Business Impact Assessment


  • Another work focus of business facilitation is to encourage bureaux and departments (B/Ds) to assess the business impact before introducing new regulatory/licensing requirements so as to better take into consideration the operational circumstances and capacity of the trades and understand the costs associated with compliance of the regulatory requirements.

  • Through conducting business impact assessments (BIAs), B/Ds can grasp the concerns and compliance difficulties of the affected trades in complying with the regulatory proposals which will facilitate the B/Ds to enhance or fine-tune their regulatory proposals so as to avoid the introduction of unreasonable regulatory or licensing requirements and reduce the compliance cost without compromising public interests.

Business Impact Assessment Framework

  • The Government has developed a BIA framework to provide general guidelines to B/Ds to facilitate their systematic assessment of the business impact of their regulatory proposals on the business environment.

  • The different tasks under the different stages of the BIA Framework are depicted below -


 Business Impact Assessment Framework

Business Compliance Cost (BCC) Framework

  • In addition, the Government has developed the Business Compliance Cost (BCC) Framework for assessing the additional compliance cost to be incurred from the regulatory proposals to facilitate B/Ds to estimate the BCC in a systematic and consistent manner.

  • An overview of the BCC Framework is as follows -


    Business Compliance Cost Framework



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Last revision date: February 2023

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