Shenzhen WFOE Formation Service
Hotline: 86-755-82143348, Email: amyhuang@citilinkia.com
As stipulated in Shenzhen’s Corporate Law, minimum registered capital for limited liability corporations is based on the nature of the industry. For manufacturing industries it cannot be less than RMB 500 thousand. The minimum registered capital for various industries according to current laws is given below .To establish a Shenzhen WFOE need fee that also called Shenzhen WFOE registered fee , Shenzhen WFOE registered cost .
(1) Foreign funded banks, joint venture banks: minimum registered capital of RMB 300 million in a freely convertible currency;
(2) Foreign funded financial institutions, joint venture financial institutions: RMB 200 million in a freely convertible currency;
(3) Joint venture tour operators: not less than RMB5 million;
(4) Joint venture advertising agencies: not less than USD300 thousand;
(5) International joint venture freight forwarding enterprises: not less than USD1 million;
(6) Foreign funded investment oriented enterprises: not less than USD30 million;
(7) Foreign Limited Liability Joint Stock Companies: not less than RMB30 million.
In the Interim Measures Concerning the Ratio of Registered Capital to Total Investment Amount of Sino-Foreign Equity Joint Venture Enterprises, the State Administration for Industry and Commerce (SAIC) provides the following policies regulating the ratio of registered capital to total investment for foreign funded companies (including a Wholly Foreign Owned Enterprise):
(1) If total investment is equal to or less than USD3 million, registered capital must be at least 7/10 of the total investment;
(2) If total investment is above USD3 million but less than or equal to USD 10 million, registered capital must be at least 1/2 of the total investment. If total investment is less than USD4.2 million, registered capital must be at least USD 2.1 million;
(3) If total investment is above USD 10 million but less than or equal to USD 30 million, registered capital must be at least 2/5 of the total investment. If total investment is less than USD12.5 million, registered capital must be at least USD 5 million;
(4) If total investment is above USD30 million, registered capital must be at least 1/3 of the total investment. If total investment is less than USD 36 million, registered capital must be at least USD12 million;
(5) Foreign funded companies that for whatever reason cannot meet the guidelines listed above should report to the Ministry of Commerce, and any corresponding modifications must be jointly approved by the Ministry of Commerce and the State Administration of Industry and Commerce.
Note: In accordance with Shenzhen Compamy Law, at least 20% of the registered capital should be paid within 3 months from the date of registration.
Immediately after the remittance of registered capital, the WFOE should arrange a local accounting firm (public accounting registered for practicing in Shenzhen) to verifiy whether the registered capital has been contributed and paid in accordance with the regulations of the Shenzhen Company Laws and/or the WFOE’s Articles of Association (a process known asCapital Verification). The WFOE could use the registered capital for daily operation after the issuing of Capital Verification Report.
Contact Us
For further queries, please do not hesitate to contact ATAHK at anytime, anywhere by simply calling Shenzhen hotline at 86-755-82143348, or emailing to amyhuang@citilinkia.com.