channels, with a decline in preference for both online aggregators (2025: 16%; 2024: 22%) and direct online platforms (2025: 16%; 2024: 21%). While reliance on offline, in-person channels among brokers (2025: 30%; 2024: 22%) and banks (2025: 18% ; 2024: 14%) is up 8% and 4% respectively.

“Through a combination of various digital initiatives, combined with the high servicing levels of our intermediaries, we offer an omnichannel purchasing experience that leverages the best of both worlds — creating a highly personalised buying experience that enables customers to acquire holistic insurance solutions that meets their unique needs,” said Ms. Yu.

Appendix: Hong Kong SAR-Singapore SME survey: Business outlook summary

For results of a similar survey conducted with Singapore SMEs, please visit this link.

2025 vs. 2024 results

Hong Kong SAR

Singapore

Top 5 business challenges

(2025: 2024)

1)      Increasing costs / reduced profitability (59% : 40%)

2)      Staff acquisition and retention / labour shortage (50% : 39%)

3)      Finances (cash flow, funding, investments, forex etc.) (49% : 34%)

4)      Economic uncertainty and financial resilience / economic downturn (47% : 30%)

5)      Shortage of orders / business decline / closing down (46% : 33%)

 

1)      Increasing costs / reduced profitability (66% : 50%)

2)      Sales growth / reduced customer spending (56% : 40%)

3)      Finances (cash flow, funding, investments, forex etc.) (51% : 36%)

4)      Growing the business (50% : 36%)

5)      Increasing competition (50% : 39%)

Top 5 business concerns

(2025: 2024)

1)      Cost of running the business (46% : 35%)

2)      Possible economic downturns in Hong Kong or other countries (41% : 27%)

3)      Long-term profitability (39% : 30%)

4)      Shifting to a sustainable business model (39% : 30%)

5)      Consolidating services (39% : 33%)

1)      Cost of running the business (62% : 39%)

2)      Getting new customers / keeping customers (55% : 37%)

3)      Long-term profitability (53% : 34%)

4)      Cost of staff (48% : 33%)

5)      Possible economic downturns in Singapore or other countries (48% : 29%)

Business outlook

(2025 : 2024)

Economic confidence

•         Better (64% : 70%)

•         Unchanged (19% : 14%)

•         Worse (17% : 16%)

Business sales outlook

•         Increase (65% : 70%)

•         Unchanged (21% : 20%)

•         Decrease (14% : 10%)

Economic confidence

•         Better (52% : 60%)

•         Unchanged (26% : 22%)

•         Worse (22% : 18%)

Business sales outlook

•         Increase (55% : 62%)

•         Unchanged (29% : 25%)

•         Decrease (17% : 13%)

About QBE Hong Kong

QBE Hong Kong is part of QBE Insurance Group and has been serving Hong Kong for more than a century. Today, QBE Hong Kong operations include QBE Hongkong & Shanghai Insurance Limited, QBE General Insurance (Hong Kong) Limited, and QBE Mortgage Insurance (Asia) Limited. As a leading general insurer, QBE Hong Kong provides a comprehensive range of non-life insurance solutions for both business and personal customers. QBE Hong Kong operates through an extensive network of professional insurance agents and brokers.

To learn more about QBE Hong Kong, please visit www.qbe.com/hk

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SOURCE QBE Hong Kong

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TELUS transforms legacy telecommunications site into 195 new homes for Nanaimo

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Across Canada, demand for rental housing continues to outpace supply. TELUS Living is helping address this challenge by transforming existing TELUS properties into smart, sustainable homes in communities where new housing is needed most.

NANAIMO, BC, July 23, 2026 /CNW/ — TELUS Living today opened a new 195-home purpose-built rental community in downtown Nanaimo, transforming a former telecommunications property into smart, sustainable housing that helps address one of Canada’s most pressing challenges: increasing rental supply in growing communities. Located at 235 Wallace St, the multi-storey, mixed-use build features 195 purpose-built rental units, providing much-needed housing supply to downtown Nanaimo, while thoughtfully honouring the city’s unique coastal identity and heritage.

