Setting Up WOFE in Foshan China
Email: 2355725105@qq.com Tel: +86-755-82143410/86-13530066130
Wechat:13530066130
Foshan, formerly romanized as Fatshan, is a prefecture-level city in central Guangdong Province in southeastern China. The entire prefecture covers 3,848.49 km2 (1,485.91 sq mi) and has an urban population around 7.2 million. It forms part of the western side of the Pearl River Delta Economic Zone, which includes Guangzhou to the north and Shenzhen to the east.
Foshan is regarded as the home of the Cantonese forms of Chinese opera, kung fu, lion dancing, and dragon boat racing. Foshan has been well known for its ceramics since the Ming, although it was forced to shutter its production during the Cultural Revolution.
Foshan had a ¥8.01 trillion gross domestic product in 2015, raising its per capita GDP past ¥10,000. Shunde District in particular has a high standard of living, with its 3000+ electronical appliance factories responsible for more than half of the world's air conditioners and refrigerators. Foshan now has more than 30 towns specialized in particular industries, including furniture, machinery, and beverages.
Shunde, China Furniture Wholesale Market is located at Shunde district which connects Lecong town and Longjiang town along the 10 km highway, Shunde has become the largest furniture wholesale market and distribution center in China and the world. It claims to be the The World Largest Furniture Wholesale Market.] It was named as the China Furniture Business and Trading Capital by the China National Light Industry Council and China National Furniture Association. It covers a total area of approximately 32.3 million square feet (3 million square meter) and it includes more than 200 modern furniture sales buildings, such as Sunlink Group, Lecong International Furniture Exhibition Center, Shunde Empire Group, Tuanyi International Furniture City and others
Foshan Hi-Tech Development Zone was founded in 1992. Its total planned area is 7.55 km2 (2.92 sq mi). The zone is very close to the national highway G325 as well as Guangzhou Baiyun International Airport. The major industries in the zone including automobile assembly, biotechnology and chemicals processing.
When investors have plans on establishing WFOE in Foshan, it is better for them to acquire more information about setting up WFOE in order to run a successful business in Foshan. WFOE stands for wholly foreign owned enterprise, which is a limited liability company wholly owned by either a foreign legal entity or a foreign natural person. The foreign investors may be foreign enterprises or individuals
Wholly owned foreign entities (WOFEs) are the vehicle of choice for most people and companies doing business in China. It is less complex than a joint venture (JV) and allows you to concentrate on what your employees are up to as opposed to your partners. It is required to register as a legal person who is restricted to certain businesses. The enterprise is able to implement strategies that effectively conform to the interests of the parent company aboard. Moreover, technology and know-how are given better protection.
No. minimum registered capital is required for WFOEs with scope of business of consulting, Trading, retailing, information technology etc. in China. There are minimum registered capital still required for some industries for instance: Banking, Forwarding etc Since China still maintains foreign currency control policy, it's still advisable to choose registered capital within RMB 100,000 ~ RMB 500,000 as the minimum registered capital. Companies can now determine how much capital will be required to maintain their operations and must simply ensure that they meet those targets within a period of 10 years.
Advantages of WFOE
1. Independence and freedom to implement the worldwide strategies of its parent company without having to consider the involvement of the Chinese partner;
2. Ability to formally carry on business rather than just a representative office function;
3. Issue invoices to their customers in RMB and receive RMB revenues. Convert RMB profits to US dollars for remittance to their parent company outside.
4. cheap labor, which can lower your cost;
5. not required to share profits with Chinese counterpart;
6. Greater efficiency in its operations, management and future development.
Registration process
The application process to create a company in China generally takes three to six months. The establishment process varies based on the WFOE form and the planned business scope. For example, a Manufacturing WFOE will require an environmental evaluation report, and Trading WFOEs will need to undergo customs/commodity inspection registration.
If you wish to obtain more information or assistance, please visit the official website of Tannet Group Limited at www.tannet-group.com or contact us through the following and talk to our professionals:
Email: 2355725105@qq.com
Tel: +86-755-82143410/86-13630066130
Wechat:13630066130