How to go about starting a business in China?

Hi Anya, starting a business in China can be quite daunting and one really needs to do their homework about this. There are many different cultural and business norms which one will have to learn about. One of our experts in the country who owns his own business in China has actually just written an article for us on how to go about this, so be sure to check out our new Starting a Business in China page! Good luck with your new venture!

How to set up business in China is a question that bothers many of enthusiastic expat entrepreneurs who quickly become disenchanted by ‘bureaucratic bull****’, as one commentator put it. The market is vast and tempting but the procedure for the incorporation of business in China is extremely cumbersome, hectic, time consuming without the right knowledge. For most foreign businesses a Wholly Owned Foreign Enterprise in China is less risk than going into a partnership with a local. What is a Wholly Owned Foreign Enterprise (WFOE)? Commonly called a WFOE, the Wholly Foreign Owned Enterprise is where the investors are either foreign people and / or foreign companies. To startup a business in China, you will need to finalise your incorporation before you can begin any kind of business activities. The investors need to make a deposit of certain minimum capital as part of the procedure (which is different depending on industry). Should I Hire a Professional to Register My Business in China? Hiring professionals is essential if you want to get off the ground in the shortest possible time frame. If you are starting your business, these professionals will do everything to make sure that the beginning goes well. When a client goes to them and tells them that I want to register my business in China and also understand the taxation for my business in China, the liability for informing you is also borne by this advisor and this can protect you in-case of screw ups. A Professional Isn’t a Professional if They Don’t Prepare You for the Process They would be wise to take their client through the entire process for incorporation so they know what’s coming as it is a little onerous at time. They would also assist in documents preparation for business setup in China. They would also extend help to get the registered name for the company as well as the English version for it because the company will have a global presence. The documents may vary from time to time with changes in the laws but the general documents remain same. Hence, the company needs to furnish everything from the appointment letter and resume of the legal representatives to the leasing contract and Articles of Association of the company. The experts double check everything before the documents are finally submitted. This is just a brief introduction to doing business in China, please explore this site for more specific resources as per industry, documentation, risks, and more. Got Questions about registering a business in China? Contact Jonathan at [email protected]

How to set up business in China is a question that bothers many of enthusiastic expat entrepreneurs who quickly become disenchanted by ‘bureaucratic bull****’, as one commentator put it. The market is vast and tempting but the procedure for the incorporation of business in China is extremely cumbersome, hectic, time consuming without the right knowledge. For most foreign businesses a Wholly Owned Foreign Enterprise in China is less risk than going into a partnership with a local. What is a Wholly Owned Foreign Enterprise (WFOE)? Commonly called a WFOE, the Wholly Foreign Owned Enterprise is where the investors are either foreign people and / or foreign companies. To startup a business in China, you will need to finalise your incorporation before you can begin any kind of business activities. The investors need to make a deposit of certain minimum capital as part of the procedure (which is different depending on industry). Should I Hire a Professional to Register My Business in China? Hiring professionals is essential if you want to get off the ground in the shortest possible time frame. If you are starting your business, these professionals will do everything to make sure that the beginning goes well. When a client goes to them and tells them that I want to register my business in China and also understand the taxation for my business in China, the liability for informing you is also borne by this advisor and this can protect you in-case of screw ups. A Professional Isn’t a Professional if They Don’t Prepare You for the Process They would be wise to take their client through the entire process for incorporation so they know what’s coming as it is a little onerous at time. They would also assist in documents preparation for business setup in China. They would also extend help to get the registered name for the company as well as the English version for it because the company will have a global presence. The documents may vary from time to time with changes in the laws but the general documents remain same. Hence, the company needs to furnish everything from the appointment letter and resume of the legal representatives to the leasing contract and Articles of Association of the company. The experts double check everything before the documents are finally submitted. This is just a brief introduction to doing business in China, please explore this site for more specific resources as per industry, documentation, risks, and more. Got Questions about registering a business in China? Contact Jonathan at [email protected]