Speed Up Your China Company Formation

Forming a business in China is the first huddle in the process of transacting business in China. If you set up a business utilizing the incorrect structures, it can cost you. Failing to obtain the right license or permit for your business can outcome in a fatal blow. If your business does not collapse, its ability to expand and become successful can be greatly impeded.

China laws allow a hundred percent foreign company ownership. Nevertheless, it heavily regulates and limits foreign-owned companies' activities. Such companies can only transact in the company operations listed on their business license. The quantity of capital required by a foreigner to commence any China company formation can be determined by the firm's location and its business operations.

Acquiring a Company License in China

You require to complete an application form to obtain your registration certification. Other essential documents include:

• A lease or any other document that can act as proof of your company's office.

• A notice of approval showing your business name.

• An appraisal report or capital verification certificate.

• Representation authorization documents.

• The identification document of your officers and your share holders identity cards.

• Articles of association obtained from each share holder.

• Identification and appointment documents of your company's legal representatives.

• Identification and appointment documents of your directors, officers and supervisors.

If your initial contributions are in the form of non monetary assets then documents that certify transfer of the relevant property titles of these assets are needed. Other documents may be needed based on the issuing authorities.

Quality and Bureau Code Certificate

You should apply for your company's organization code certificate in a period of thirty days upon obtaining your company certificate. Your application form should be completed and filed with the Shanghai organization code management center. This is a branch of the Quality and Technology Supervision Bureau. Other supporting documents include a copy of the legal representative's identity card and the original and a copy of the business license.

Local and State tax Registration

The procedures for tax registration have turn out to be simplified since 2004. This followed the implementation of the tax registration administration measures which had been performed by the State Taxation Bureau. Two taxation authorities now exist these are the Nearby Taxation Bureau and the State Taxation Bureau.

Nevertheless, as the founder of a company, you are required to file tax registration just as soon as to any of these authorities. The stipulated time limit is only 30 days from the date that you obtain your registration application. You then require to the approval of the authorities to make your company seal.

In case all shareholders in the China company formation are person investors, then the registration file will have a duplicate company license. This will be in addition to by your legal representative's identification card. If the registration is approved, you will obtain a notice creating the business a restricted liability company. You require to settle payment for the charge for your organization code certificate. The issuing authority is the High quality and Technologies Supervision Bureau. You can then obtain the company seal.