If you’re looking to start a business in China, you’ll need to follow the process for registering a limited liability company. Here are the 8 steps you’ll need to take to successfully register your company in China:
- Select an agency to assist with registration
The process of registering a company in China can be complex, with many documents to prepare and laws to understand. Partnering with an agency can help streamline the process, as they have the expertise to guide you through the process and ensure that everything is done correctly. Wolster & Co. is a leading firm in China company registration and can help your business complete the registration process quickly.
- Choose the preferred company scope
The Chinese government has identified certain sectors that it is particularly interested in supporting, such as those that have the potential to grow the economy quickly. To learn more about these sectors, you can view the Catalog for the Guidance of Foreign Investment Industries. If you are a manufacturing business, for example, your venture is likely to be heavily supported by the Chinese administration.
- Prepare all necessary documents
To get approval to start your company, you’ll need to prepare and submit a number of relevant documents. These include:
- A company name: To obtain a company name, you’ll need to get approval from the Administration of Industry and Commerce. This is important to ensure that your business name doesn’t conflict with any existing businesses. This approval process can take between 2 and 15 days, depending on the location in which you wish to operate.
- Details of controlling partners: These are the details of the shareholders who hold the majority of shares in the company that you are incorporating. It’s recommended to confirm that relevant business partners are able to hold shares in China to avoid any future complications.
- A management structure: This is a comprehensive business operational profile that includes the board of directors, general manager, supervisors, and legal representatives. You’ll need to provide copies of the directors’ passports with this document.
- A legal address: This must be the official headquarters of the company and the address where authorities can seek answers to any potential issues. The address needs to include information such as a phone number and email address of the property owner.
- Articles of Association: This document contains important information about your business and the scope in which you wish to operate. You’ll need to provide an overview of your business, including the management profile and the methods you’ll use to return profits.
- Registered capital and total investment: The registered capital is the amount of money dedicated to meeting the expenses of running the company. The total investment is the sum of the registered capital and any future loans from investors.
- A feasibility study: To prove to authorities that your company is feasible, you’ll need to provide a detailed business plan that includes a budget. This will show that the registered capital can properly finance operations. If authorities have doubts about your feasibility study, your company registration may be delayed or denied.
- Register with the State Administration for Industry and Commerce (SAIC)
Once you have all the necessary documents prepared, you’ll need to register with the SAIC. This is where you’ll submit all your documents and pay the necessary fees.
- Obtain a business license
After your registration with the SAIC is complete, you’ll need to obtain a business license. This is a document that grants you permission to operate your business in China.
- Register with the State Administration of Taxation (SAT)
Next, you’ll need to register with the SAT to get your tax registration certificate. This certificate is required to pay taxes in China.
- Register with the local administration of industry and commerce
After you’ve obtained your business license and tax registration certificate, you’ll need to register with the local administration of industry and commerce where your company is located. This step is necessary to complete the company registration process.
- Obtain additional licenses and permits
Depending on the type of business you are starting, you may need to obtain additional licenses and permits to operate legally in China. This could include a food and drug administration license for a restaurant or a construction permit for a building project.
By following these 8 steps, you can successfully register your company in China and begin operating your business legally in the country. Working with a firm like Wolster & Co. can help make the process easier and ensure that everything is done correctly.