The Nanaimo development is part of TELUS’ long-term strategy to repurpose legacy telecommunications infrastructure into purpose-built rental housing as the company modernizes its network and completes the transition from copper to PureFibre technology. The Nanaimo community joins TELUS Living’s growing portfolio of developments that are transforming underutilized TELUS properties into housing across Canada.

“The Nanaimo development represents exactly what TELUS Living stands for by providing purpose-built rental housing tailored to the specific needs of the community it serves. We’ve designed 235 Wallace St with Nanaimo’s unique character in mind, offering a curated lifestyle that blends a climate-conscious, Zero Carbon Design approach with top-tier wellness and smart-tech amenities,” said Manasweeta Bhatia, Vice President of Corporate Real Estate at TELUS. “We shape every TELUS Living project by listening to the community, understanding its unique identity and design needs, and building accordingly. Its central downtown location and proximity to both Vancouver Island University and Nanaimo Regional General Hospital also position it as an ideal home for students, educators, and healthcare workers seeking modern, connected living.”

“More housing and good jobs are a win-win for downtown Nanaimo,” said Sheila Malcolmson, MLA for Nanaimo-Gabriola Island. “Adding to the approximately 1,500 affordable homes our B.C. government has completed and underway in Nanaimo, it’s great to see TELUS stepping up with 195 new units. It’s been great to see hundreds of construction and indirect jobs in town, and I can’t wait to see folks move into their new homes.”

“I’m thrilled to see a new rental option in downtown Nanaimo, and especially excited that this conversion was made with sustainability and active transportation in mind,” said George Anderson, MLA for Nanaimo-Lantzville. “Ensuring everyone can find homes they can afford in the communities they love requires creative approaches, and I hope to see more creativity like this in the future.”

“I’m delighted to celebrate the opening of TELUS Living Nanaimo, a landmark project that strengthens our downtown as a vibrant, inclusive place to live,” said Leonard Krog, Mayor of Nanaimo. “This partnership between the City of Nanaimo, our community, and TELUS demonstrates what’s possible when we work together toward shared goals. The addition of nearly 200 diverse housing options is exactly what our city needs, and we’re excited about the positive impact this will have on our community. TELUS’ commitment to our city and investment in our future will contribute to Nanaimo’s economic and social vitality.”

Situated within walking distance of downtown’s vibrant cafes, eclectic Old City Quarter, the iconic Harbourfront Walkway, and a short transit ride from Vancouver Island University and Nanaimo Regional General Hospital, the development is architecturally designed to blend classic and contemporary exterior elements. Curated for modern living, the community offers an expansive suite of indoor and outdoor social amenities alongside street-level retail and public art contributions.

Project Highlights:

Smart-Enabled Living: Powered by the TELUS PureFibre network, the custom TELUS Living App provides keyless entry, smart climate control, leak detection, parcel notifications, visitor management, and amenity bookings.Social & Wellness Amenities: Features a rooftop deck with an outdoor kitchen, BBQs, and panoramic views, alongside a state-of-the-art fitness centre and resident lounge.Pet & Active Lifestyle Ready: Equipped with a dedicated children’s outdoor play area, outdoor bark park and pet care station, secure underground parking, bike storage and maintenance facilities.Premium Functional Interiors: Studio to three-bedroom layouts include private balconies, individual A/C with Energy Recovery Ventilators (ERVs) for optimal air quality, Samsung SmartThings appliances, and in-suite laundry.Gold-Standard Sustainability: Sets a Vancouver Island benchmark aligned with Zero Carbon Design standards and Salmon-Safe development guidelines that actively protects local ecosystems.

This opening marks a significant milestone in TELUS Living’s mission to transform existing real estate holdings into purpose-built rentals that bridge the housing gap with smart, sustainable, and community-focused developments. As TELUS completes its transition from legacy copper to advanced fibre networks, the company is transforming its historic central offices–which once served as the backbone of B.C.’s phone system–into vibrant, smart, purpose-built rental communities. TELUS Living is breathing new life into these properties to help address Canada’s housing crisis. For more details on TELUS Living Nanaimo or to view available floor plans, please visit telusliving.com/nanaimo.

