As one of the first batch of costal open-up cities, Shanghai is the center of economy, transportation, science and technology, industry, finance, trade, convention and exhibition as well as shipping in China. Thanks to its numerous advantages, investors from countries worldwide come to Shanghai to set up companies. What to do if foreigners registering companies in Shanghai are not familiar with the registration process? They can ask the agency for registration of foreign-funded companies for help. Having established for 11 years, Shanghai SMEsChina is very professional in the field of company registration with its high credibility and reputation.

Benefits of registration of a Shanghai foreign-funded company:

1. If the company to be registered is a wholly foreign-funded, it can implement the global strategy of its parent company at any time any place without the need of considering its Chinese investor;s wills;
2. There are few restrictions to its business as long as it conforms to Chinese laws;
3. It will take RMB as its income currency and can issue invoices to clients by itself in China;
4. The RMB of company profits can be converted into the US dollar before being remitted to its parent company at abroad;
5. The foreign-funded company can employ Chinese staff directly and thus reduce the corporate cost;
6. It is easier to apply for protection of corporate intellectual property rights as well as technical patents in China;

Materials required for registration of a foreign-funded company in Shanghai

1. Notarized documents of the overseas company in Shanghai which can be valid only after being certified by the Chinese Embassy or Consulate in the the country where the overseas company locates;
2. Letter of Credit of the overseas company issued by its deposit bank (two originals);
3. The determined name, registered capital, business scope and business premise of the company;
4. Corporate seal of an overseas company, which is used for stamping materials in case of need;
5. Relevant materials of overseas parent company and corporate members;
6. Lease Contract of the business premise in Shanghai (two originals).

Note: To invest a production enterprise in the form of overseas enterprise, there are some requirements on its site, namely, the rented site shall be no less than 200 square meters, the use shall be factory building, and relevant approvals and certificates of fire control and environmental protection shall be obtained.

Processes for registration of a foreign-funded company in Shanghai

1. Sign the Letter of Authorization or Letter of Agreement of the overseas company;
2.Prepare at least three company names;
3. Pay the fees of company registration;
4. Submit relevant materials;
5. Then submit the materials to departments including Shanghai Bureau for Foreign Trade and Economic Management, Shanghai Administration for Industry & Commerce, Shanghai Municipal Office, SAT, Shanghai Municipal Bureau of Local Taxation, Shanghai Municipal Finance Bureau, Shanghai Customs, Shanghai Municipal Bureau of Foreign Exchange, etc. for transaction;
6. Open a basic account in the bank and conduct capital verification;
7. Carve the company legal person seal and financial seal;
8. Hand over documents and pay the balance;
9. Get Business License.

Follow-up service of the agency after registering a foreign-funded company in Shanghai

1. Apply for the approval of import and export;
2. Do account and report tax;
3. Annual renewal and company alternation;
4. Finance and tax planning;
5. Employment visa;
6. Apply for residence permit;
7. Visa extension and a series of services.

For more information about company registration, welcome to consult our business personnel.

Ready to Start and Launch a Business in China? So Are We.

SMEsChina teams focus on the growth of enterprise and providing a variety of business solutions in the area of strategy consultancy, WFOE setting up services, business registration, company formation, incorporation of domestic invested enterprise, finance and audit services, HR and payroll, corporate bank account, resident permit, immigration and visa, trademarks and legal compliance.

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.

SMEsChina teams happy to work around you and look after your daily China operations confidently and smoothly. Check if setting up a private company is right for you, if you have everything to set up a business in Mainland China, you can get in touch with our teams to get more useful information and online guidance.

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