China Investment Guide
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China investment guide providing you the specific information to register a company in china.
China is the world's most populous country, with 1.3bn people living on 9.6m sq km of land. The nation comprises 5 autonomous regions, 23 provinces, 4 municipalities and 2 special administrative regions. The huge land is rich in natural resources and cultural deposits. Due to its size, the climate, culture, as well as economic diverse. However, its the great diversity makes China most attractive place for both visitor and investor. Also since the implementation of the reform and open-up policy, China has been seen a booming economic, which brought not only numerous business opportunities, but also investors all over the world.
Foreign Direct Investment in China
China's absorption of foreign investment is an important content of China's fundamental principle of opening up to the outside world, and is one of the great practices of building up socialist economy with Chinese characteristics. The law of the People's Republic of China on Chinese- Foreign Equity Joint Venture, was promulgated by the National People's Congress in 1979, then the work of utilizing foreign capital as an important content of opening up to the outside world initiated as China's fundamental principle. After twenty years of great efforts, the scale of sbosorbing foreign capital increasingly expanded as well as the level was increasingly upgrated when China's law and managerial system on foreign investment have been gradually perfected. The achievements won the whole world's attention, which effectively promoted the continuous, fast and healthy development of national economy. Here lists some encouraged foreign investment industries, mechanical industry, textile industry, communication and transportation as well as post and telecommunications services, coal industry, power industry, petroleum and chemistry industries, service business, medical industry and electric industry.
Forms of investment
The foreign investments are basically divided into direct investment and other means of investment. The direct investment, which is widely adopted, includes Sino-foreign joint ventures, joint exploitation and exclusively foreign-owned enterprises, foreign-funded share-holding companies and joint development. The other means of investment includes compensation trade and processing and assembling.
Cooperative business is also called contractual cooperation businesses. They are formed in China with joint capitals or terms of cooperation by foreign companies, enterprises, other economic organizations and individuals with chinese companies, enterprises, other economic organizations and individuals. The rights and obligations of different parties are embedded in the contract. To establish a cooperative business, the foreign party, generally speaking, supplies all or most of the capital while chinese party supplies land, factory buildings, and useful facilities, and also some supply a certain amount of capital, too.
Foreign companies, enterprises, other economic organization and individuals can form foreign funded share-holding companies in China with Chinese companies, enterprises, and other economic organizations. The total capital of the share-holding company is formed by equal shareholders will take due responsibilities for the company according to shares purchased. Company will take responsibilities for the all its debts through all its assets and the chinese and foreign shareholders will hold the shares of the company. Among them, the shares purchased and held by foreign investors account for more than 25% of the total registered capital of the company. Limited company can be founded either by means of starting-up or raising, and the limited liability company invested by the foreigners can also apply to turn into share-holding companies.
When you decide to invest China, you might need a guidance who can tell you how to find a business, how to do business in China. A guidance book can help, while a professional local service provider can bring you to success. Beside is one of the business service providers who can offer invest opportunity service to help investors what to invest, consulting service to instruct you how to do, and outsourcing service to help you to do your business better. We can take care of your business from start to the end.
Contact us
For further queries, please do not hesitate to contact ATAHK at anytime, anywhere by simply calling China hotline at 86-755-82143422, 86-755-82143512, or emailing to anitayao@citilinkia.com