About TELUS

TELUS (TSX: T, NYSE: TU) is a world-leading communications technology company operating in more than 45 countries and generating over $20 billion in annual revenue with more than 17 million customer connections through our advanced suite of broadband services for consumers, businesses and the public sector. We are committed to leveraging our technology to enable remarkable human outcomes. TELUS is passionate about putting our customers and communities first, leading the way globally in client service excellence and social capitalism. TELUS Health is enhancing approximately 170 million lives across 200 countries and territories through innovative preventive medicine and well-being technologies. TELUS Agriculture & Consumer Goods utilizes digital technologies and data insights to optimize the connection between producers and consumers. TELUS Digital specializes in digital customer experiences and future-focused digital transformations that deliver value for their global clients. Guided by our enduring ‘give where we live’ philosophy, TELUS continues to invest in initiatives that support education, health and community well-being. In 2023, we launched the TELUS Student Bursary, which strives to ensure that every young person in Canada who wants a postsecondary education has the opportunity to pursue one. To date, the program has distributed over $6 million in bursaries to 2,000 students and counting. Since 2000, TELUS, our team members and retirees have contributed $1.85 billion in cash, in-kind contributions, time and programs, including 2.5 million days of service–earning TELUS the distinction of the world’s most giving company.

For more information, visit telus.com.

For more information, please contact:
Brandi Rees
TELUS Public Relations
brandi.rees@telus.com 

SOURCE TELUS Communications Inc.

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Award-Winning Author Euran Daniels to Deliver Opening Keynote at International Nevus Outreach Conference, Unveiling New $100,000 Global Initiative to Advance CMN Research and Awareness

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ORLANDO, Fla., July 24, 2026 /PRNewswire/ — Award-winning author, entrepreneur, and Congenital Melanocytic Nevus (CMN) advocate Euran S. Daniels will deliver the opening keynote address at the 2026 Nevus Outreach International Conference on Sunday, July 26, 2026, at 1:00 p.m. at the Renaissance Orlando at SeaWorld®.

Launching the conference under this year’s theme, “Amplify,” Daniels will share his personal journey of living with CMN for more than 50 years and challenge attendees to transform awareness into meaningful action through hope, advocacy, and research.

During his keynote, Daniels will unveil a new global initiative aimed at expanding awareness and inspiring greater support for CMN research. The initiative will encourage individuals, healthcare organizations, corporations, and philanthropists to join a collaborative effort to improve the lives of those affected by this rare skin condition.

“For more than fifty years, I’ve lived with a visible mark that became my purpose,” said Daniels. “My hope is that every person leaves this conference believing they can make a difference by amplifying hope, supporting research, and leaving a positive impact on the lives of others.”

CMN is a rare skin condition present at birth that, in its larger forms, affects approximately 1 in every 20,000 births. Individuals living with CMN may face complex medical challenges, including an increased risk of melanoma, multiple surgeries, and the emotional impact of living with a visible difference.

Daniels’ keynote will focus on three powerful messages: You’re Not Alone. Live Your Life. Leave Your Mark.Through his story of resilience and leadership, he hopes to inspire families, advocates, researchers, and community leaders to work together to create greater awareness and opportunity for those living with CMN.

Media are invited to attend the keynote address to learn more about this initiative. 

For more information, visit www.EuranDaniels.com or to support CMN research, visit www.nevus.org/joineuran.

Media Contact:
Media Relations – Fanisha Love (910) 262-3439
Email: info@danielscompany.com
Website: www.EuranDaniels.com

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SOURCE Daniels Company

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Immigration Desk Shares Guidance for Entrepreneurs and Foreign Businesses Planning US Expansion in 2026

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NEWTON, Mass., July 24, 2026 /PRNewswire/ — Immigration Desk is highlighting key immigration considerations for entrepreneurs, investors, and foreign-owned companies looking to establish or expand a presence in the United States, as interest in cross-border growth continues alongside evolving visa procedures and compliance expectations. The firm noted that many business owners plan with a general goal of opening a US office,  only to be met by a system that favors careful planning and documentation. 

Immigration planning often intersects with business planning, with company structure, ownership percentage, funding sources, job roles, and operational timelines influencing the pathways available and evidence required. A viable business plan alone often isn’t enough, and applicants must also meet specific legal definitions tied to visa categories. Those definitions, however, can differ significantly depending on the route pursued.

