Business in China
How to start
your own company
Just imagine, you sell a product at a price several times more expensive than the purchase price, and your business on the international market is more stable than the dollar exchange rate in the last two years. Sales go on and you, bypassing intermediaries, save some of your money.
Have you managed to imagine it? Hard to believe but this is a reality that looks like a dream. Even if you are lying on the couch now thinking that "it would be great to establish relations with the Chinese market”, we can say that everything starts with an idea.
Business with China is no longer exotic for Russian entrepreneurs. Today many companies in this market make good money. The main point is to know the specifics and legal subtleties of doing such business.
We want to share our experience and talk about the nuances of preparing documents to launch your business. Let's skip the point of defining your niche for a startup, and consider the legal subtleties.
To register a company in China, you have to select and approve the name. Note that you can't launch your business in China in a number of fields. The government has restricted access to certain areas of business for foreign businesspeople.
Required documents for opening a company:
- Passport of the founder (original and copy)
- Passport details of the representative (this person is fully responsible in the matter of law)
- Office lease agreement (original and copy)
- Full description of the company's activities and the activities of each employee
- Passports of all employees of the company (original and copy)
- Specify the initial capital
Interview with mofcom and saic
After you have collected all the necessary documents, you need to register for an interview. To do this, make a request to MOFCOM (Ministry of Commerce) and SAIC (State administration of industry and trade)
Most common interview questions:
- A few questions about your company
- Why you have made up your mind to start a business in China
- Development plan of your company
We advise you to prepare a business plan in advance and do not deviate from its concept. After the interview, you will be given an answer. In most cases, it is positive.
The company registration period takes from 1 to 3 weeks
Obtaining a certificate for the right to maintain a household activities
This certificate means that you have been given permission to start a business in China. Then you need to settle a number of formalities.
- Make a stamp
- Register a company with the state statistics and tax service
- Open a corporate account in the Bank of China
To open an account, you will need the documents listed in the first step. The list of documents may change depending on the bank. We recommend working with such banks as ICBC, Citibank China, Standard Chartered, Hang Seng Bank.
Opening a corporate account is the last official step for registering a company.
The main part of working with the documentation is done, and you can start running your business. You will also need to register at the tax office, customs, and SAFE. This is an extension to the main document package.