Let us handle the dissolution of your China corporation so you can focus on other important business matters. Our team is well-versed in the dissolution process and will ensure that all necessary steps are taken to properly close your corporation in China.
The opportunity to make your business boom in china.
Companies in China may want to liquidate their business for various reasons such as changes in their business scope, failure to adapt in the market, relocation of the company, local regulatory changes, such as new environmental compliances, or due to an industry crisis that might be caused by geopolitical tensions or by the recent evolution of the coronavirus pandemic.
Regardless of what factors might trigger the decision to shut down the business, investors cannot simply abandon the company and walk away without following a proper closure procedure. If such, this behavior could result in very serious legal liabilities for the Legal Representative and compromise any other future project or business that the company intends to carry on in China.
PRC law requires a formal liquidation procedure that has to be followed by any foreign entity, which involves various government bodies and documents preparation. Liquidation is certainly one of the most complex corporate operations and that it takes longer to finalize, as it is subjected to stringent scrutiny by the Chinese tax authorities, that will carefully check the correct historic accounting management and administration of the company, possibly going to recalculate the taxes due for the previous years.
The whole process of Chinese company dissolution is very complicated and will take 6 to 12 months, but this is a safe way for shareholders because if they just leave the company alone, there might be a risk that they cannot establish a new business in China again. Wolster & Co. make it easy to dissolve your Chinese business officially.
Legal and administrative procedures for dissolving a Chinese company
FAQs about China law firms, Chinese lawyers, and legal services in China.
There are several situations in which it may be necessary to dissolve a corporation in China. At Wolster & Co., our team of experienced China lawyers can assist with the process of corporate dissolution in China. These include:
It is important to note that the specific circumstances under which a corporation can be dissolved in China may vary depending on the type of corporation and the location where it is incorporated. Don’t hesitate to contact our team at Wolster & Co., a trusted law firm in China with Chinese-speaking solicitors, for professional and reliable assistance with closing a company in China and determining the most appropriate course of action.
The length of the dissolution process in China can vary depending on a number of factors, including the type of corporation being dissolved, the location where it is incorporated, and the complexity of the dissolution process. At Wolster & Co., our team of experienced China lawyers can assist with the process of corporate dissolution in China to ensure that it is completed efficiently and smoothly.
In general, the dissolution process in China can take several months to complete. However, it is important to note that the process of dissolving a corporation in China can be complex and may be delayed if there are outstanding debts or liabilities that need to be settled, or if there are any disputes or legal issues that need to be resolved. In such cases, the dissolution process may take longer to complete.
Don’t hesitate to contact our team at Wolster & Co., a trusted law firm in China with Chinese-speaking solicitors, for professional and reliable assistance with closing a company in China and determining the most appropriate course of action.
There may be tax implications to dissolving a corporation in China, depending on the specific circumstances of the corporation and the location where it is incorporated. At Wolster & Co., our team of experienced China lawyers can assist with the process of corporate dissolution in China and advise on any potential tax implications.
In general, it is important to ensure that all necessary tax returns have been filed and any outstanding tax liabilities have been settled before dissolving a corporation in China. If a corporation fails to pay its taxes before being dissolved, the shareholders may be held personally liable for the unpaid taxes.
It is also important to note that the sale or transfer of assets as part of the dissolution process may be subject to tax. The tax implications of asset transfers can be complex and may depend on the nature of the assets being transferred and the location where they are located. It is advisable to consult with a professional advisory service, such as a law firm in China or accounting firm, to determine the tax implications of dissolving a corporation in China and to ensure that all necessary tax obligations are met.
Don’t hesitate to contact our team at Wolster & Co., a trusted law firm in China with Chinese-speaking solicitors, for professional and reliable assistance with closing a company in China and determining the most appropriate course of action.
Wolster & Co., a leading China law firm, is committed to assisting clients with the intricate process of dissolving a corporation in China. Our team of seasoned Chinese-speaking solicitors has the knowledge and expertise to advise on the potential liabilities that may arise after a close company in China is dissolved. While shareholders of a corporation are generally not personally liable for the debts and obligations of the corporation under Chinese law, there are certain circumstances where personal liability may arise, such as if the shareholder has personally guaranteed the debts or engaged in illegal or fraudulent activities.
