To start a business in China, company owners need to register their company. Only after this formality they can open their business in China. Depending on the sector the registration process completes. It may be from three to six weeks. In China there are 4 types of business entities.
Representative office- 20%
Joint Venture – 5%
Always check the Chinese Industrial Catalog before approaching for registration. Always hire a Chinese consultant before proceeding. Than open a Chinese bank account for verification process. Get your company name approved by the Beijing Administration of Industry and Commerce. You can download forms from the concerned website.
Beijing representative office registration is always necessary before setting up a company in China. Representative offices are being established by a foreign company to enter in business liaisons, promotion of products, quality control matters, market surveys and research etc. In China ROs can’t indulge in operational activities. Representative Office in China can only work on non-profit activities.
Beijing representative office registration laws and documents required
- Parent company should be more than 2 years.
- 1 certificate of incorporations
- 1 copy of articles of Association signed by Chinese embassy
- Letter of authorization from the parent companies director.
- 1 bank reference letter from the investor bank
You need to have a detailed 5 years business plan to start a Chinese company. Once the authorities approve your project, you have to work in strict accordance of their law. Consult a liaison representative to register your business and start a company in China. Always beware of a Chinese agent, who charges nearly $800 for all the proceedings. Instead consult a good firm engaged in providing such services. An experienced qualified agent will help you in every matter to deal with be it local, provincial or national government.
Always remember, Intellectual property is a major concern for Chinese authorities. Many business houses think that their parent trademark will also work here. NO if the trademark of your parent company is used by someone in China, it is a clear act of violation, and you have to face the consequence.
Hiring in China is a very complex process, especially managers. To hire employees in your Chinese branch, always take the help of a good recruitment company in China. Doing business in China is not very easy. And you know that complex things can be achieved by expert and skilled people only. Skilled people can’t be hired in cheap rates. So, prepare yourself to invest a good amount on your workforce.
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