A declaration system is applied to the registered capital, which has no minimum amount requirement.
(1) The investor is a natural person;
(2) A legal enterprise name;
(3) The declared capital contribution of the investor;
(4) Fixed places and necessary conditions for production and operation;
(5) Necessary employees.

What is a private partnership enterprise:

A declaration system is applied to the registered capital, which has no minimum amount requirement.

A partnership enterprise refers to the general partnership enterprise and limited partnership enterprise established by natural persons, legal persons and other organizations within Chinese territory according to this law.

General partnership enterprise is composed of general partners, and the partners bear unlimited joint and several liabilities for partnership enterprise debts. This Law stipulates specifically the form of liability for general partners.

If there are any special provisions in this Law for the form of general partners assuming liability, they should be followed. A limited partnership enterprise is composed of general partners and limited partners.

The general partners shall bear unlimited joint and several liabilities for the debts of the partnership enterprise.

A limited partner shall be liable for the debts of the partnership enterprise within the amount limit of capital contributions subscribed.

What is a general partnership enterprise

(1) More than two partners liable for unlimited liabilities according to law;
(2) A written partnership agreement;
(3) Capital contribution actually paid by the partners;
(4) Name of the partnership enterprise;
(5) Places and necessary conditions for partnership operation;
(6) Partners should be persons with full capacity for civil conduct;
(7) No person who is prohibited by law or administrative regulations to engage in for-profit activities may be a partner of the partnership enterprise.

Remarks: Partners may contribute currency, material objects, land use rights, intellectual property rights or other property rights.

The above capital contribution shall be the lawful property and property rights of the partners.

Where the value of an item of capital contribution other than currency needs to be determined, it may be determined pursuant to agreement by the partners after consultation among them, or an appraisal may be conducted thereon by a legally designated appraisal agency entrusted by all the partners.

After all partners have reached a consensus, partners can also make contributions by labor service, and the appraisal method shall be determined by all partners.

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China is attracting more and more foreign companies, SMEs,entrepreneurs, startups, brands to invest and establish their business entities through reforming various laws and regulations actively. More than 47 million companies and small medium enterprises have registered their business entities in mainland China and over 3.5 million new enterprises are incorporated during each financial year with comfortable process of registering companies. Here SMEsChina is sharing our knowledge and business insights to global enterprises and companies for better learning the regulations and rules of China corporations running and corporate maintaining. All reference and guidance collected by SMEsChina Teams in accordance with the latest implemented laws of the People’s Republic of China on Wholly Foreign-Owned Enterprises ( WFOE ), Joint Venture ( JV ) and Limited Liability Company ( LLC ), Limited Liability Partnership ( LLP ), and other relevant and officially promulgated regulations and rules on the corporation formation and registration of industrial and commercial enterprises and related IP laws, immigration and resident policies ( VISA ), tax laws.

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