How to Open a Business in China
Opening a business in China and running it successfully is one of the most challenging things for a foreigner to accomplish in terms of business. The regulatory barriers are substantial, and the risks involved are considerable. If you plan to open a business in China, consider looking into the field of providing services to other western businesses seeking to operate in China. That will likely be a more secure and easy to work with client base than attempting to open a Chinese business that entirely interfaces with Chinese clients.
Other People Are Reading
Instructions
-
-
1
Acquire an application for the name of the business you're planning to open from the Administration of Industry and Commerce in your area. It's often possible to get this for free on its website.
-
2
Contact an auditing firm that will verify the capitalization of your business. The Chinese government has (often very low) minimum requirements for the amount of capital you need before you can start your business. You must use a Chinese bank account to hold company assets.
-
-
3
Apply for registration certification from your local State Administration of Industry and Commerce. This requires waiting a full business week and paying a number of fees.
-
4
Gain the approval for and create the company seal from the local police department. This requires that you find a seal carving company that will create your company seal for you.
-
5
Complete all other forms of registration. This requires that you contact the Quality and Technology Supervision Bureau for an organization code certificate, place your registration for the local statistics bureau and submit your forms for the local and and state tax bureau.
-
6
Open up an official company bank account with a Chinese bank and transfer capital assets to it after completing other forms of registration.
-
7
Acquire permission to print or purchase financial invoices and receipts after the completion of tax registration. Contact the same taxation authorities to get the forms for these permits. In addition, get a permit to issue uniform invoices from the same tax office.
-
8
Buy uniform invoices from the tax office and register with the local career services station. These are both legal requirements that can't be bypassed.
-
9
Contact the local Social Welfare Insurance Center to complete registration. A social insurance account for the company and its employees will need to be opened.
-
10
Maintain quality contacts with the Chinese authorities. Personal connections will help you ensure that you're complying with local regulators. They might even give you warnings when you're risking a fine before you actually get one if you cultivate your relationships well.
-
1