If you are considering dissolving your corporation in China, it is essential to seek legal advice to understand your potential liabilities and ensure that the dissolution process is carried out properly. At Wolster & Co., we have a team of dedicated attorneys who can assist with the dissolution of your corporation in China and advise on the potential risks and liabilities involved. Contact us today to learn more about our services and how we can help you dissolve your corporation in China. Trust the professionals at Wolster & Co. for expert guidance on Chinese corporate dissolution.
The process for dissolving a corporation in China can vary depending on the type of corporation and the location where it is incorporated. At Wolster & Co., our team of experienced China lawyers can assist with the process of corporate dissolution in China. However, here is a general overview of the steps involved in dissolving a corporation in China:
It is important to note that the process of dissolving a corporation in China can be complex and may require the assistance of a professional advisory service. Working with an experienced law firm in China such as Wolster & Co., with Chinese-speaking solicitors, can help ensure that the process is completed efficiently and smoothly. Don’t hesitate to contact us for professional and reliable assistance with closing a company in China.
Failing to dissolve a corporation in China can have serious consequences. If a corporation continues to operate in China despite no longer being legally registered, it is considered an “illegal corporation” and may be subject to fines and penalties. The shareholders of the corporation may also be held personally liable for any debts or liabilities incurred by the illegal corporation.
At Wolster & Co., our team of experienced China lawyers can assist with the process of corporate dissolution in China to ensure that your corporation is dissolved legally and avoid these negative consequences. In addition to financial penalties, failing to dissolve a corporation in China can also have negative impacts on the reputation of the corporation and its shareholders. It may be difficult to do business in China in the future if a corporation has a history of operating illegally.
It is important to note that the specific consequences of failing to dissolve a corporation in China may vary depending on the type of corporation and the location where it is incorporated. Don’t hesitate to contact our team at Wolster & Co., a trusted law firm in China with Chinese-speaking solicitors, for professional and reliable assistance with closing a company in China and determining the most appropriate course of action.
A dissolved corporation may still be able to be sued in China, depending on the specific circumstances of the corporation and the nature of the lawsuit. At Wolster & Co., our team of experienced China lawyers can assist with the process of corporate dissolution in China and advise on any potential legal risks and liabilities.
In general, a dissolved corporation may still be able to be sued for any outstanding debts or liabilities that it has incurred. For example, if a corporation has outstanding debts to creditors or suppliers, it may still be sued to recover these debts even if it has been dissolved. It is also important to note that the shareholders of a dissolved corporation may be held personally liable for any outstanding debts or liabilities of the corporation. This is known as “piercing the corporate veil.”
It is advisable to consult with a professional advisory service, such as a law firm in China or accounting firm, to determine the potential risks and liabilities associated with dissolving a corporation in China and to ensure that all necessary steps are taken to protect the interests of the corporation and its shareholders.
Don’t hesitate to contact our team at Wolster & Co., a trusted law firm in China with Chinese-speaking solicitors, for professional and reliable assistance with closing a company in China and determining the most appropriate course of action.
At Wolster & Co., we are a premier China law firm that specialized in helping clients navigate the complex process of dissolving and reinstating a corporation in China. As experienced Chinese-speaking solicitors, we have the knowledge and expertise to advise you on the potential reinstatement of your dissolved corporation in China.
Under Chinese law, a dissolved corporation may be reinstated if the dissolution was the result of a mistake or error, or if it was obtained through fraud or deception. To reinstate a dissolved corporation in China, the shareholders or directors must apply to the relevant government authority, such as the State Administration for Market Regulation, for reinstatement. The application must include documentation demonstrating that the dissolution was the result of a mistake or error, or that it was obtained through fraud or deception. If the application is approved, the corporation will be reinstated and will be able to resume operations.
If you are considering dissolving and reinstating your corporation in China, it is important to seek legal advice to understand your options and ensure that the process is carried out properly. At Wolster & Co., we have a team of dedicated attorneys who can assist you with the dissolution and reinstatement of your corporation in China and advise you on the potential risks and liabilities involved. Contact us today to learn more about our services and how we can help you dissolve and reinstate your corporation in China.
