AQSIQ Scrap Recycle China registration metal plastic

Business Development in China

  Overview:

Foreign Investors generally establish a business presence in China in one of three modes: WFOE, Representative Office and Joint Venture, the difference between each of these are summarized below. We could also help our clients to get into China's industrial parks, development zones and technology parks.

Wholly Foreign Owned Enterprise (WFOE) is a Limited liability company wholly owned by the foreign investor. WFOE requires registered capital and it's liability of equity, can generate income, pay tax in China and its profit could be repatriate back to investor's home country. Any enterprise in China which is 100% owned by a foreign company or companies can be called as WFOE.   

Representative Office (RO) is a Liaison Office of its parent company. It requires no registered capital. Its activities would be: product or service promotion, market research of its parent company's business, Quality Control liaison office etc in China. RO generally is prohibited to generate any revenue or sign contracts with local businesses in China.   

Joint Venture (JV) is a Limited liability company formed between Chinese investors and foreign investors. The parties agree to create an entity by both contributing equity, and they then share in the revenues, expenses, and control of the enterprise. JV has typically been used by foreign investor to engage the so called restricted in areas such like: Education, Mining, Wealth Management etc.    

  

Registration Requirements Details:  

1. Obtain a notice of pre-approval of the company name    

2. Open a preliminary bank account; deposit fund in the account and obtain the certificate of deposit     

3. Obtain capital verification report from an auditing firm     

4. Obtain registration certification "business license of enterprise legal person" with SAIC or local equivalent    

5. Obtain the approval to make a company seal from the police department    

6. Make a company seal   

7. Obtain the organization code certificate issued by the Quality and Technology Supervision Bureau    

8. Register with the local statistics bureau    

9. Register for both state and local tax with the tax bureau    

10. Open a formal bank account of the company and transfer the registered capital to the account    

11. Apply for the authorization to print or purchase financial invoices/receipts     

12. Purchase uniform invoices     

13. File for recruitment registration with local career service center    

14. Register with Social Welfare Insurance Center