The HK$150 Billion Ecosystem: How Hong Kong Startups Win Without Giving Away Their Company

Hong Kong's innovation and technology sector is entering a pivotal era. The government has committed over HK$150 billion in capital deployment across multiple funding vehicles, and the ecosystem is beginning to mirror Silicon Valley's maturity – but with a crucial difference – founders here don't have to choose between capital and control.

Most people building a deep-tech, fintech, or biotech startup would have likely encountered the familiar VC deal: "Give us 20% equity for Series A".

But what if there was an alternate funding path?

One where you could access HK$2 - 4 million in non-dilutive capital, hire deep-tech talents at subsidized rates, and still negotiate Series A from a position of strength?

That path exists.

It's not a secret but it's fragmented across three ecosystems – the Research Talent Hub (RTH), Cyberport, and the Hong Kong Science and Technology Parks (HKSTP) – and most founder communities don't yet understand how to combine them effectively.

We share how you can combine multiple funding sources back-to-back (without conflict) and how forward-thinking founders are already leveraging HK$5+ million in runway before Series B.

Grant + Equity Beats Either Alone

A landmark study on innovation funding found that businesses securing both grants and equity co-invest outperform those taking either option in isolation.

Hong Kong's ecosystem is specifically designed around this logic. Unlike the US, where founders are pushed to VC-only models early, Hong Kong government programs actively encourage grant stacking paired with strategic equity rounds.

They raise more capital, achieve higher valuations, and maintain stronger founder control.

Why? Because each approach tests a different dimension of success:

• Government grants validate technical novelty and R&D merit

• Equity co-investors validate market opportunity and business execution

A founder who wins both has proven they have a credible technology and a credible market.

Cyberport: Fast-Track Funding & Community for Digital Tech

Founded in 2001 and now hosting 2,300+ tech companies, it's the entry point for digital-first startups: fintechs, edtech, AI/big data, e-commerce, IoT, gaming.

Creative Micro Fund (CCMF): The HK$100K Seed

CCMF is a proof-of-concept grant for early-stage digital tech ideas.

It's not huge, but it's significant because:

1. No dilution

2. Fast turnaround (applications accepted in batches; approval within 2–3 months)

3. Graduates fast-track to Cyberport Incubation

Typical use case: A fintech founder (solo or duo) uses CCMF to build a prototype payment app, validate PMF, and hire a first engineer. By Month 6, teams would usually have enough traction to apply for incubation.

Cyberport Incubation Programme (CIP): HK$500K + 24-Month Sprint

This is Cyberport's proven flagship.

Cyberport incubatees have won 1,600+ awards and created 530+ IP assets. Notable alumni include Klook, GOGOX, Snapask, and a growing roster of fintech unicorns.

Beyond the HK$500k, you get access to Cyberport's 500+ network of AI companies, investor connections (Cyberport Investors Network = 220+ VC units globally), and community ecosystem.

Typical progression: CCMF alumni → CIP Year 1-2 → Macro Fund or external Series A.

Cyberport Accelerator Support Programme (CASP): HK$300K for Endorsed Programs

For Cyberport CIP alumni or CCMF graduates, CASP provides HK$300,000 to participate in external accelerators (500 Startups, Techstars, Y Combinator, etc.).

As an accelerator “subsidy", it covers the bulk of the cost and helps you navigate the process.

Cyberport Macro Fund: The HK$400M Leverage Play

This is where Cyberport becomes a multiplier. The CMF is a HK$400 million co-investment fund that sits alongside Cyberport alumni startups' external fundraising rounds.

The Mechanism:

• You've graduated Cyberport Incubation

• You're raising a Series A from VCs

• Cyberport's Macro Fund co-invests alongside the lead VC

• This co-investment validates your business to other investors and increases your round size

The Leverage Ratio (as of October 2025): HK$1 of CMF capital mobilizes HK$9.3 in private VC investment.

Example: Cyberport commits HK$50M to a fintech scale-up's Series B. This attracts Sequoia, GGV, and other tier-1 VCs to invest a combined HK$400M in the same round. The founder gets the capital they need + validation + board talent.

HKSTP: Deep Tech, Biotech & Advanced Materials

If Cyberport is for digital-first, HKSTP is for deep-tech-first: biotech, advanced materials, semiconductors, AI (infrastructure layer), hard tech, green tech.

HKSTP operates across Hong Kong Science Park (Tai Po) and multiple innovation clusters, with world-class R&D facilities – wet labs, clean rooms, advanced manufacturing bays.

Co-Ideation Program: HK$100k Seed + University Bridge

HKSTP's newest collaboration (via HKU, HKUST, CUHK) targets founders with university connections and provides graduates fast-track admission to HKSTP Incubation.

HKSTP Incubation: HK$1.29M for the Serious Deep-tech Startups

This is the deepest, longest, most capital-intensive incubation in Hong Kong which provides full access to HKSTP facilities (wet labs, clean rooms, manufacturing bays, testing equipment).

Why HKSTP's longer runway matters:

Deep-tech R&D cycles are long. A biotech drug candidate needs 24–36 months of preclinical work before raising Series A. An advanced chip design needs 18–24 months for tape-out. HKSTP recognizes this; that's why they offer 36 months vs Cyberport's 24 months.

HKSTP Co-Acceleration: HK$15.6M Equity Co-Investment

This is where you aim for Series A co-investment. You don't come here with an idea; you come here with a business with standard co-investment rights.

• US Booster Program: If you're expanding to the US, HKSTP connects you with US accelerators, investors, and market entry support.

• China Booster Program: Fast-track to GBA expansion, Shenzhen partnerships, mainland customer connections.

• Global Conference Access: Annual summits where HKSTP portfolio companies pitch to global VCs and corporates.