“Business immigration is not a single form or a single standard,” said Anu Gupta, attorney at Immigration Desk. “Entrepreneurs and foreign businesses often come to the process thinking in terms of growth goals like opening a location, hiring, and launching a product. However, the immigration system asks for detailed proof of role, eligibility, and structure. Planning early helps align those two realities and avoids last-minute surprises.”

Immigration Desk notes that entrepreneurs and foreign businesses typically evaluate options based on the nature of the US activity and the individual’s role. For some, the relevant question is whether a company can transfer an executive, manager, or specialized employee to a US office under an intracompany framework, particularly when the business can document a qualifying relationship between entities.

For others, the analysis may focus on investment-based categories where the applicant is actively directing and developing a US enterprise. In still other cases, founders may explore categories that emphasize extraordinary ability, research-based work, or employer sponsorship, depending on the individual’s background and the company’s needs.

L-1 and E-2 Visas: Pathways for Multinational Companies and Investors

For companies evaluating intracompany transfers, the L-1 visa provides a structured pathway for multinational businesses to bring executives, managers, or employees with specialized knowledge to a U.S. office — including newly established entities. Immigration Desk notes that L-1 cases require careful documentation of the qualifying relationship between the foreign and U.S. companies, as well as a clear demonstration of the applicant’s role and seniority. For new U.S. offices in particular, USCIS applies additional scrutiny to whether the operation is sufficiently established to support the position being petitioned.

The E-2 treaty investor visa offers a separate route for entrepreneurs from qualifying treaty countries who are making a substantial investment in and actively directing a U.S. enterprise. While the E-2 does not require a minimum investment threshold, Immigration Desk emphasizes that the investment must be proportional to the nature of the business and at risk in a commercial sense — factors that require careful structuring and documentation from the outset. Unlike some other business visa categories, the E-2 does not provide a direct path to permanent residency, which means founders relying on it should also plan for long-term status options early in the process.

The firm also points to a recurring challenge for growth-stage companies: staffing. Employer-sponsored visas can involve strict timing, evolving agency practices, and in some categories, annual numerical limits. In recent years, many employers have sought clarity on how to plan around the H-1B cap and lottery cycle, particularly when hiring needs don’t align neatly with government filing windows.

While the H-1B category remains widely used for specialized professional roles, Immigration Desk emphasizes that businesses should treat it as one part of a broader hiring and compliance plan rather than a single solution, especially when role definitions, worksite compliance, and documentation requirements are central to adjudication.

“People often focus on the name of a visa category, but the practical work is in the documentation and the operational reality behind the petition,” Gupta added. “For businesses, that means understanding what the government expects in terms of job duties, business activity, and the evidence that supports eligibility. For entrepreneurs, it can mean clarifying ownership, funding, and what day-to-day leadership looks like in a way that is consistent and well documented.”

Immigration Desk also notes that immigration planning frequently involves risk management. Businesses may need to consider how quickly a US operation must become functional, what happens if timelines shift, and how to maintain continuity if a petition is delayed or requires additional review. For founders, the concerns often include whether a pathway supports both business operations and personal stability, including travel, family planning, and long-term status options.

The firm cautions that immigration outcomes depend on individualized facts and that what works for one company may not apply to another. However, the most consistent problems, like incomplete timelines, inconsistent documentation, unclear roles, and last-minute filings, are completely avoidable. In response to those issues, Immigration Desk encourages business owners to approach US immigration as a phased process that begins with strategy and thorough preparation, with an operational plan for compliance after arrival.

For more information, please refer to the company’s website.

Immigration Desk
704 Walnut Street Newton, MA 02459
1-800-688-7892
https://immigrationdesk.com/
clients@ImmigrationDesk.com 

At Immigration Desk, attorney Anu Gupta and her team have helped thousands of entrepreneurs, investors, and multinational companies navigate complex immigration matters. With more than 40 years of combined experience and over 10,000 immigration cases handled, the firm has developed a reputation for careful preparation and strategic case planning. Whether you are a startup founder, a multinational executive, or an investor seeking to establish a presence in the United States, Immigration Desk can help you determine the most effective immigration strategy for your situation.

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SOURCE Immigration Desk

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